- Gold Mountain (GMN) confirms the presence of lithium bearing pegmatites over three projects in Brazil
- The company reported 10 of 28 rock chip samples collected in due diligence work assayed over 100 parts per million lithium oxide, which the company considers anomalous
- GMN says the latest results support those released in November, and indicate LCT bearing pegmatites are prevalent in all the JV project areas
- Gold Mountain has committed to the earn-in stage of a JV with Mars Mines, to hold an additional 55 per cent interest in the projects by spending $2.75 million
- Shares in GMN are down 21.4 per cent, trading at 0.6 cents at 12:05 pm AEDT
Gold Mountain (GMN) has further confirmed the presence of lithium bearing pegmatites over three projects in Brazil.
The company has committed to the earn-in stage of a joint venture (JV) with Mars Mines, whereby GMN can earn an additional 55 per cent interest in the projects by spending $2.75 million over a two-year period.
An additional twenty-eight rock chip samples were collected from the Juremal, Cerro Corá and Porta D’Agua projects as part of due diligence work carried out by Mars Mines.
Ten of the samples assayed over 100 parts per million lithium oxide, which due to leaching and weathering of outcropping rocks, are considered by the company to be anomalous and warrants follow up sampling.
GMN said the latest results support those released in November, and indicate that lithium, caesium, tantalum (LCT) bearing pegmatites are prevalent in all the JV project areas.
Gold Mountain’s Chief Executive Officer and Executive Director Tim Cameron said the results are a “good start” for the JV.
“These results, combined with the results we announced in November 2022 for the Juremal and Custodia projects, show that the tenements we have picked up have the potential to host LCT bearing pegmatites,” Mr Cameron said.
Additionally, the results indicate trace elements of cerium, tantalum and niobium related to LCT pegmatites are associated with the anomalous lithium oxide samples.
However, GMD said the concentrations vary between, and within, each project area, which is a function of pegmatite field zoning and also the differences between pegmatite fields and the progenitor granite intrusive.
Mr Cameron said while it’s still “early days”, the company is encouraged by the anomalous rock chip results returned from the initial reconnaissance program.
Mars Mines geologists predict that with additional mapping and rock chip sampling both the Juremal and Custodia projects can be “rapidly advanced” towards drill testing, which Mr Cameron said is “especially” encouraging.
Company shares resumed trade today and dropped 21.4 per cent, trading at 0.6 cents at 12:05 pm AEDT.