Advantage in pursuit of another ‘Salar de Atacama’ in Argentina
1ST MARCH 2017
BY: HENRY LAZENBY
CREAMER MEDIA DEPUTY EDITOR: NORTH AMERICA
VANCOUVER (miningweekly.com) – Junior project developer AdvantageLithium plans to “aggressively” chase its exploration target of finding between 250 000 t and 5.6-million tonnes of lithium carbonate equivalent (LCE) as soon as its acquisition of 75% of ASX- and TSX-listed Orocobre’s Cauchari project and a 100% interest in five other lithium brine projects spread across the northern Jujuy, Salta and Catamarca states, in Argentina, closes before the end of March.
“The asset monetisation and shareholder value is going to come from the development of the Argentina assets,” president and CEO David Sidoo tells Mining Weekly Online in an interview, stressing that Advantage is one of only a handful of juniors in the lithium space that has a clear path to production within three years, as it has the management team, the assets and partnerships required to get there, in place.
Under the option agreement with Orocobre, Advantage will acquire the 85 543 ha Argentina land package subject to raising $20-million (which it has successfully done), and the issuing of 40.62-million common shares to Orocobre, which will represent no less than 31.1% of the outstanding common shares of Advantage following the financing.
Sidoo explains that the prospective Couchari project is in the same basin that Lithium Americas and SQM successfully uncovered a 12-million-tonne LCE resource in. Orocobre has defined a six-million-tonne LCE resource and is producing just under 15 000 t/y of LCE at its own facility at Olaros, about 15 km from Couchari.
Advantage’s focus this year is on building on the existing 470 000 t inferred LCE resource and improving confidence in the measured and indicated resource categories.
The plan entails five rotary drill holes of about 400 m to 450 m in depth in the exploration and inferred target areas, developed after Orocobre drilled seven holes between 2007/8.
“We are going to drill deeper than anyone has ever drilled in the area and we are also permitted to drill 12 diamond holes on the five additional assets we acquired in the Orocobre deal, each to a drill depth of about 250 m. The shallow depths will give us strong resource potential over the next six months and the deeper zones are expected to expand this entire play,” Sidoo states.
To continue reading please click link http://www.miningweekly.com/article/advantage-in-pursuit-of-another-salar-de-atacama-in-argentina-2017-03-01
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