Galan Lithium making strong progress at HMW, new exploration upside identified

Galan Lithium (ASX: GLN) is confident that the company will deliver a Definitive Feasibility Study (DFS) for the Hombre Muerto West Lithium Project in Argentina by year-end.

Managing Director and CEO Vargas de la Vega said the company was “progressing strongly, on all fronts,” after spending the past few months on the ground in Argentina and Chile.

“My meetings with local Catamarca authorities saw evidence of excellent governmental and community support for the HMW and Candelas Projects,” said Vega.

Galan lithium is currently forecast to commence construction at Hombre Muerto West  (HMW) in the fourth quarter of 2022, subject to the approval of the exploitation permit and successful completion of financing activities.

Construction and commissioning is expected to take two years.

Hombre Muerto West updates 

Galan has completed the drilling and short-term testing of two pumping borehole wells. For context, HMW is a brine project which pumps lithium rich brines from underground. 

The company said that long-term hydraulic pumping tests are set to commence in May.

Brines are pumped into a series of evaporation ponds to crystalise other salts, leaving a lithium-rich substance. Galan has completed the construction of the initial evaporation pond, which covers approximately 3,000 m₂.

The ponds will soon be filled with brine as part of initial evaporation testing activities.

Source: Galan Lithium

Exploration upside

Vega explained that HMW has "further potential Mineral Resource upside, evidenced by the recent TEM geographical survey."

"We look forward to aggressively drilling these new target zones from next quarter and through the rest of 2022.”

Galan Lithium 12-month price chart