Essential Metals confirms high-grade near-surface lithium; kicks off test work programme

Tue 07 Jun 22, 10:46am (AEST)
Drilling - RC Drill Rig - Pilbara - Australia
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Key Points

  • Essential Metals has confirmed relatively high-grade lithium at the Cade and Davy deposits
  • Metallurgical test work is the next important step, with results expected in early September
  • A resource update is planned for the December quarter

Essential Metals (ASX: ESS) has confirmed high-grade near-surface lithium from the Cade and Davy deposits at the Pioneer Dome project in WA. The company's stock is up 6.3% to 51 cents in early trade.

The Cade deposit returned assays including 23.7m at 1.26% lithium from 3.6m and 31.95m at 1.24% lithium from 45.4m from the Davy deposit.

The grades are within the typical 0.9% to 1.6% lithium grade range for most hard rock deposits.

“...  the assays have confirmed the relatively high-grade tenor and substantial widths of mineralisation across the top 40 metres of the Cade and Davy deposits,” said Essential Metals Managing Director, Tim Spencer.

Next steps

The main objective of the completed drill programme was to convert a large portion of the Davy deposit and areas of the Cade deposit from Inferred to Indicated Resource categories.

“The assays and mineralogy logged demonstrate that this should be achieved, subject to metallurgical test work,” the company said in a statement.

Essential Metals will also commence metallurgical test-work to determine lithium recoverability from the near-surface material they've dug up.

The test-work is expected to take three months, with results to be published in early September. A Resource update is also planned for the December quarter.

2022-06-07 10 30 08-Essential Metals Ltd (ASX ESS) Share Price - Market Index
Essential Metals' share price chart


Written By

Kerry Sun

Finance Writer & Social Media

Kerry holds a Bachelor of Commerce from Monash University. He is an avid swing trader, focused on technical set ups and breakouts. Outside of writing and trading, Kerry is a big UFC fan, loves poker and training Muay Thai. Connect via LinkedIn or email.

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