Perhaps you are overthinking this. Our most recent R&D has...

Perhaps you are overthinking this. Our most recent R&D has produced two very positive outcomes but neither of the two experiments were intended to be co-dependent:

1. the Brine Blending Program was independent of Sun Resin and produced superb outcomes. The ASX Announcement of 11/05/22 showed thatthe Incahuasi brine is high in calcium and the brine from Rincon is high in sulphate. When blended, theRincon and Incahuasi brines deliver a high-grade lithium concentrate with a low level of the contaminants; sulphate,calcium and magnesium.
2. the first phase of the MOU with Sunresin successfully confirmed that brines from the five individual salars could be suitably processed by Sunresin's DLE.

The individual brines needed to pass processing as each contains a different mix of grades with their associated contaminants. One would naturally assume that a blended mix of brines will also be suitable for processing as the contaminant levels are so much lower. This successful processing of all brines was only step 1 in a 4 step process.

It was announced on 21/07/22 that potential commercial development pathways for theProject would consider a potential hybrid strategy utilisingDLE on the blended brines. One would expect such a decision and the detail will be the subject of the planned DLE PEA.
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I note separately that Rincon and Incuhuasi have significant alluvial aprons. Anyone reading about the huge resource upgrade at Galan would now know that it was largely due to the sand produced by the alluvial fans at GLN's Hombre Muerte West salar. Alluvial fans form due to erosion which allows the salar deeps below the fans to fill up with absorbent sand instead of rock-hard salt. The sand acts as a sponge and, in GLN's recent case, increased the lithium 2.5x to 5.8Mt of 866mg/l (a very high grade) LCE. When combined with its Candelas tenements, GLN at 6.5Mt, is now bigger than Lionstown including both Kathleen Valley and Buldania. Galan's CEO stated this week that the unprecedented resource increase was due to 'the area where we are is a sponge. It allows a lot of lithium to be stored there.' They are expecting an even higher resource upgrade due to the alluvial fan sand factor.

So the recent announcement from 17/10/22 on the geophysics survey at Rincon states that " [it] indicate(s) continuity ofconcentrated brines in 100-150 metre-thick zones of saturated sandand gravel units within the alluvial apron fans adjacent to the activesalar, with basement estimated at a depth of approximately 200metres (Figure 3).These positive results highlight the resource expansion potential inthis yet to be drill tested area of the Rincon license."

Here is a diagram from the recent PNN Rincon geophysics survey where the areas in yellow are the potentially sandy sponges:



A little earlier an announcement from 28/09/2022 revealed that VES geophysical surveys had also been conducted at Incahausi, also with very promising results:

The VES survey at Incahuasi was conducted over 28 geophysicsstations (Figure 2). Interpretation of the results indicate thatconcentrated brines occur to at least 250 meters depth below thesurface, with salar basement estimated at ~400-450 meters depth.The VES survey results also indicate continuity of concentrated brinein saturated hydrostratigraphic units, extending under and below thealluvial fan aprons on the eastern side of the license area away fromthe active salar.This highlights the resource expansion potential in this yet to be drilltested area of the licence.



The same VES geophysics program is now underway at Pocitos. Resource drilling will then begin in these potentially brine-dense areas at all three salars.

It now seems likely that PNN resource may have considerable scope for increased size. AIMO. DYOR.