Impact: Positive
Bradda Head reported assays from two additional holes, from the 2023 drill program at its 100%-owned Basin East Li clay project in Arizona (Figures 1 & 2). The drill program focused on expanding the existing resource base and delineating additional lithium-rich zones, particularly in the Basin East Extension (BEE) claims. Assays have returned the highest-grade intercept at the project to date of 2,791 ppm Li over 0.40m. Other notable intercepts included: 1) 903 ppm Li over 88.70m including 1,427 ppm Li over 12.51m (BES23-11) and 2) 983 ppm Li over 75.12m including 1,399 ppm Li over 27.60m (BES23-12). Molybdenum assays have also returned high grade results including 641 ppm over 1.22m. The Basin project currently hosts 371kt LCE in resources (read note), and increasing this to 1Mt LCE, triggers the next US$2.5M payment from Lithium Royalty Corp. (TSX:LIRC, Not Rated). We believe the 2023 drill program has demonstrated resource expansion potential, and we look forward to seeing the updated resource estimate next month. A Phase 3 (~10,000m program) is also underway at Bradda’s 100%-owned San Domingo lithium pegmatite project in Arizona, with the objective of delineating a maiden resource estimate. We are encouraged to see drills turning at San Domingo as previous results have returned high grade Li intercepts from shallow depths (read note).
