Lithium Ionic Corp. (TSXV: LTH; OTCQX: LTHCF; FSE: H3N) (“Lithium
Ionic” or the “Company”) reports drill results from the Bandeira
Project (“Bandeira”), in northern Minas Gerais State, Brazil.
Bandeira is a 175-hectare property within its large 14,182-hectare
land package, located in a region recently coined “Lithium Valley”
by state officials, which is emerging as a globally significant
hard rock lithium-producing district.
These results form part of a large 50,000-metre
drill program underway for H2 2023, which is designed to expand and
upgrade existing mineral resource estimates and grow mineralization
at other prospective regional targets.
Bandeira Drill Intercept
Highlights (See Figure 1):
- 2.11% Li2O over 9.9m, 1.57%
Li2O over 8.5m and 1.62% Li2O over 6.6m(hole
ITDD-23-163)
- 1.73% Li2O over 10.4m and
1.40% Li2O over 8.9m (hole ITDD-23-164)
- 1.68% Li2O over 10.0m and
1.86% Li2O over 5.7m (hole ITDD-23-167)
- 1.88% Li2O over
8.0m (hole ITDD-23-165)
- 2.57% Li2O over
3.0m (hole ITDD-23-161)
- 1.57% Li2O over 4.9m, 1.82%
Li2O over 3.7m and 1.71% Li2O over 3.6m(hole
ITDD-23-154)
- 1.53% Li2O over
5.0m (hole ITDD-23-157)
Blake Hylands, P.Geo., Chief Executive Officer
of Lithium Ionic, commented, "Today's drill results underscore the
continued growth potential of Bandeira – a property which
represents only approximately 1% of our total land package in this
prolific lithium belt. The new mineral resource estimate we
reported earlier this month for Bandeira reflects a snapshot in
time, based on data up to August 2023. Since then, we have
conducted substantial drilling, including the strong results
announced today, which we expect will continue to improve the scale
and quality of this deposit, and will act as the cornerstone of our
forthcoming Feasibility Study."
On October 19, 2023, the Company reported a new
mineral resource estimate (“MRE”) for Bandeira of 13.72Mt grading
1.40% Li2O (474,892t LCE) in the Measured and Indicated category,
in addition to an Inferred resource estimate of 15.79Mt grading
1.34% Li2O (523,118t LCE). This MRE was based on 204 drill holes
with a data cut-off of August 30, 2023. An additional 34 holes,
including those announced today, have been drilled since then and
will be included in an updated mineral resource estimate along with
an independent NI 43-101 compliant Feasibility Study (“FS”),
expected to be completed in early 2024.
The Bandeira MRE from October 2023 formed the
basis of the Preliminary Economic Assessment (“PEA”) which
supported a long-life and low-cost spodumene concentrate mining
project with a post-tax Net Present Value (“NPV”)8% of US$1.6
billion (~C$2.2 billion) and an Internal Rate of Return (“IRR”) of
121% (see press release dated October 19, 2023).
The Bandeira Project is located in the same
district where Companhia Brasileira de Litio (CBL)’s Cachoeira mine
has been producing lithium for +30 years, and recent producer Sigma
Lithium operates the Grota do Cirillo project, which hosts the
largest hard rock lithium deposit in the Americas (See Figure
1).
The Company is rapidly advancing Bandeira
towards a production decision, while it continues to explore and
define regional targets. Permitting activities are progressing
well, in parallel with the advancement of project engineering. NEO
Agroambiental Ltda is completing the RCA (Environmental Control
Report) and PCA (Environmental Control Plan) to support the
application of a Concomitant Environmental and Installation License
(“LAC”, or Licença Ambiental Concomitante) for the Bandeira
operation, which is expected to be submitted by the end of the
year. The LAC is an accelerated permitting scenario available to
projects such as Bandeira, whose mine infrastructure covers a small
footprint where deforestation is not required. The LAC replaces the
first two steps of the environmental licensing process: the
Preliminary License (LP - Licença Prévia) and the Installation
License (LI – Licença de Instalação); which precede the final
Operating License (LO - Licença de Operação).
Figure 1. Bandeira Drill Collars and
Traces with Intercept Highlights
View Figure 1
here: https://www.globenewswire.com/NewsRoom/AttachmentNg/d6a61efa-35da-46c7-8eb4-b3cdd952f22b
Table 1. Bandeira Drill
Results
Hole ID |
Az |
Dip |
From |
To |
Metres |
Li2O (%) |
ITDD-23-152 |
150 |
-80 |
53.78 |
58.31 |
4.53 |
0.85 |
and |
272.95 |
274.60 |
1.65 |
1.52 |
and |
291.26 |
295.53 |
4.27 |
1.68 |
ITDD-23-153 |
150 |
-50 |
nsv |
ITDD-23-154 |
150 |
-65 |
108.52 |
113.42 |
4.90 |
1.57 |
and |
119.76 |
121.15 |
1.39 |
1.46 |
and |
296.12 |
298.14 |
2.02 |
1.58 |
and |
302.70 |
306.29 |
3.59 |
1.71 |
and |
332.07 |
335.08 |
3.01 |
1.80 |
and |
359.89 |
363.56 |
3.67 |
1.82 |
ITDD-23-157 |
150 |
-85 |
87.20 |
89.20 |
2.00 |
0.93 |
and |
190.25 |
193.25 |
3.00 |
0.65 |
and |
203.54 |
205.60 |
2.06 |
1.78 |
and |
291.46 |
293.46 |
2.00 |
1.66 |
and |
354.35 |
359.35 |
5.00 |
1.53 |
ITDD-23-159 |
150 |
-50 |
287.50 |
289.55 |
2.05 |
1.28 |
ITDD-23-160 |
150 |
-50 |
234.27 |
237.37 |
3.10 |
1.18 |
ITDD-23-161 |
150 |
-50 |
128.59 |
132.12 |
3.53 |
1.38 |
and |
174.56 |
177.56 |
3.00 |
2.57 |
and |
313.74 |
315.43 |
1.69 |
2.10 |
and |
351.41 |
354.37 |
2.96 |
1.16 |
ITDD-23-162 |
150 |
-79 |
53.69 |
56.49 |
2.80 |
1.10 |
and |
395.57 |
399.80 |
4.23 |
1.18 |
and |
458.62 |
462.24 |
3.62 |
1.22 |
ITDD-23-163 |
150 |
-55 |
355.35 |
358.35 |
3.00 |
0.97 |
and |
382.72 |
385.73 |
3.01 |
1.03 |
and |
392.27 |
397.65 |
5.38 |
1.04 |
and |
406.30 |
409.30 |
3.00 |
1.07 |
and |
425.03 |
434.90 |
9.87 |
2.11 |
and |
469.10 |
477.57 |
8.47 |
1.57 |
and |
511.31 |
517.88 |
6.57 |
1.62 |
ITDD-23-164 |
150 |
-50 |
81.29 |
83.39 |
2.10 |
1.61 |
and |
89.70 |
100.06 |
10.36 |
1.73 |
and |
170.48 |
173.30 |
2.82 |
1.73 |
and |
325.78 |
330.68 |
4.90 |
0.82 |
and |
415.18 |
416.80 |
1.62 |
1.56 |
and |
434.58 |
443.52 |
8.94 |
1.40 |
ITDD-23-165 |
150 |
-60 |
195.00 |
202.99 |
7.99 |
1.88 |
and |
338.94 |
342.77 |
3.83 |
1.42 |
ITDD-23-166 |
150 |
-50 |
97.55 |
99.71 |
2.16 |
2.03 |
ITDD-23-167 |
150 |
-79 |
228.46 |
238.50 |
10.04 |
1.68 |
and |
345.55 |
351.27 |
5.72 |
1.86 |
ITDD-23-168 |
0 |
-90 |
116.69 |
119.69 |
3.00 |
1.02 |
*Hole ITDD-23-155 released on Sept 13, 2023, and
holes ITDD-23-156 and ITDD-23-158 released on Sept. 27, 2023.
About Lithium Ionic Corp.
Lithium Ionic is a Canadian mining company
exploring and developing its lithium properties in Brazil. Its
flagship Itinga and Salinas projects cover 14,182 hectares in the
northeastern part of Minas Gerais state, a mining-friendly
jurisdiction that is quickly emerging as a world-class hard-rock
lithium district. The Itinga Project is situated in the same region
as CBL’s Cachoeira lithium mine, which has produced lithium for +30
years, as well as Sigma Lithium Corp.’s Grota do Cirilo project,
which hosts the largest hard-rock lithium deposit in the
Americas.
Quality Assurance and
Control
During the drill program, assay samples were
taken from NQ core and sawed in half. One-half was sent for
assaying at SGS Laboratory, a certified independent commercial
laboratory, and the other half was retained for results, cross
checks, and future reference. A strict QA/QC program was applied to
all samples. Every sample was processed with Drying, crushing from
75% to 3 mm, homogenization, quartering in Jones, spraying 250 to
300 g of sample in steel mill 95% to 150. SGS laboratory carried
out multi-element analysis for ICP90A analysis.
Qualified Persons
The technical information in this news release
has been prepared by Carlos Costa, Vice President Exploration of
Lithium Ionic and Blake Hylands, CEO and director of Lithium Ionic,
and both are “qualified persons” as defined in NI 43-101.
Investor and Media
Inquiries:
+1 647.316.2500info@lithiumionic.com
Cautionary Note Regarding
Forward-Looking Statements
This press release contains statements that
constitute “forward-statements.” Such forward looking statements
involve known and unknown risks, uncertainties and other factors
that may cause the Company’s actual results, performance or
achievements, or developments to differ materially from the
anticipated results, performance or achievements expressed or
implied by such forward-looking statements. Although the Company
believes, in light of the experience of its officers and directors,
current conditions and expected future developments and other
factors that have been considered appropriate that the expectations
reflected in this forward-looking information are reasonable, undue
reliance should not be placed on them because the Company can give
no assurance that they will prove to be correct. When used in this
press release, the words “estimate”, “project”, “belief”,
“anticipate”, “intend”, “expect”, “plan”, “predict”, “may” or
“should” and the negative of these words or such variations thereon
or comparable terminology are intended to identify forward-looking
statements and information. The forward-looking statements and
information in this press release include information relating to
the prospectivity of the Company’s mineral properties, the economic
viability of the Bandeira, the mineralization and development of
the Company’s mineral properties, the Company’s exploration program
and other mining projects and prospects thereof, the Company’s
ability to complete a Feasibility Study, the Company’s ability to
complete an environmental impact assessment and obtain the
requisite permitting and approvals and the Company’s future plans.
Such statements and information reflect the current view of the
Company. Risks and uncertainties that may cause actual results to
differ materially from those contemplated in those forward-looking
statements and information. By their nature, forward-looking
statements involve known and unknown risks, uncertainties and other
factors which may cause our actual results, performance or
achievements, or other future events, to be materially different
from any future results, performance or achievements expressed or
implied by such forward-looking statements. The forward-looking
information contained in this news release represents the
expectations of the Company as of the date of this news release
and, accordingly, is subject to change after such date. Readers
should not place undue importance on forward-looking information
and should not rely upon this information as of any other date. The
Company undertakes no obligation to update these forward-looking
statements in the event that management’s beliefs, estimates or
opinions, or other factors, should change.
Information and links in this press release
relating to other mineral resource companies are from their sources
believed to be reliable, but that have not been independently
verified by the Company.
Neither the TSXV nor its Regulation
Services Provider (as that term is defined in the policies of the
TSXV) accepts responsibility for the adequacy or accuracy of this
press release.
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