CALGARY,
AB, Jan. 22, 2025 /CNW/ - (TSXV: GRD)
(OTCQB: GRDAF) – Grounded Lithium Corp. ("GLC" or the
"Company") announces completion of the 2024 field program
and provides an update on the ongoing Pre-Feasibility Study
("PFS") for the Kindersley Lithium Project
("KLP").
The Company, together with its strategic partner Denison Mines
Corp. ("Denison"), completed a field drill program at the
KLP's original 4-15-33-23W3 well (the "4-15 Well")
successfully re-entering and extending the well achieving several
defined objectives. Further, as part of the PFS preparation,
the Company and Denison commenced extensive metallurgical testing
and a depletion modeling exercise. These efforts provide a
deliberate, planned and methodical approach to further refine the
commercial confidence level in the pending independently authored
PFS by Stantec Inc. ("Stantec") planned for completion mid
2025.
"We are very pleased with the timely completion of the 2024
field program," commented Gregg
Smith, President and CEO. "The detailed information
gained from this program greatly assists in the understanding of
the Duperow formation and our systematic progression to the
completion of a PFS with its technical studies."
4-15 Field Program Results
The 4-15 Well was re-entered and deepened by 100 meters and
subsequently tested for lithium concentrations and flow rates at a
number of specific intervals across the entire Duperow formation,
including newly accessible lower horizons. Previous test work
focused on a single 178 metre thick interval considered to provide
the greatest deliverability of lithium-rich brine. These
recent activities confirmed many of the preliminary understandings
but more importantly, allowed the Company and Denison to identify
additional deliverability and extract large brine volumes from the
formation for planned metallurgical testing.
Field program key technical highlights include:
- 83 cubic metres or 525 barrels of bulk brine samples were
collected (see Figure 1);
- 11 intervals across the Duperow formation were tested for flow
capabilities and lithium concentrations with samples sent to three
independent labs for confirmation of lithium and ion
concentrations;
- Test results confirmed lithium concentrations from zones
previously tested at 76.5 milligrams/litre;
- Tests of the newly drilled lower zone, in the base of the
Duperow formation, demonstrated high additional deliverability with
lithium brine concentrations at 66 milligrams/litre, which has the
potential to contribute to the overall deliverability of the
KLP;
- Direct lithium extraction test work has commenced using the
brines recovered from the field program. Evaluations are
underway at three independent extraction technology labs and two
governmental research labs for respective lab-pilot testing to
ultimately support facility design;
- The 3D reservoir depletion modelling underway benefits from the
additional data for brine flow rates, pressures, and brine
concentrations, which will support the development of production
models and the associated well patterns and site infrastructure
designs.
About Grounded Lithium Corp.
GLC is a publicly traded lithium brine exploration and
development company that owns approximately 1.0 million metric
tonnes of Measured & Indicated lithium carbonate equivalent
mineral resource and approximately 3.2 million metric tonnes of
Inferred lithium carbonate equivalent resource over our focused
land holdings in Southwest
Saskatchewan as per the Company's updated PEA. The
updated PEA, titled "NI 43-101 Technical Report: Preliminary
Economic Assessment Kindersley Lithium Project – Phase 1
Update" dated November 7, 2023,
and effective as of June 30, 2023,
reports a Phase 1 NPV8 after-tax of US$1.0 billion with an after-tax IRR of
48.5%. In January 2024, GLC
entered into an agreement with Denison whereby Denison has the
option to earn up to a 75% working interest in the KLP by funding
in aggregate up to $15,150,000
comprised of both cash payments to GLC of up to $3,150,000 and funding project expenditures of up
to $12,000,000 through a structured
earn-in option.
GLC's multi-faceted business model involves the consolidation,
delineation, exploitation and ultimately development of our
opportunity base to fulfill our vision to build a best-in-class,
environmentally responsible, Canadian lithium producer supporting
the global energy transition shift. U.S. investors can find
current financial disclosure and Real-Time Level 2 quotes for the
Company on https://www.otcmarkets.com/.
Qualified Person
Scientific and technical information contained in this press
release has been prepared under the supervision of Doug Ashton, P.Eng., Alexey Romanov, P. Geo., Meghan Klein, P. Eng., Dean Quirk, P.Eng., Jeffrey Weiss, P.Eng., Chad Hitchings., P.L. Eng., and Michael Munteanu, P.Eng., each of whom is a
qualified person within the meaning of NI 43-101.
Forward-Looking Statements
This press release may contain forward-looking statements and
forward-looking information within the meaning of applicable
Canadian securities laws. The opinions, forecasts, projections and
statements about future events of results, are forward looking
information, forward-looking statements or financial outlooks
(collectively, "forward-looking statements") under the
meaning of applicable Canadian securities laws. These statements
are made as of the date of this press release and the fact that
this press release remains available does not constitute a
representation by GLC that the Company believes these
forward-looking statements continue to be true as of any subsequent
date. Although GLC believes that the assumptions underlying, and
expectations reflected in, these forward-looking statements are
reasonable, it can give no assurance that these assumptions and
expectations will prove to be correct. Such statements include, but
are not limited to, statements pertaining to: conducting analysis
on the KLP reservoir, including metallurgical testing and depletion
modelling, and the ability of such analysis to support a PFS to
advance the further evaluation of the KLP; the completion of a PFS
in respect of the KLP and the expected timing thereof; the
deliverability of the KLP and the potential impact of test results
thereon; the testing and evaluation of lithium extraction
technologies and the results thereof supporting facility design;
the ability of reservoir depletion modelling to benefit from
additional data and the expectation that such modelling will
support the development of production models and the associated
well patterns and site infrastructure designs; the outcome of the
PFS; the funding of project expenditures being funded by Denison
and the quantum thereof; Denison earning into subsequent phases
under its earn-in agreement with GLC; Denison remitting cash
payments to the Company and the quantum thereof; the consolidation,
delineation, exploitation and development of GLC's opportunity
base; and GLC's vision of becoming a best-in-class, environmentally
responsible, Canadian lithium producer supporting the global energy
transition shift.
Among the important factors, risks, uncertainties and
assumptions that could cause actual results to differ materially
from those indicated by such forward-looking statements are:
unexpected problems can arise due to technical difficulties and
operational difficulties which impact the production, transport or
sale of our products; geographic and weather conditions can impact
the production; the risk that current global economic and credit
conditions may impact commodity prices and consumption more than
GLC currently predicts; the failure to obtain financing on
reasonable terms; the risk that unexpected delays and difficulties
in developing currently owned properties may occur; the failure of
drilling to result in commercial projects; unexpected delays due to
the limited availability of drilling equipment and personnel;
Denison electing to fund project expenditures; the costs associated
with, and outcome of, field programs, lab pilots and the PFS; and
the other risk factors detailed from time to time in GLC's periodic
reports. GLC's forward-looking statements are expressly qualified
in their entirety by this cautionary statement.
This news release shall not constitute an offer to sell or
the solicitation of an offer to buy any securities in any
jurisdiction.
Neither the TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or
accuracy of this news release.
View original content to download
multimedia:https://www.prnewswire.com/news-releases/grounded-lithium-announces-completion-of-2024-field-program-on-the-kindersley-lithium-project-and-provides-pfs-progress-update-302357040.html
SOURCE Grounded Lithium Corp.