With the drill rig mobilised, Solis Minerals Ltd (ASX:SLM, TSX-V:SLMN, OTCQB:SLMFF) has begun its maiden drill program at its flagship Jaguar Lithium Project in Brazil as it looks to build a new battery minerals business in South America.
The news comes just 22 days after an option agreement was executed to acquire the project and only 15 days after the company received firm commitments to raise A$8.155 million to fully fund the start of exploration drilling at the Jaguar and Borborema lithium projects.
Solis’ largest shareholder, Latin Resources Ltd (ASX:LRS, OTC:LRSRF) increased its substantial holding to 17.79%, while directors subscribed for A$200,000 during the placement, noting their confidence in the project.
The Jaguar Lithium Project in Bahia state has confirmed spodumene grades of up to 4.95% Li2O (lithium oxide) from rock chip samples.
The Jaguar pegmatite is an extensive pegmatite body mapped over 1 kilometre of strike with widths in excess of 50 metres containing coarse visible spodumene exposed across the pegmatite body.
The markets have welcomed the news with shares trading as high as $1.17, up 23.1% from previous close.
About drilling
Drilling is designed to test the depth and strike extent of a known Jaguar pegmatite in what is potentially Brazil’s next major lithium province.
Moving forward, Solis is targeting the first drill hole down dip extension of outcropping pegmatite in artisanal workings, scheduled to be completed by the end of June.
Soils executive director Matt Boyes said: “We are delighted to announce the commencement of our maiden drilling program at Jaguar a mere 22 days after executing the option agreement over the project.
“The program is designed to provide our first indication of the potential strike, depth and thickness, along with confirmation of mineralisation style and grade.
“It’s an extremely exciting time for the company and its shareholders, as we drill at a previously underexplored pegmatite in what we hope will become Brazil’s next major lithium province.
“I look forward to arriving on site as the first core is pulled from our maiden drill hole.”
Solis geologist standing in the artisanal workings with large white spodumene crystals exposed in the face.
Forward plan
The company’s first hole is expected to provide a better understanding of the structural controls and orientation of mineralisation and will be followed by step-out drill fences to define the continuity of the system.
The initial program is expected to take about 90 days to complete.
All drill cores will be processed at the company’s facilities nearby and sent to SGS laboratories in the State of Minas Gerais for assaying where current turnaround times are around 20-days from the submission date.
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