Golden Metal Resources upbeat on latest findings in Nevada

16th Feb 2024 13:10

(Sharecast News) - Nevada-focussed mineral explorer Golden Metal Resources updated the market on its Kibby North and Kibby South lithium brine properties on Friday.

The AIM-traded firm said the lithium properties, situated in the mining-friendly state of Nevada, had seen its technical team complete a thorough review of historical datasets and collaborate with various groups that had conducted work on adjacent lithium claims.

It said key highlights included the discovery of significant lithium mineralisation in both brines and clays within Marquee drillhole KM22-02.

That hole, located 250 metres from its Kibby South licence boundary, intersected strong lithium mineralisation above the primary geophysical conductive brine aquifer anomaly.

Further analysis revealed that the primary target conductor, believed to be the main lithium brine target within the entire Kibby Basin, was never adequately tested by KM22-02 due to limitations with the drilling rig used by the previous operator.

Despite that, the lithium enrichment encountered in brines and clays above the primary target conductor suggested the prospectivity of the entire basin.

Golden Metal said it considered the evidence highly compelling, indicating a high likelihood that the untested target conductor was also indicative of lithium brine mineralisation.

With the main target conductor now identified as untested by historical drilling, the company said it was actively reviewing all available exploration options to determine the most effective way to advance the lithium properties.

"Today's announcement follows a further analysis of all available datasets by our technical team who were able to conclude that the main target conductor within the Kibby Basin has never been adequately drill tested," said chief executive officer Oliver Friesen.

"Considering the relative depths of the very strong lithium-in-clay and lithium-in-brine mineralisation encountered by nearby drillhole KM22-02, we believe the findings presented today point to the likelihood of a significant lithium brine target at a deeper depth within the basin, on ground 100% owned by Golden Metal.

"Equipped with these new findings, we are actively working behind the scenes with our technical team and management to determine next steps for our promising lithium properties."

At 1241 GMT, shares in Golden Metal Resources were down 4.75% at 14.05p.

Reporting by Josh White for Sharecast.com.