Aussie company signs agreement with Argentinian province over lithium assets
Sydney-based Lake Resources (ASX:LKE) announced today that it has signed an agreement with the Argentinian province of Jujuy to confirm the company’s tenure of ~45,000 hectares of mining leases that cover the Olaroz – Cauchari Lithium Brine Project and the Paso Lithium Brine Project.
“The applications adjoin the production leases owned by Orocobre and SQM/Lithium Americas and have the potential to display lithium in the same aquifers. Prime lithium brine areas were applied for ‘pre-boom’ by the entities acquired by Lake Resources in November 2016,” the firm explained in a press release.
According to Lake, this agreement will allow management to advance exploration efforts with preliminary work on environmental impact studies and community consultations, which would eventually expedite drill access.
“This is a major step forward and a significant value catalyst for Lake Resources. This is one of the largest land holdings in one of the prime lithium brine basins of the world and it confirms Lake’s substantial scale versus its peers. The applications were made well before lithium assets commanded high valuations in Argentina. The
leases are in the same basin as Orocobre, SQM/Lithium Americas, Advantage Lithium and LSC Lithium, which have proven and indeed excellent lithium grades and are either in production or heading that way rapidly,” Managing Director Steve Promnitz said in the statement.