Drilling and hitting lithium in famed Lithium Triangle in 2024

Argentina Lithium & Energy Corp. (TSX-V : LIT)(OTC: LILIF) — currently trading around C$0.30 per share — has announced positive lithium-brine assay results for the first two holes of its ongoing drill program at the flagship Rincon West lithium project in Salta Province, Argentina.

Situated in the Salar de Rincon, the newly expanded 5,200-hectare Rincon West project lies in close proximity to lithium brine projects advancing towards commercial production by Rio Tinto and Argosy Minerals.

drilling underway

The ongoing program is slated for a total of 6 holes at Rincon West (Rinconcita II property) and is being carried out by Salta-based AGV Falcon Drilling at the direction of Argentina Lithium’s geologists.

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The first two holes of the 6-hole program returned samples ranging from 245 to 366 mg/l lithium (Hole No. 10) and 246 to 344 mg/l lithium (Hole No. 11) in brines. 

Argentina Lithium & Energy VP Exploration Miles Rideout commented on the ongoing drill program at Rincon West via press release:

Our tenth exploration hole was situated to test the continuity of the brine aquifer as our drilling extends eastward into the main salar basin. These results demonstrate continued strong grades and an exceptional interval length. For our eleventh hole, we moved 2.7 kilometers to the southeast, to test the salt flat in the southern and eastern portion of our main block at the Rincon West project. This produced another long interval of concentrated brines and recovered cores containing fractured crystalline halite and coarse, poorly cemented sediments, which may be excellent formations for pumping potential. We were not able to reach the bottom of the basin formation in the eleventh hole. We plan to extend our ongoing drilling to greater depths, with the objective of drilling into basement rock and defining the bottom of the aquifer.

Last quarter, Argentina Lithium (“LIT”) closed an ARS$ equivalent US$90M investment into the company’s subsidiary by major auto conglomerate Stellantis, which includes an offtake agreement for up to 15,000 tonnes of lithium per annum. 

Those funds are being utilized to help advance LIT’s portfolio of lithium assets in Argentina’s Salta Province, of which Stellantis now has a vested interest, at a 19.9% stake, in seeing those projects successfully progress through the various stages of exploration and development all the way through to possible production. 

Argentina Lithium is also a member of the prestigious Grosso Group, a resource management group that has pioneered mineral exploration in Argentina since the early 90s and who has been involved with a number of major mineral discoveries in the South American nation.

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Through those channels, the LIT team has been able to amass its impressive lithium project portfolio in prime areas of the Argentinean portion of the famed Lithium Triangle (Argentina, Chile, Bolivia) — a region that lays host to approximately 60% of world’s known lithium reserves and produces about a third of the world’s lithium supply. 

In addition to the flagship Rincon West project, LIT is advancing its newly-expanded 16,000-plus hectare Antofalla North lithium project, which is situated 25 km west of Argentina's largest lithium producing operation at Salar de Hombre Muerto, Salta Province.

The southern boundary of the Antofalla North project lies ~500 meters north of properties controlled by global lithium producer Albemarle. Preliminary high-conductivity targets have been identified through geophysical surveying with plans in place for a follow-up 110-line-km TEM geophysical survey across the property to further delineate targets for a planned 2024 drill program. 

Argentina Lithium’s project portfolio also includes the Pocitos lithium property in Salta Province and the Incahuasi lithium property in Catamarca Province.

With an ARS$ equivalent US$90M investment from a global automaker and a market cap below C$40 million, speculators can expect increased news flow over the coming weeks and months as drilling continues at Rinconcita II. 

For more information on Vancouver-based Argentina Lithium & Energy, be sure to contact the company’s IR department at 604-687-1828 or via email at info@argentinalithium.com.

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Yours in profits,

Mike Fagan

Mike Fagan
Editor, Resource Stock Digest

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