Mineral Resources adds the West Spargoville Project to its lithium arsenal

Mineral Resources (ASX: MIN) has entered into a lithium partnership with Marquee Resources (ASX: MQR).

The agreement provides Mineral Resources (MinRes) with the right to acquire a starting 25% interest in Marquee’s West Spargoville Project (WSP) in Western Australia.

MinRes will pay the initial interest by funding all exploration and development activities, including a feasibility study and JORC compliant resource for the project.

From there, MinRes can grow its ownership by electing to:

• Processing Farm-in

  • Earn an additional 45% interest by funding the project to the point of a Final Investment Decision

• Mining Farm-in

  • Earn an additional 26% interest by funding the project until the development, construction and commissioning of mine-related facilities

  • MinRes will build, own and operate all plant and infrastructure operations and buy lithium for a mine gate sale price

About West Spargoville

The WSP project is located in the centre of the Southern Yilgarn Lithium Belt, an area well-known for spodumene deposits that include:

• Mt Marion Mine owned by Allkem

• Buldania Project owned by Liontown

• Pioneer Dome Project owned by Essential Metals

Source: Marquee Resources

The project is currently executing an RC drilling program over high-priority targets identified from previous exploration activities.

WSP is still considered relatively early-stage as it attempts to search for "the next economic lithium discovery".