Winsome stakes claim for 'globally significant' lithium...

Winsome stakes claim for 'globally significant' lithium resource

Shares rally as explorer starts catching up with its James Bay peers with top 20 deposit

Winsome Resources has planted its flag with claims of a globally significant lithium resource in Canada's James Bay region with a maiden estimate for its 100%-owned Adina project delivered just over a year after drilling started.Adina has an inferred resources of 59 million tonnes at 1.12% lithium for a contained 1.62Mt of lithium carbonate equivalent.

While not quite as large as resources by its more established neighbours in Quebec, including Patriot Battery Metals and Allkem, who have cracked 100Mt, or the province's sole producer Sayona Mining, Winsome's opening gambit should win it a seat at the table as the James Bay lithium sector takes shape.

According to Winsome managing director Chris Evans it is one of the five largest in Quebec, and a top 20 deposit globally.

Today's resource is close to last week's estimate from Canaccord Genuity of 55Mt at 1.2%.More growth plannedThe maiden resource is based on some 25,000m of drilling completed since the discovery of the Adina Main Zone, and more growth is expected, with five rigs still drilling at Adina with the aim of a resource upgrade over the next six months.

Adina has a strike of 3.1km and contains two targets: the main zone and the emerging footwall zone.Adina remains open to the east and west along strike, up-dip to the north, and at depth.

Recent drilling in the east appears to have linked up Adina with Adina East, suggesting any future development could be shaped as a single large operation.Extensional and exploration drilling is planned at the Ridge Zone and Adina Far East targets in 2024.

With a resource on the table, and visibility to something larger, Winsome can finalise first-pass development studies by the second half of 2024.

Fully fundedEvans told investors this morning that while the lithium market had been battered recently, Winsome was fully financed to achieve its growth targets."We are set apart from our peers as many don't have the money, or will struggle to raise it over the next 12 months," he said.

That should position Winsome well once supply dips back below demand.Winsome is open to working collaboratively with its neighbours, and has a formal agreement with Loyal Lithium to collaborate over exploration along the wider Trieste greenstone belt.

Winsome also has the Tilly, Jackpot and Cancet projects in the James Bay region. Cancet was originally the flagship project, but has slipped into second place based on Adina's drilling results.Work at Cancet, about 100km away from Adina, is now focussed on field checking gravity targets and mapping new areas.

Winsome raised A$34 million capital raising in October at $1.22.Its shares were up 11% today to $1.17, capitalising the explorer at $218 million.The stock has traded between 92c and $2.52 over the past year.