Liontown Resources Limited (ASX: LTR) has advised the market of a “Measured, Indicated and Inferred” mineral resource at its Kathleen Valley project. The decision to move from gold to battery related minerals has proved successful, with Australian miner striking 21.2 million tonnes @ 1.4% Li2O (lithium) and 170ppm Ta205(tantalum). The high grade find exceeded the company’s published exploration target by 7 million tonnes and 0.3% higher grade purity.
Liontown’s managing director David Richards said the find at Kathleen Valley was a “major milestone” and has propelled the company’s plans to develop high quality battery metals in the Australian market.
“We always had high hopes for Kathleen Valley, for a number of reasons,” Richards says.
“The key features of the deposit are its high grade, at 1.4% Li2O, the significant tantalum component, the fact that the mineralisation starts fresh from surface and will likely be amenable to open pit mining, and its location on granted Mining Leases close to established, high quality infrastructure.”
“The other encouraging feature of the project is that, based on the preliminary metallurgical results, the deposit comprises predominantly spodumene-hosted lithium mineralisation which is likely to be amenable to conventional processing.” “All of these positive characteristics, combined with the fact that we are confident the resource will continue to grow with further drilling, make Kathleen Valley a significant asset for Liontown – which we believe will become the cornerstone of our strategy to develop a high-quality battery metals business.”
Lionstown is now looking for external parties who may be interested in off-take agreements in order to unlock more potential for the project.