Final Assays Received from Basin East

RNS Number : 6190Z

Bradda Head Lithium Ltd

26 January 2022

 

26 January 2022

Bradda Head Lithium Ltd

("Bradda Head", "Bradda", or the "Company")

Final Assays Received from Basin East Exploration Programme

Bradda Head Lithium Ltd (AIM:BHL), the North America-focused lithium development group, is pleased to announce the final assay results from the Company's 100%-owned Basin East Project ("BE") have been received, further emphasising the opportunity for resource growth at this target site.

Highlights:

· Bradda Head has now received assays from the final four holes from its 10-hole 2021 Basin East (BE) core drilling programme, identifying further thicker intersections of Upper Clay than anticipated, including high-grade sections of 23.6m at 1,495ppm Li at hole BCE21-09, where the total Upper Clay zone is 81.4m thick and 18.2m at 1,395ppm Li at hole BCE21-08.

· This drilling programme at Basin was completed and announced on 17^th November. All core is logged and assayed and no more information is required for SRK to carry out its work on this resource update. The updated resource is due in Q1 2022 and is expected to be significantly larger than the current one. SRK, who are undertaking the resource update, are due to visit site w/c 31^st January.

· The further presence of this significantly thicker zone (81.4m) builds on the data received from hole BCE21-06 where the thickest intersections to date at BE have been seen (98.6m) and may help lead to a larger resource increase in the higher-grade portion of the Upper Clay zone than originally estimated.

· Combining these new drill results with the recent geophysical data (RNS 29/10/2021) will enable our geologists to understand with much greater clarity the structure and depth of the clay across our entire Basin Project and will help with the planning and targeting of future drill programmes.

· The work done to date at Basin East indicates that the Upper Clay zone, which is higher grade than the Lower Clay zone, thickens to the west and north-west, towards Bradda's other claims at Basin. This may enable Bradda to focus on the Upper Clay zone and delineate a higher-grade resource than previously thought

· Previously unknown, but anticipated, lithium mineralisation was also previously discovered (RNS 24/11/2021) in the Lower Clay zone at the twinned holes (BCE21-01, 02 and 03), which again highlights that there is significant potential for an increase in the lithium mineral resource as a consequence. The Lower Clay zone was not tested previously at this location in 2018. (See map for drill locations https://www.braddaheadltd.com/media/image-library/2021-burro-creek-east-drilling-programme/).

· These results, as well as the grades/intersections reported earlier (See RNS 24/11/2021, RNS 27/09/2021 and RNS 25/08/2021) for holes BCE 21-01, the upper part of BCE21-02, and BCE21-03, compare favourably with the current JORC compliant resource of 185kt of Lithium Carbonate Equivalent (LCE) in 2018.

· Drilling is underway at Wikieup, Bradda's other sedimentary project in Arizona. See RNS dated 14/12/2021 for further details.

Charles FitzRoy, CEO of Bradda Head, commented:

"These further positive drilling results are incredibly encouraging with the presence of similar depths of the Upper Clay meaning that we can target that zone for a higher-grade resource than what we have currently. The results not only provide further confidence to our geological model but, we believe, also add value and the potential to add further resources to our previously-reported numbers of 185kt of LCE.

"The continued presence of the increased thickness in the Upper Clay zone reinforces our geological interpretation for the Basin lithium deposit and bodes well for the potential at the rest of our Basin claims where we are in the process of permitting for drill programmes in 2022.

"Basin East is a very small portion of our 47km² claims and the results from this programme demonstrate the potential we have. It's also worth noting that our geophysical programme, has reinforced our geological model and will help us to plan future drill programmes. The funds from the royalty with LRC will enable Bradda to develop an early-stage technical study, and drill at all our 47km² of sedimentary claims.

"These are exciting times not only in terms of the overall lithium market space but also as our exploration drill programmes, and on-site field work at all three of our lithium targets, continue, with lots of newsflow planned for 2022."

Further Background

Bradda Head has now received all the results of its 10-hole programme at BE, consisting of seven new holes and three twinned holes, designed to test the 2018 RC drill programme that was used to estimate the BE Inferred Resource in 2018. The three twinned holes also tested the Lower Clay zone which was not tested by 2018 drill holes as the holes were not drilled deep enough to test the zone. Bradda Head has received positive results from this programme, and it is anticipated that the results and resource revision will lead to both an increase in resource size and grade, as well as an increase in confidence classification.

The results from our 2021 drill programme at BE indicate that the Upper Clay zone thickens towards the west and north-west towards our other claims (map link https://www.braddaheadltd.com/media/image-library/2021-burro-creek-east-drilling-programme/). The initial results of our geophysics programme have added further insights to our geological models at our sedimentary assets and has helped demonstrate that the thickness of our Upper Clay zone potentially increases to the west and north-west towards our other claims, which Bradda Head is in the process of permitting for drill programmes in H1 2022. Bradda Head is now focussing on expanding its resources at Basin with permitting underway at claims adjacent to BE.

Bradda Head is finalising a geophysical programme that will help to plan future drill programmes at the remainder of its 47km² of sedimentary assets in Arizona. This will ensure drill holes are placed strategically to ensure no funds are wasted on unnecessary drilling, and that Bradda Head will maintain as small a footprint as possible whilst drilling. The recent announcement regarding the royalty with LRC (RNS 15/11/2021) will enable Bradda Head to drill at all its 47km² of sedimentary claims and produce an early-stage technical study.

The updated resource at BE is due in Q1 2022.

2021 core programme, new hole Upper Clay zone highlights:

	Total Upper Clay zone grade (ppm)	Total Upper Clay zone thickness (m)	High-grade Interval Li grade (ppm)	High-grade Interval Intersection length (m)
Hole BCE21-07	850 ppm Li	62.2m	850 ppm Li	62.2m
Hole BCE21-08	1,019 ppm Li	47.0m	1,395 ppm Li	18.2m
Hole BCE21-09	953 ppm Li	81.4m	1,495 ppm Li	23.6m
Hole BCE21-10	769 ppm Li	8.2m	769 ppm Li	8.2m

The four holes above were drilled to a total depth of 412m from surface (BCE2107 108m, BCE21-08 102m, BCE21-09 119m and BCE21-10 83m).

For further information please visit the Company's website: www.braddaheadltd.com

Contact:

Bradda Head Lithium Limited	[phone]
Charlie FitzRoy, CEO Denham Eke, Finance Director
Beaumont Cornish (Nomad) James Biddle/Roland Cornish	[phone]
Peterhouse (Joint Broker)	[phone]
Charles Goodfellow Duncan Vasey Lucy Williams
Shard Capital (Joint Broker)	[phone]
Damon Heath Isabella Pierre
Red Cloud (North American Broker)	[phone]
Joe Fars
Tavistock (PR)	+ 44 20 7920 3150
Nick Elwes Oliver Lamb Adam Baynes	[e-mail]

Qualified Person

The information in this announcement has been reviewed by Jim Guilinger, COO Bradda Head Lithium. Mr. Guilinger is a graduate of the University of Colorado - Boulder with a BA in Geology with more than 40 years' experience in mineral exploration and mining geology and is a qualified person under the AIM Rules. Mr. Guilinger consents to the inclusion of the technical information in this release and context in which they appear. 

Notes to Editors

Bradda Head Lithium Ltd. is a North America-focused lithium development group. The Company currently has interests in a variety of projects, the most advanced of which are in Central and Western Arizona: The Basin Project (Basin East Project, and the Basin West Project) and the Wikieup Project.

The Basin East Project has an estimated an Inferred Mineral Resource (JORC) of 42.6 Mt of lithium bearing clays at an average grade of 818 ppm of lithium for 185,000 tonnes of lithium carbonate equivalent (LCE). The Basin East Project also has additional exploration potential for extensions to the current model of between 50,000 to 300,000 tonnes of lithium carbonate equivalent.

The Group intends to continue to develop its three phase one projects in Arizona, whilst endeavouring to unlock value at its other prospective pegmatite and brine assets in Arizona, Nevada, and Pennsylvania.

All of Bradda Head's licences are held on a 100% equity basis and are in close proximity to the required infrastructure.

Bradda Head is quoted on the AIM of the London Stock Exchange with the ticker of BHL and on the US OTCQB market with a ticker of BHLIF.

 

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