Piedmont Lithium (ASX:NASDAQ:PLL, OTC:PLLTL) Inc welcomes broad, high-grade results from resource and exploration drilling by its investment Atlantic Lithium Limited (AIM:ALL, OTCQX:ALLIF, ASX:A11) at the Ewoyaa Lithium Project in Ghana, West Africa.
Further assay results have been received from 6,150 metres of infill and exploration reverse circulation (RC) and groundwater monitoring drilling completed at Ewoyaa as part of a broader 18,500-metre 2023 planned drilling program.
At Ewoyaa South-2 deposit high-grade infill intersections have been returned in a program aimed at converting inferred resources to the indicated category.
Mineralisation extended
Mineralisation has been extended at Ewoyaa South-2 and Ewoyaa North-East deposits, outside the current JORC 2012-compliant Ewoyaa mineral resource estimate (MRE) of 35.3 million tonnes at 1.25% Li2O.
Additional intersections have also been received from the Kaampakrom Ewoyaa Main and Ewoyaa North-West deposits, also outside the current resource.
High-grade results
New results from the drilling include:
- 48 metres at 1.31% Li2O from 137 metres;
- 24 metres at 1.86% from 10 metres;
- 29 metres at 1.37% from 184 metres;
- 29 metres at 1.2% from 69 metres;
- 23 metres at 1.51% from 23 metres;
- 13 metres at 1.19% from 28 metres;
- 9 metres at 1.6% from 223 metres;
- 9 metres at 1.48% from 44 metres; and
- 8 metres at 1.18% from 75 metres.
Atlantic Lithium executive chairman Neil Herbert said: “We are pleased to report ongoing drilling assay results across the Ewoyaa Lithium Project, which have returned high-grade infill and extension intersections.
“Further results from the Ewoyaa South-2 and Ewoyaa North-East deposit have extended mineralisation outside of the current resource envelope, including 48 metres at 1.13% Li2O from 137 metres at Ewoyaa South-2, where mineralisation remains open along strike and at depth.
“A total of 18,500 metres of infill, extensional and exploration RC drilling has been planned for 2023.
“These programs are intended to grow and improve the confidence of the Ewoyaa resource, in turn, improving the economics of the project.”
Piedmont funding agreement
Atlantic Lithium is an African-focused lithium exploration and development company targeting to deliver Ghana’s first lithium mine from the flagship project, Ewoyaa, a significant lithium spodumene pegmatite discovery.
The company has a funding agreement with Piedmont Lithium (ASX:PLL, OTC:PLLTL) Inc., which is supporting the development of the Ewoyaa Project.
READ: Atlantic Lithium's partner commits to bulk of Ewoyaa build costs
Last month Piedmont committed to supporting the development of the Ewoyaa project to production.
In total, Ewoyaa will cost US$185 million to build and commission, according to a definitive feasibility study (DFS).
In financial terms, this will mean Piedmont will pay solely for the first US$70 million of construction costs and 50% of the additional US$115 million.
Piedmont has also exercised an option to take a 22.5% in Ewoyaa and Atlantic’s other lithium projects in Ghana that it earned through funding exploration and the DFS.
That stake can rise to 50% after it completes all of its funding commitments. Atlantic Lithium is responsible for the remainder of the costs of construction.
Production of spodumene concentrate at Ewoyaa will start in 2025 once licences and approvals are finalised.