Vancouver, BC – Lithium X Energy Corp. (“Lithium X“, or the “Company“) (TSXV: LIX) (OTCQX: LIXXF) is pleased to provide the following operational update on the Sal de los Angeles lithium project (the “Project”) located in Salta province, Argentina.
As part of the Company’s feasibility study inputs, a comprehensive drill and pumping test program has been initated for the Sal de los Angeles project. Diamond drilling will test the northern extension of the Diabillios basin beyond the current published resource limits (August 30, 2016 news release). A sonic drilling program will provide additional stratigraphic and hydrogeological data for increased resource confidence and a maiden reserve statement. Based on a number of factors including the current hydrological and resource model, Lithium X has outlined a potential wellfield. The Company intends to drill a production well in this area and complete long term pumping tests. Fieldwork is expected to be completed by September 2017. Results from this work will be incorporated into an upgraded mineral resource and reserve statement and will be incorporated into a feasibility study scheduled to be released in Q4 2017.
Seismic Survey
A seismic refraction tomography survey completed in February 2017 by Geophysical Exploration & Consulting S.A, indicates that the basin extends up to 3 kilometers north of the previously defined resource area, with basin depths up to 275 meters below the surface. The basin fill material is interpreted as a continuation of the known lithium bearing aquifers. The existing resource covers a total strike length of approximately 9.5 kilometres, with higher grade brines concentrated in the northern half of the strike length. The seismic survey results suggest a possible 30% increase in total basin strike length.
Diamond Drilling
Diamond drilling activities at the Project are focused on resource expansion, by incorporating potential brines to the north of the existing resource area.
Diamond drilling commenced in early May to test this northern extension of the Diablillos basin as defined by the seismic survey, focusing on delineating additional resources. The program consists of three diamond drill holes down to basement depth. HQ-sized core is collected to facilitate laboratory porosity analysis and brine sampling is performed at specific depth intervals during the drilling. A total of 700 metres of drilling is planned and conducted by Hidrotec S.A., with supervision by FloSolutions (Chile).
Sonic Drilling
Sonic drilling shall be completed within the current estimated resource areas and will focus on increasing the confidence level of the resource, with the objective of producing a feasibility level reserve estimate.
Lithium X has commissioned one of the few sonic drills available in Argentina to complete a further three holes throughout the basin, including the selected well field location. An additional sonic drill hole is planned in the northern extension, subject to positive results from the diamond drilling program. The purpose of the sonic drilling is to increase recovery of undisturbed core samples for additional drainable porosity testing; brine sampling will take place at specific depth intervals. The results are expected to increase resource confidence levels in order to increase measured & indicated resources and support the maiden reserve estimate. The first sonic drill hole is to be completed in the proposed well field location so as to provide accurate lithologies for efficient well field design.
The sonic drill program shall consist of 600 to 800 metres performed by Boart Longyear Argentina S.A. and shall be supervised by FloSolutions (Chile). The drill rig is currently on site with an anticipated start date within 10 days upon arrival of new drill rods.
Production Well Drilling
Production well drilling and testing will help prove the viability of the proposed well field location.
Following completion of the first sonic drill hole, a production well (DDP-02) is planned to be drilled and developed in the proposed wellfield site. The wellfield is to be located near the northern margin of the salar surface, where the best combination of high grade lithium brine and favourable hydrogeological parameters have been identified
The production well shall be drilled to bedrock at an 18-inch diameter and be completed with 12-inch diameter stainless-steel blank and screened casing. Screened intervals are to match favourable aquifer lithologies, anticipated to start within the top 25 metres down to basement depth. Three observation wells will be completed to distinct depth intervals adjacent to the production well to monitor water level responses during the planned pumping test program.
This production well shall be the second production well installed at the Project. The first (DDP-01) was drilled and installed approximately 2 kilometres south.
Pumping Test Program
Lithium X will complete a pumping test program consisting of two long-term pumping tests to support the current feasibility study. The first 30-day test will be carried out in the existing production well (DPP-01) and its surrounding monitoring wells. The test is anticipated to commence immediately by AGV Falcon Drilling S.A. and will be supervised by FloSolutions (Chile). The second 30-day pumping test will be carried out on the new production well (DDP-2).
The long term pump tests are an important component of the feasibility study and have been designed to provide the following information:
- Specific yield (drainable porosity) data to be incorporated in the updated resource estimate;
- Information on the design and construction of the future brine wellfield;
- Evolution of brine concentrations under a long term pumping regime;
- Quantify hydaulic parameters of the hydrogeological units with the Salar for use in the 3D numerical brine reserve model and tools for the calibration of the reserve model; and
The 3D numerical brine model will be developed using the FEFLOW software package and will be used to estimate the brine reserves for the Project and aid in the optimization of the future brine wellfield configuration and brine production pumping.
The scientific and technical content and interpretations contained in this news release have been reviewed and approved by VP of Project Development William Randall, a Qualified Person as defined by NI 43-101, Standards of Disclosure for Mineral Projects.
ABOUT LITHIUM X ENERGY CORP.
Lithium X Energy Corp. is a lithium exploration and development company with a goal of becoming a low-cost supplier for the burgeoning lithium battery industry. The Company holds two projects in in the prolific “Lithium Triangle” in mining friendly Salta province, Argentina as well as its Clayton Valley project in Nevada. The Company’s flagship project is the Sal de los Angeles lithium brine project, in which it owns a 50% interest, with an option to acquire up to 80%. The project consists of 8,154 hectares covering 95% of Salar de Diablillos, and has a NI 43-101 mineral resource estimate of 1.037 million tonnes of lithium carbonate equivalent in the indicated category and 1.007 million tonnes of lithium carbonate equivalent in the inferred category. The Company’s second Argentinian project, the Arizaro lithium brine project, consists of 33,846 hectares covering part of the western and eastern portions of the Salar de Azario, one of the largest known salt lakes in the world. Lithium X will also own 19.99% of Pure Energy Minerals, a company exploring and developing a large land package surrounding Albemarle’s Silver Peak lithium mine in Clayton Valley, Nevada.
For additional information about Lithium X Energy Corp., please visit the Company’s website at www.lithium-x.com or review the Company’s documents filed on www.sedar.com. Join the Company’s email list at https://lithium-x.com/subscribe.
ON BEHALF OF THE BOARD OF DIRECTORS
Paul Matysek
Executive Chairman
FOR FURTHER INFORMATION PLEASE CONTACT:
| Brian Paes-Braga
President and CEO, Director Tel: 604-609-6113 Email: [email protected]
|
Timothy McKenna
Investor Relations Toll Free (Canada & US): 1-888-760-5498 US: +1-732-331-6457 Email: [email protected] |
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This news release contains certain forward-looking information and forward-looking statements within the meaning of applicable securities legislation (collectively “forward-looking statements”). Certain information contained herein constitutes “forward-looking information” under Canadian securities legislation. Generally, forward-looking information can be identified by the use of forward-looking terminology such as “expects”, “believes”, “aims to”, “plans to” or “intends to” or variations of such words and phrases or statements that certain actions, events or results “will” occur. Such information includes, but is not limited to the use of proceeds from the Offering. Forward-looking statements are based on the opinions and estimates of management as of the date such statements are made and they are subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of the Company to be materially different from those expressed by such forward-looking statements or forward-looking information, including the business of the Company, the speculative nature of mineral exploration and development, fluctuating commodity prices, competitive risks, and delay, inability to complete a financing or failure to receive regulatory approvals. Although management of the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements or forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements and forward looking information. The Company does not undertake to update any forward-looking statements or forward-looking information that are incorporated by reference herein, except as required by applicable securities laws.
