LITHIUM EXPLORATION PROJECTS UPDATE
Metalicity Limited (ASX:MCT) (“MCT” or “Company”) is pleased to report that it has appointed CSA Global to conduct a geological review of its four lithium projects in Western Australia with the aim of generating new targets and prioritising existing targets for future drilling. Metalicity has a significant landholding in Australia’s two key lithium producing districts, the Greenbushes district (Figure 1) and the Wodgina-Pilgangoora district (Figure 2) which spans 958km2.
Previous targeting work conducted by Metalicity has focussed on mapping of pegmatites at its Pilgangoora North Project and the Stannum prospect within its Wodgina South Project. This area represents approximately 20% of Metalicity’s lithium-prospective land package so significant potential remains to generate new targets for drilling within Australia’s two most significant hard rock lithium producing regions.
Pilgangoora North Lithium Project Update
The Pilgangoora North Project (EL 45/4356, EL45/4148, EL45/4227) was acquired from Fortescue Metals Group on 17 January 2017 for $250,000 cash, 5M Metalicity shares and 5M Metalicity options exercisable at 8c, as well as 10M performance shares upon the definition of an Inferred Mineral Resource estimate 20Mt at 1% Li2O. At the Pilgangoora North project recent field work has confirmed that pegmatites interpreted from satellite imagery, are present; some of which host anomalous lithium values. The interpreted and confirmed pegmatites occur over an extensive 10 km x 4 km area and where observed during field work are commonly shallowly dipping, and possibly stacked, sill-like bodies.
The southernmost pegmatites within the project area are located 1 km to the north of the Lynas Find deposit, within the world class Pilgangoora Lithium Project owned by Pilbara Minerals Limited, now ranked as the second largest hard rock lithium deposit in the world, and where thick high-grade intersections including 21m at 2.64% Li2O have been reported (ASX: DKO 3/6/16).
At Pilganoora North an initial four-hole 600 m reverse circulation percussion (RCP) drill program was aimed at testing pegmatites in the southern portion of the project area that were interpreted to be extensions of the Lynas Find deposit pegmatite system. This very limited drill program within an approximate 300m x 80m extent within the overall 10 km x 4 km target area, intersected pegmatites in every hole. While no significant levels of lithium (>0.5% Li20) were encountered in this program, the Company is encouraged by the continuity and thickness of the pegmatites, these being comparable to the Pilgangoora deposits to the south (Table 1 and 2).
Multiple untested pegmatite occurrences occur to the east and north of the area drilled and throughout the approximate 10 km x 4 km pegmatite target area; most of which is still to be fully assessed for the presence of lithium mineralised pegmatites.
Significant upside remains within the Company’s lithium exploration portfolio and lithium exploration experts from CSA Global will be working closely with the Company to assist in a review of the company’s four lithium projects being Pilgangoora North, Pilgangoora South, Wodgina South and Greenbushes North, to generate new targets for future exploration.
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