Matsa Resources (ASX: MAT) believes its new Thai lithium licence applications “contain all the right ingredients to make a discovery”.
The company acquired 65 prospecting licences spanning over 942km2, host to lithium occurrences reported by Thailand’s Department of Minerals and Resources.
Kingsgate shares are up 87% in the last 12-months, while Pan Asia has ballooned over 200% over the same time period.
Pan Asia Metals is on schedule to deliver its inaugural Mineral Resource in the first quarter of 2022. The company’s flagship Reung Kiet Lithium project has so far returned 107 samples with average lithium grades of 1.43% (medium grade).
Pan Asia management said that based off its current drill results, a “10,000 tonne per annum lithium chemical plant is a realistic objective.”
Matsa has positioned multiple new lithium tenants within close proximity of Pan Asia's Reung Kiet.
One of the criteria used to select the tenements was "being either contiguous or in close proximity to Pan Asia Metals’ licences where recent drilling produced drilling intersections of up to 1.44%Li2O.”
Matsa said that exploration programs will initially focus on the Phang Nga (near Phuket) province, which is adjacent to Reung Kiet.
The goal is for initial geological mapping and rock chip sampling to lead into drill ready targets “as soon as practicable”.
Matsa’s chairman Paul Poli commented on the company’s newfound asset, saying “Matsa sees enormous opportunities in exploration for lithium, gold and base metals, not only because of the highly prospective geology, but also the economic ramifications of Thailand’s close location to China.”
“I see Thailand as an emerging mining frontier where tier one discoveries are bound to be made and with the change of attitude to mining it will be a great exploration destination.”
In December, Matsa entered into a binding agreement to sell its Red October and Devon gold projects for consideration of $20m.
The company intends to use some of the funds from the sale to advance its Thai projects.
Finance Writer & Social Media
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