Senior Mining Executive Ian Stalker
Appointed CEO
Exploration Results on Salar de Pozuelos
Maintain Favourable Lithium Brine Values
Drilling Started on Salar de Pastos
Grandes
VES Geophysics Results for Salar de Jama
Show Deep Brine Basin
Geophysics and Twin Hole Confirmation
Program to Commence on Rio Grande
Early Start on Salinas Grande Confirmation
Program Expected
TORONTO, Sept. 6, 2017
/CNW/ - LSC Lithium Corporation ("LSC" or the
"Company") (TSXV: LSC) is pleased to announce the
appointment of Mr. Ian Stalker as
President and CEO of the Company. Mr. Stalker is a senior
international mining executive with over forty-five years of "hands
on" experience in resource development, mine construction, and
operations in Europe, Africa, South
America, and Australia. He
has been responsible for managing development of over twelve major
mining projects from initial exploration drilling to start-up
including gold, base metal, uranium and industrial minerals. Mr.
Stalker is also experienced with developing corporate strategies
that have resulted in a range of M&A and company growth
options. Mr. Stalker is a graduate in chemical engineering from
Strathclyde University, Glasgow, Scotland.
Mr. Stalker completed a site visit to review the current
exploration programs on August 27th.
He commented as follows: "I am extremely pleased to see the
rapid progress and excellent results. The results to date are, in
my opinion, outstanding with 6 major projects being explored. Aside
from the initial favourable results at Pozuelos and the
commencement of drilling at Pastos Grandes, the other salars in
LSC's expansive portfolio including Salinas Grandes, Rio Grande,
and Jama represent significant potential for the discovery of large
lithium resources. LSC is rapidly building up its team to
accelerate exploration on its key properties. The Company is
committed to being a leader in lithium exploration and development
in Argentina and I am confident
that LSC has the quality assets to deliver on that commitment. I am
also pleased with the continued co-operation of the Local
Communities and the Provincial Authorities."
Exploration Update
Over the past several months, LSC has focused on advancing
exploration activities on its lithium brine projects in
Northern Argentina and is
currently undertaking exploration on its Salar de Pozuelos, Salar
de Pastos Grandes, and Salar de Jama properties, with planned
programs estimated to commence on the Salar de Rio Grande and Salar
de Salinas Grandes properties in mid-September, with the intent of
developing NI 43-101 Resources in some of these license areas by
year end and in understanding the potential resources in
others.
Key Highlights:
1) Salar de Pozuelos - Recent 'long-term' pumping tests on W1-35
and W2-90 Wells, supports the consistent favourable chemistry of
the lithium brine at Salar de Pozuelos and the productive
capability of both the upper highly fractured halite zone and the
lower, more compact halite zone.
2) Salar de Pozuelos - LSC has now completed 7 holes of a
15-hole diamond drill program on Salar de Pozuelos. The program is
designed to evaluate the lithology and brine chemistry across the
full extent of the salar to depths of approximately 200 m, the
previously identified limit of porous clastic material (see LSC
press release of April 10, 2017 for
details). The assays to date show the brine has excellent brine
chemistry and that the brine values down hole are consistent
with the surface sampling results obtained earlier (see LSC NI
43-101 report filed on LSC's SEDAR profile for details).
3) Salar de Pastos Grandes - LSC commenced a planned 7-hole
drill program on Salar de Pastos Grandes in mid-August. LSC
anticipates being able to complete an initial NI 43-101 resource
report on its Salar de Pastos Grandes property by the end of Q2
2018.
4) Salar de Jama - LSC is highly encouraged by the recent
results from its a Vertical Electrical Sounding ("VES")
geophysical exploration program that show a deep conductive basin
extending over a much greater area and to greater depths than
originally expected.
5) Salar de Rio Grande - LSC plans to commence a program 3D
seismic and CS-AMT geophysical exploration and twin drilling and
pumping tests at its Salar de Rio Grande by mid-September and then
releasing an initial NI 43-101 lithium resource report on
the Salar de Rio Grande property by the end of 2017.
6) Salar de Salinas Grandes - This Salar is over 30,000 hectares
in surface area and therefore offers a significant standalone
operational opportunity. LSC intends to resample the wells and
trenches on the tenements previously held by Orocobre Ltd. in order
to verify the historic data associated with the property and
thereby adopt the current NI 43-101 resource report (see Technical
Report on the Salinas Grandes Lithium Project – April 16, 2012, amended August 12, 2013) on the affected tenements. It
is anticipated the work can be completed by the end of 2017.
LSC is also pleased to report that the Company has approval from
local communities to commence geophysical exploration work on the
Jujuy side of Salar de Salinas Grandes, and it is working with
the state authorities to formalize these approvals.
Figure 1 illustrates the locations of the various
properties.
Salar de Pozuelos
LSC previously announced initial exploration results on the
Salar de Pozuelos property in a press release dated April 10, 2017, including results for pumping
step tests on pumping wells W1-35 and W2-90 located in the
south-central part of the Salar de Pozuelos. Long-term pumping
tests have now been completed on the two wells. A 30-day test was
run on W1-35 and a 15-day test was run on W2-90. The planned
30-day tests for W2-90 was terminated at 15 days due to weather
issues preventing fuel delivery for the generator. Pumping well
W1-35 was drilled to a depth of 45 m and completed with a screen
interval from 0 m to 35 m. Well W2-90 was drilled to a depth of 95
m with a screen interval from 35 m to 80 m. In addition,
piezometric wells were drilled to depths of either 35 m or 90 m at
distances of 5 m, 20 m and 50 m from the pumping wells to develop
data on well performance.
Short-term stress test results for W1-35 were reported in the
April 10, 2017 press release. Results
for the short-term stress tests for well W2-90 are reported here.
Short-term pumping tests on well W2-90 (see LSC press release dated
April 10, 2017 for location) were run
to stress the well and develop data on the hydraulic properties of
the 35 m – 80 m depth interval of the salar. The tests were run at
pump rates of 5.29 m3/hr to 13.14 m3/hr over
a 6-hour period. The maximum drawdown was 7.75 m at the maximum
pumping rate. Brine samples were taken at periodic intervals
throughout the test. The results showed consistent Li assays
averaging 545 mg/L lithium and a constant Mg:Li ratio of 5:1. As
anticipated, drawdown was higher and recovery slower for the W2-90
compared to W1-35 due to the relatively low porosity and
transmissivity of the deeper lying compact halite. Nevertheless,
reasonable pumping rates were achieved. Overall, the long-term
tests confirmed the consistent favourable chemistry of the lithium
brine at Salar de Pozuelos and the productive capability of both
the upper highly fractured halite zone and the lower, more compact
halite zone.
A 28.3 km line seismic program was completed on Salar de
Pozuelos on May 25, 2017. The work
was contracted to GEOAR SRL. The seismic work identified a number
of key features of the salar basin and, together with the
previously completed VES and TM geophysical work (see LSC NI 43-101
report on Salar de Pozuelos filed on LSC's SEDAR profile for
details) guided the placement of exploration drill holes.
The 30-day test for W1-35 ran from March
29 through April 29 at a constant pumping rate of 34
m3/hr. Brine samples were initially collected every 6
hours and then every 12 hours after running for 3 days. The results
of the sample assays showed very consistent lithium, potassium and
magnesium values, with lithium averaging 591 mg/L and a constant
Mg:Li ratio of 4:1. The test for well W2-90 ran for 15 days from
May 23 through June 7 at a constant
pumping rate of 15.6 m3/hr. Brine samples were collected
initially at 6-hour intervals and then 12-hour intervals. The brine
assay results showed consistent lithium, potassium and magnesium
values, with an average lithium assay of 548 mg/L and a Mg:Li ratio
of 5:1. Overall, the long-term tests confirmed the consistent
favourable chemistry of the lithium brine at Salar de Pozuelos and
the productive capability of both the upper highly fractured halite
zone and the lower, more compact halite zone.
LSC has now completed 7 holes of a 15-hole diamond drill program
on Salar de Pozuelos. The program is designed to evaluate the
lithology and brine chemistry across the full extent of the salar
to depths of approximately 200 m, the previously identified limit
of porous clastic material (see LSC press release of April 10, 2017 for details). Results to date are
confirming the seismic, VES and TM data with respect to basin
structure. Table 1 provides information on the holes completed to
date for the current 15-hole program.
Table 1: Diamond Drill Program Summary – Salar de
Pozuelos
(Results to date)
Hole
|
POSGAR 94
datum
|
Depth
(m)
|
Azimuth
|
Dip
|
Type
|
Size
|
Northing
|
Easting
|
SP-2017-15
|
7263361
|
3415966
|
81.5
|
0
|
90
|
DDH
|
HQ
|
SP-2017-11
|
7265026
|
3411995
|
51.8
|
0
|
90
|
DDH
|
HQ
|
SP-2017-10
|
7265938
|
3413194
|
141.5
|
0
|
90
|
DDH
|
HQ
|
SP-2017-02
|
7270779
|
3416480
|
128.0
|
0
|
90
|
DDH
|
HQ
|
SP-2017-06
|
7268948
|
3417304
|
200.0
|
0
|
90
|
DDH
|
HQ
|
SP-2017-05
|
7268941
|
3415996
|
101.0
|
0
|
90
|
DDH
|
HQ
|
SP-2017-07
|
7268946
|
3418346
|
105.0
|
0
|
90
|
DDH
|
HQ
|
Drill core recovery was high, with recoveries typically in
excess of 90%. The drill core logs confirm the lithology of the new
holes corresponds to that previously observed, with highly
fractured to moderately fractured halite down to approximately 35
m. Halite progressively becomes more massive to depths of
approximately 50 m to 90 m depth depending on location, where the
lithology transitions to a mix of clay/halite and then to a
sand/gravel zone of variable depth. All drill core is photographed
and logged prior to sampling for porosity.
Brine samples are recovered from the diamond holes using a
packer system to isolate specific levels in the holes. The results
to date show consistent lithium brine grades down hole, as detailed
in Table 2. Assay data for Holes SP-2017-06 and SP-2017-07 are
expected within the next two weeks. The assays show the brine has
excellent brine chemistry and that the brine values down hole are
consistent with the surface sampling results obtained earlier (see
LSC NI 43-101 report filed on LSC's SEDAR profile for
details).
Table 2: Brine Packer Sample
Results1
Salar de Pozuelos 2017 Diamond Drill
Program
(Results as of Sept. 1,
2017)
Hole
No.
|
Sample
Interval
(depth,
m)
|
Li
(mg/L,
average)
|
Li Assay
Range
(mg/L)
|
Mg/Li
|
SO4/Ca
|
Mg/Ca
|
K/Li
|
SO4/Li
|
Density
(g/mL)
|
SP-2017-15
|
18.2 –
81.0
|
370
|
361-385
|
7
|
0.97
|
1.20
|
7.57
|
8.40
|
1.214
|
SP-2017-11
|
13.2 –
42.2
|
466
|
402-557
|
6
|
1.45
|
1.20
|
8.86
|
7.70
|
1.215
|
SP-2017-10
|
24.2 –
94.2
|
458
|
371-576
|
6
|
3.92
|
1.45
|
9.27
|
15.53
|
1.217
|
SP-2017-02
|
6.0 – 76.0
|
446
|
360-507
|
8
|
12.56
|
3.66
|
9.21
|
25.66
|
1.217
|
SP-2017-05
|
12 - 101
|
245
|
169-290
|
9
|
4.66
|
1.71
|
11.97
|
24.47
|
1.213
|
1) results are
averages over the stated interval for each hole
|
LSC anticipates completing the drilling and sampling program on
Salar de Pozuelos by the end of September. A program to explore and
assess the water-brine interface at the salar margins and develop
data for a water balance and enhance understanding of the salar
hydrology and hydrogeology for sustainable development of the salar
is planned to commence in early October. LSC anticipates completing
an initial NI 43-101 resource report by the end of Q4 2017.
Salar de Pastos Grandes
LSC commenced a planned 7-hole drill program on Salar de Pastos
Grandes in mid-August. The hole locations for the drill program
were based on the results of a VES geophysical survey completed by
LSC in late 2016. The first hole reached 110 m and was stopped
due to issues with artesian pressure in the well. The hole was
relocated to a more favourable location and reached 152 m as of
September 2nd. The remaining holes
are planned for completion prior to commencement of the wet season
in mid-December, with all holes to be drilled and completed to
minimize technical issues related to zones of artesian pressure.
All planned drill holes have target depths of 400 m. Packer samples
and porosity samples (RBRC samples) are being collected as part of
the drill program. Results will be released as data becomes
available. The exploration program includes planned drilling of 4
pumping wells for long-term (30 day) pumping tests, scheduled for
Q1 2018. Geophysical work including CS-AMT (closed source audio
magneto-telluric) and additional VES work is planned to commence in
late October to better define the salar boundary conditions and
develop data for the hydrology/hydrogeology models. LSC anticipates
being able to complete an initial NI 43-101 resource report on its
Salar de Pastos Grandes property by the end of Q2 2018.
Salar de Jama
The results of a VES geophysical exploration program on Salar de
Jama have been received. The results show a deep conductive basin
extending over a much greater area and to greater depths than
originally expected. LSC is highly encouraged by the results and is
developing a program of additional geophysical work (3D seismic and
CS-AMT) and diamond drilling to better establish the potential of
the Salar de Jama. Community engagement programs are well advanced
and it is anticipated LSC will be able to commence the additional
geophysical work and a program of shallow drilling later this year,
followed by a program of deep drilling in the first quarter of
2018. LSC anticipates being able to complete an initial NI 43-101
resource report on Salar de Jama by the end of Q2 2018.
Salar de Rio Grande
LSC plans to commence a program 3D seismic and CS-AMT
geophysical exploration and twin drilling and pumping tests at its
Salar de Rio Grande by mid-September. The purpose of the program is
to better define the basin structure and aquifer system and to
confirm historic drilling, assay and pumping data for the Rio
Grande property, which was previously operated by ADY Resources
Ltd. ("ADY") for sodium sulphate production. LSC obtained
the Rio Grande tenements from ADY as part of the investment by
Enirgi Group Corporation ("Enirgi Group"), parent company of
ADY, in LSC (see LSC NI 43-101 report filed on LSC's SEDAR profile
for details). LSC intends to twin selected drill holes to conform
the historical assay and porosity data and to rehabilitate one of
the existing pumping wells and run pumping tests to confirm the
historic data. Once the historic data is confirmed, LSC anticipates
releasing an initial NI 43-101 lithium resource report on the Salar
de Rio Grande property by the end of 2017.
Salar de Salinas Grandes
LSC is making substantial progress on securing community
approval to commence initial exploration work on the Salta side of
Salar de Salinas Grandes. As part of this work, LSC is proposing to
rehabilitate drill and trench sites remaining from work undertaken
by Orocobre Ltd. in 2011 and 2012 on tenements now owned by LSC
(see LSC press releases dated March 29,
2017 and June 5, 2017). As
part of the rehabilitation process, LSC intends to resample the
wells and trenches in order to verify the historic Orocobre data
and thereby adopt the current Orocobre NI 43-101 resource report
(see Technical Report on the Salinas Grandes Lithium Project –
April 16, 2012, amended August 12, 2013 under Orocobre's SEDAR profile)
on the affected tenements. It is anticipated the work can be
completed by the end of 2017.
LSC is also pleased to report that the Company has approval from
local communities to commence geophysical exploration work on the
Jujuy side of Salar de Salinas Grandes and it is working with the
state authorities to formalize these approvals. This work is
planned to commence with a program of gravity, VES and CS-AMT/TEM
work to define basin dimensions and structure and aquifer zones.
Receipt of the work permit will demonstrate LSC's commitment to
effective community relations and sound exploration program design
and execution.
Sampling and QA/QC
Brine sampling for packer tests involved collection of brine
from the sample interval in a 20-litre container, which was flushed
with fresh brine several times prior to collection of the sample.
Brine was poured into 1-litre sample bottles which had been
previously flushed with fresh brine from the 20-litre container
several times. Sample bottles were filled to the top to eliminate
the inclusion of air and sealed with a leak proof lid. Samples were
labelled and labels covered in clear tape to prevent erasure of
sample information. All samples remained in the possession of the
site geologist until delivery to an Alex
Stewart Argentina ("ASA") laboratory in either
Mendoza or Jujuy, Argentina by courier. Brine sampling for the pump
stress test involved collection of samples from a valve attached to
the pump outlet. Brine was allowed to flush and then fresh brine
was used to wash the sample bottle several times before collecting
the sample. Sample bottles were 1-litre in size and were filled to
the top to prevent entrance of air. The samples were sealed with a
leak proof lid, labelled and the label covered by clear tape.
Samples remained in the possession of the site until delivery by
courier to the assay laboratory.
LSC has a well-developed QA/QC program. Brine assays are
undertaken at ASA at laboratories in Mendoza or Jujuy. ASA is
independent of LSC and has significant experience in assaying
lithium brines and is certified to ISO17025 standards. Brine assays
are undertaken using the methods shown in Table 3.
Table 3: Methods for Brine Assays
Analyze
|
Method
|
ASA Method
Name
|
Limit of
Detection
|
Li
|
ICP
|
LMMT03
|
0.05 mg/L
|
Ca
|
ICP
|
LMMT03
|
0.025 mg/L
|
Mg
|
ICP
|
LMMT03
|
0.05 mg/L
|
B
|
ICP
|
LMMT03
|
0.05 mg/L
|
Na
|
ICP
|
LMMT03
|
0.1 mg/L
|
K
|
ICP
|
LMMT03
|
0.25 mg/L
|
Ba
|
ICP
|
LMMT03
|
0.01 mg/L
|
Sr
|
ICP
|
LMMT03
|
0.005 mg/L
|
Fe
|
ICP
|
LMMT03
|
0.01 mg/L
|
Mn
|
ICP
|
LMMT03
|
0.05 mg/L
|
Cl-
|
Argentometric
|
LMC101
|
250 mg/L
|
PO43-
|
Colorometric
|
LMC107
|
1 mg/L
|
SO42-
|
Gravimetric
|
LMC122
|
10 mg/L
|
Alkalinity
|
Volumetric
|
LMFQ15
|
20 mg/L
|
CO32-
|
Volumetric
|
LMFQ16
|
10 mg/L
|
HCO3-
|
Volumetric
|
LMFQ17
|
10 mg/L
|
Density
|
Pycnometer
|
LMFQ19
|
|
Hardness
|
Volumetric
|
LMFQ13
|
20
mgCaCO3/L
|
pH
|
Potentiometric
|
LMC128
|
|
Conductivity
|
Potentiometric
|
LMFQ01
|
|
TDS
|
Gravimetric
|
LMFQ08
|
|
ASA runs internal duplicates at a rate of 1 in 20. LSC inserts
duplicates at a rate of 1 in 10. LSC inserts blanks and standards
in sample batches at a rate of 1 in 20. Standards are internal
standards developed by LSC that have been independently certified
by round robin testing. LSC uses distilled water as blanks. Check
samples are assayed at approved and certified laboratories in
Argentina or Chile.
Qualified Person/Data Verification
The scientific and technical information included in this press
release is based upon information prepared and approved by
Donald H. Hains, P.Geo. Mr. Hains is
a qualified person, as defined in NI 43-101 and is independent of
LSC and Enirgi Group. Mr. Hains has verified all sampling,
analytical and test data underlying the information contained in
this press release by on-site inspection during drilling, brine
sampling, and selection of RBRC samples; review of drill core
photographs to verify lithology; review of certified assay
certificates against the assay data base; review of pump test data;
and review of RBRC results received from DBSA. There are no
drilling, sampling, recovery or other factors that could materially
affect the accuracy and reliability of the data.
ABOUT LSC LITHIUM CORPORATION:
LSC has amassed a large portfolio of prospective lithium rich
salars in Northern Argentina.
LSC's six flagship properties of Pozuelos, Pastos Grandes, Salinas
Grandes (Salta), Salinas Grandes (Jujuy), Rio Grande and Jama are
located in the "Lithium Triangle", an area at the intersection of
Argentina, Bolivia and
Chile where the world's most
abundant lithium brine deposits are found. LSC holds a land package
portfolio totaling approximately 300,000 hectares, which represents
extensive lithium prospective salar holdings in Argentina.
Forward-Looking Statements
Certain statements contained in this news release constitute
forward-looking information. These statements relate to future
events or future performance, including statements as to the
following: the timing and ability to complete further exploration
work on Salar de Pozuelos, the timing of receiving assay data on
the Salar de Pozuelos, completion of remaining drill holes on Salar
de Pastos Grandes, the timing and ability to complete a NI 43-101
on Salar de Pastos Grandes, Salar de Rio Grande and Salar de
Pozuelos, ability and timing to commence additional geophysical
work on Salar de Jama, ability to twin selected drill holes on
Salar de Rio Grande, ability and timing to rehabilitate drill and
trench sites and resample wells and trenches on Salar de Salinas
Grandes, ability and timing to adopt the current Orocobre NI 43-101
resource report on the Salar de Salinas Grandes, the timing for
testing brines at Enirgi Group's Salar del Rincón demonstration
plant, the definition of any mineral resources or mineral reserve
estimates pursuant to NI 43-101 on our properties, the timing for
potential future production at our properties, the use and
application of Enirgi Group's Direct Xtraction Process Technology
at our properties, completion of work programs on our properties,
and the ongoing strategic relationship with Enirgi Group.
The use of any of the words "could", "intend", "expect",
"believe", "will", "projected", "estimated" and similar expressions
and statements relating to matters that are not historical facts
are intended to identify forward-looking information and are based
on LSC's current belief or assumptions as to the outcome and timing
of such future events. Whether actual results and developments will
conform with LSC's expectations is subject to a number of risks and
uncertainties including factors underlying management's
assumptions, such as risks related to exploration and the
establishment of resources and reserves on LSC properties; the
application and future licensing of new technologies; the
risks around timing, permitting, funding and construction of
a regional processing facility at the Salar del Rincón by Enirgi
Group and the ability of LSC to fast-track production from its own
properties by supplying brine to such a facility; risks
relating to proposed acquisitions; volatility in lithium prices and
the market for lithium; exchange rate fluctuations; volatility in
LSC's share price; the requirement for significant additional funds
for development that may not be available; changes in national and
local government legislation, including permitting and licensing
regimes and taxation policies and the enforcement thereof;
regulatory, political or economic developments in Argentina or elsewhere; litigation; title,
permit or license disputes related to interests on any of the
properties in which the Company holds an interest; excessive cost
escalation as well as development, permitting, infrastructure,
operating or technical difficulties on any of the Company's
properties; risks and hazards associated with the business of
development and mining on any of the Company's properties.
Actual future results may differ materially. The forward-looking
information contained in this release is made as of the date hereof
and LSC is not obligated to update or revise any forward-looking
information, whether as a result of new information, future events
or otherwise, except as required by applicable securities laws.
Because of the risks, uncertainties and assumptions contained
herein, investors should not place undue reliance on
forward-looking information. The foregoing statements expressly
qualify any forward-looking information contained herein. For more
information see the Company's filing statement on SEDAR at
www.sedar.com.
Neither the TSX Venture Exchange Inc. 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 release.
The TSX Venture Exchange Inc. has neither approved nor
disapproved the contents of this press release.
SOURCE LSC Lithium Corporation