November 1, 2021
Bradda Head Lithium Ltd. (AIM:BHL, Not Rated, David A. Talbot) announced it has completed and received initial results from a geophysical program over its 100%-owned Burro Creek and Wikieup lithium-clay projects in Arizona. At Burro Creek East, where Bradda has a JORC resource of 185kt of lithium carbonate equivalent (LCE), geophysics align with the company’s model that the higher-grade Upper Clay zone thickens to the west-northwest, providing an attractive target for future drilling. At Wikieup, geophysics revealed clay thickness of up to 90m, comparable to what has been seen at the adjacent Big Sandy deposit (lithium grade of 1,850ppm) owned by Arizona Lithium (ASX:AZL, Not Rated), and adjacent to Bradda Head’s Wikieup claims. Drilling is also planned to commence in sections 12 and 13 at Wikieup during Q4/21. In our view, drilling serves as a significant catalyst for the stock as just 2% of the 47km2 land package has seen drilling to date. Furthermore, the company recently commenced its preliminary metallurgical test work at Burrow Creek East and we anticipate results in the near-term (read more). We believe that Bradda Head has several positive attributes for investors: 1) multiple projects across multiple deposit types, 2) great jurisdictions with high Fraser Institute rankings (NV, AZ), 3) good infrastructure, 4) low political risks, 5) low geological risk, 6) low C footprint, 7) geological upside, and 8) management is heavily aligned with investors (24% ownership). Read more
