American Lithium Corp. (“American Lithium” or the “Company”)
(TSX-V:LI | NASDAQ:AMLI | Frankfurt:5LA1) is pleased to provide
details of assay results from three diamond drill holes recently
drilled at the Falchani Lithium project in Puno, southeastern Peru
(“Falchani”). These 3 holes were drilled under the ten-hole
Environmental Impact Assessment (“EIA”) hydrology drilling program
launched at Falchani last fall as part of the EIA hydrology study
designed by EDASI SAC and SRK Peru with field work overseen by
EDASI. This program has successfully demonstrated that there are no
water table issues within proposed development areas across
Falchani and the program has also enabled the drilling and analysis
of core down to a depth of 120 metres (“m”). Once full results from
this program are complete all data and assays will be incorporated
into an updated resource report on Falchani to be prepared by
Stantec Consulting, Inc (“Stantec”).
Core logging and assay results from these three
diamond holes intersected intervals of typical Falchani volcanic
tuff as well as large sections of breccias with highlights
including Lithium up to 5,645 ppm and Cesium up to 1.22%, the
highest grades of both metals encountered to date from 1 m drill
core interval samples at Falchani. These holes were drilled in key
areas both within and outside the current Falchani resource
footprint and will add additional information to the planned
mineral resource estimate update with a focus on expanding the
overall resource and reclassifying the existing resource. Full
details of the results from these three holes are set out
below:
EIA Drill Program and Initial
ResultsLink to: Figure 1 – Falchani EIA Hydrology and
Previous Drill Hole Location Map (also see below)
- EIA diamond
drill hole Pz04-TV (vertical) intersected lithium
mineralization over the entire vertical drill hole; 0-120 m
averaged 2,186 ppm Lithium (Li); 841 ppm Cesium (Cs); 1,215 ppm
Rubidium (Rb); and 2.62% Potassium (K) - (see Table 1 – Drill Hole
Pz04-TV results, below):
- Several
substantial sub-intervals of +3,000 ppm Li intersected;
- Maximum Li of
5,645 ppm Li over 1 m at 54 m downhole; and
- This drill hole
is the westernmost drill hole reported at Falchani and extends the
drilled mineralization approximately 250 m further west.
Mineralization remains open at depth (>120 m).
- EIA diamond
drill hole Pz03-TV (vertical) intersected the
strongest Cesium mineralization to date with associated moderate
lithium mineralization over the upper 63 m downhole averaging 1,428
ppm Li; 4,770 ppm Cs; 1,188 ppm Rb; and 2.67% K (see Table 2 –
Drill Hole Pz03-TV results, below):
- The upper
interval (0-23 m) is richer in Li with the lower interval (23-63 m)
much richer in Cs, including the highest 1 m Cs interval sample
encountered at Falchani of 12,160 ppm Cs (1.2% Cs);
- Cs
mineralization is associated with more intense brecciation and
hydrothermal overprint observed in this hole, drilled from within
the natural valley separating the east and western parts of the
Falchani resource. This hole establishes the deposit
thickness/bottom within the valley.
- EIA diamond
drill hole Pz06-TV (vertical) intersected typical
Falchani tuff over the entire 86 m drilled and analyzed to date
averaging 2,739 ppm Li; 338 ppm Cs; 1,292 ppm Rb; and 2.87% K (see
Table 3 – Drill Hole Pz06-TV results, below); drilling at this
location continues in Li mineralization.
- Ground water has
yet to be encountered in any holes within the 120 m reporting drill
depth, so EDASI and the Company is requesting permission from ANA,
the National Water Authority, to drill deeper:
- 10 diamond drill
holes were approved for EIA drilling, including installation of
downhole piezometers to monitor water table and local groundwater
parameters where water is encountered;
- Every 5m EDASI
collects drill hole wall-rock measurements of moisture content,
water, etc. resulting in very slow drill advancement, but essential
data and information for feasibility study;
- Drill core
chemical analysis is required under the EIA, and reporting
mineralization is allowed; and
- EIA Program is
close to completion and additional results will be reported when
available.
Simon Clarke, CEO of American Lithium
states, “We are excited to have intersected thick, high
grade lithium mineralization west of the current Falchani resource
footprint, which should allow for resource expansion. The strong
cesium and lithium mineralization encountered in the central valley
bisecting Falchani is also very interesting from a strategic
perspective with higher than previously recorded cesium grades. The
entire EIA program will provide valuable additional data to the
existing drill results from Falchani.
We are also very pleased to be back working
constructively and successfully in Peru. We received the first new
permits for the new Quelcaya targets several weeks ago and have
also launched a new drill program on some of our best targets
across the Macusani Plateau. We anticipate receiving our next drill
permits for additional infill and expansion drilling at both the
Falchani Deposit and the Macusani Uranium Project shortly.
Expanding and reclassifying the resource is a key piece of the
updated PEA we are targeting for the end of Q3.”
Figure 1 – Falchani EIA Hydrology and Previous
Drill Hole Location Map
Hole Pz04-TV was drilled approximately 250 m
west of Platform 36 (Falchani West – 2020 drilling), the
westernmost holes from the 2020 resource drill program. Thick Li,
Cs and Rb mineralization was intersected in rhyolite tuff,
structural-hydrothermal breccia and subvolcanic rhyolitic intrusive
rocks directly at surface to 120 m downhole depth. This expands the
Falchani mineralization to the west, where the deposit remains
open. The drill hole ended in mineralization and remains open at
depth at this location.
Hole Pz03-TV was drilled in the northern portion
of the intervening erosional valley that essentially bisects the
Falchani deposit into eastern and western sides. It was collared
300 m southwest of Platform 25 (Falchani East – 2020 drilling) and
450 m northeast of Platform 14 (Falchani West – 2020 drilling).
This drill hole intersected 63 m of Li, Cs and Rb mineralization in
intensely brecciated rhyolite tuff lithologies, including the
strongest Cs mineralization to date on the project (1 m interval
>1.2% Cs at 34 m downhole). This establishes the base of
mineralization definitively at this location where previously,
resource modelers interpreted it as much thinner, due to lack of
previous drilling. The remainder of the drill hole from 63 m to 115
m intersected older porphyritic rhyolite flow units with much lower
Li, Cs and Rb contents.
Hole Pz06-TV was drilled approximately 100 m
east of Platform 13 (Falchani West – 2020 drilling) towards the
intervening valley and has intersected typical Falchani tuff
mineralization over the entire drilled and reported thickness of 86
m. This drill hole encountered adverse ground conditions and had to
be abandoned while still in mineralization. The hole was
subsequently restarted from surface and drilling continues in
mineralized tuff units.
Table 1 – Drill Hole Pz04-TV
results
Pz04-TV – 120.0 m total depth - Vertical |
From (m) |
To (m) |
Thickness (m) |
Li (ppm) |
Cs (ppm) |
Rb (ppm) |
K (%) |
|
0.0 |
120.0 |
120.0 |
2,186 |
841 |
1,215 |
2.62 |
including |
1.5 |
11.0 |
9.5 |
3,090 |
503 |
1,506 |
3.03 |
including |
50.0 |
90.0 |
40.0 |
3,001 |
746 |
1,156 |
2.50 |
including |
50.0 |
68.0 |
18.0 |
4,108 |
610 |
1,461 |
2.23 |
Maximum Li interval |
54.0 |
55.0 |
1.0 |
5,645 |
|
|
|
Maximum Cs interval |
19.0 |
20.0 |
1.0 |
1,400 |
|
|
|
Maximum Rb interval |
6.5 |
8.0 |
1.5 |
1,564 |
|
|
|
Table 2 – Drill Hole Pz03-TV
results
Pz03-TV – 115.0 m total depth - Vertical |
From (m) |
To (m) |
Thickness (m) |
Li (ppm) |
Cs (ppm) |
Rb (ppm) |
K (%) |
|
0.0 |
63.0 |
63.0 |
1,428 |
4,770 |
1,082 |
2.55 |
including |
0.0 |
23.0 |
23.0 |
2,222 |
594 |
1,401 |
3.94 |
including |
23.0 |
63.0 |
40.0 |
972 |
7,171 |
899 |
1.93 |
Maximum Li interval |
20.0 |
21.0 |
1.0 |
3,543 |
|
|
|
Maximum Cs interval |
34.0 |
35.0 |
1.0 |
12,160 |
|
|
|
Maximum Rb interval |
21.0 |
22.0 |
1.0 |
1,830 |
|
|
|
Table 3 – Drill Hole Pz06-TV
results
Pz06-TV – 86.0 m total depth – Vertical; drilling
continues |
From (m) |
To (m) |
Thickness (m) |
Li (ppm) |
Cs (ppm) |
Rb (ppm) |
K (%) |
|
0.0 |
86.0 |
86.0 |
2,739 |
338 |
1,292 |
2.87 |
Maximum Li interval |
85.0 |
86.0 |
1.0 |
3,381 |
|
|
|
Maximum Cs interval |
80.0 |
81.0 |
1.0 |
699 |
|
|
|
Maximum Rb interval |
83.0 |
84.0 |
1.0 |
1,458 |
|
|
|
Quality Assurance, Quality Control and
Data VerificationDiamond drilling is being conducted using
Company-owned drill rigs with local contract personnel. Drill core
samples are cut longitudinally with a diamond saw with one-half of
the core placed in sealed bags and shipped to Certimin’s sample
analytical laboratory in Lima for sample preparation, processing
and ICP-MS/OES multi-element analysis. Certimin is an ISO 9000
certified assay laboratory. The Company’s Qualified Person for the
drill program, Mr. Ted O’Connor, has verified the data disclosed,
including drill core, sampling and analytical data in the field and
laboratory. The program is designed to include a comprehensive
analytical quality assurance and control routine comprising the
systematic use of Company inserted standards, blanks and field
duplicate samples, internal laboratory standards and has also
included check analyses at other accredited laboratories. Downhole
thicknesses for vertical drill holes are considered accurate true
thickness intersections.
Qualified PersonMr. Ted
O’Connor, P.Geo., Executive Vice President of American Lithium, and
a Qualified Person as defined by National Instrument 43-101
Standards of Disclosure for Mineral Projects, has reviewed and
approved the scientific and technical information contained in this
news release.
About American
LithiumAmerican Lithium is actively engaged in the
development of large-scale lithium projects within mining-friendly
jurisdictions throughout the Americas. The Company is currently
focused on the continued development of its strategically located
TLC Lithium Claystone Project in the richly mineralized Esmeralda
lithium district in Nevada, as well as continuing to advance its
Falchani Hard-rock Lithium Project and Macusani Uranium Project in
southeastern Peru. All three projects, TLC, Falchani and Macusani
have been through robust preliminary economic assessments, exhibit
strong significant expansion potential and enjoy strong community
support. Pre-feasibility work is well advanced at Falchani and has
commenced at TLC.
For more information, please contact the Company
at info@americanlithiumcorp.com or visit our website
at www.americanlithiumcorp.com for project update videos and
related background information.
Follow us
on Facebook, Twitter and LinkedIn.
On behalf of the Board of Directors of
American Lithium Corp.
“Simon Clarke”CEO & DirectorTel: 604 428 6128
For Media Inquiries:
Nancy ThompsonVorticom, Inc.212-532-2208
Neither the TSX Venture Exchange nor its
Regulation Services Provider (as that term is defined in the
policies of the TSX Venture Exchange) accepts responsibility for
the adequacy or accuracy of this press release.
Cautionary Statement Regarding Forward
Looking InformationThis news release contains certain
forward-looking information and forward-looking statements
(collectively “forward-looking statements”) within the meaning of
applicable securities legislation. All statements, other than
statements of historical fact, are forward-looking statements.
Forward-looking statements in this news release include, but are
not limited to, statements regarding the ability to appeal the
judicial ruling, the anticipated completion of pre-feasibility
work, and any other statements regarding the business plans,
expectations and objectives of American Lithium. Forward-looking
statements are frequently identified by such words as "may",
"will", "plan", "expect", "anticipate", "estimate", "intend",
“indicate”, “scheduled”, “target”, “goal”, “potential”, “subject”,
“efforts”, “option” and similar words, or the negative connotations
thereof, referring to future events and results. Forward-looking
statements are based on the current opinions and expectations of
management and are not, and cannot be, a guarantee of future
results or events. Although American Lithium believes that the
current opinions and expectations reflected in such forward-looking
statements are reasonable based on information available at the
time, undue reliance should not be placed on forward-looking
statements since American Lithium can provide no assurance that
such opinions and expectations will prove to be correct. All
forward-looking statements are inherently uncertain and subject to
a variety of assumptions, risks and uncertainties, including risks,
uncertainties and assumptions related to: American Lithium’s
ability to achieve its stated goals; which could have a material
adverse impact on many aspects of American Lithium’s businesses
including but not limited to: the ability to access mineral
properties for indeterminate amounts of time, the health of the
employees or consultants resulting in delays or diminished
capacity, social or political instability in Peru which in turn
could impact American Lithium’s ability to maintain the continuity
of its business operating requirements, may result in the reduced
availability or failures of various local administration and
critical infrastructure, reduced demand for the American Lithium’s
potential products, availability of materials, global travel
restrictions, and the availability of insurance and the associated
costs; the judicial appeal process in Peru, and any and all future
remedies pursued by American Lithium and its subsidiary Macusani to
resolve the title for 32 of its concessions; the ongoing ability to
work cooperatively with stakeholders, including but not limited to
local communities and all levels of government; the potential for
delays in exploration or development activities; the interpretation
of drill results, the geology, grade and continuity of mineral
deposits; the possibility that any future exploration, development
or mining results will not be consistent with our expectations;
risks that permits will not be obtained as planned or delays in
obtaining permits; mining and development risks, including risks
related to accidents, equipment breakdowns, labour disputes
(including work stoppages, strikes and loss of personnel) or other
unanticipated difficulties with or interruptions in exploration and
development; risks related to commodity price and foreign exchange
rate fluctuations; risks related to foreign operations; the
cyclical nature of the industry in which American Lithium operates;
risks related to failure to obtain adequate financing on a timely
basis and on acceptable terms or delays in obtaining governmental
approvals; risks related to environmental regulation and liability;
political and regulatory risks associated with mining and
exploration; risks related to the uncertain global economic
environment and the effects upon the global market generally, any
of which could continue to negatively affect global financial
markets, including the trading price of American Lithium’s shares
and could negatively affect American Lithium’s ability to raise
capital and may also result in additional and unknown risks or
liabilities to American Lithium. Other risks and uncertainties
related to prospects, properties and business strategy of American
Lithium are identified in the “Risk Factors” section of American
Lithium’s Management’s Discussion and Analysis filed on May 29,
2023, and in recent securities filings available at www.sedar.com.
Actual events or results may differ materially from those projected
in the forward-looking statements. American Lithium undertakes no
obligation to update forward-looking statements except as required
by applicable securities laws. Investors should not place undue
reliance on forward-looking statements.
Cautionary Note Regarding Macusani
ConcessionsThirty-two of the 169 concessions held by
American Lithium’s subsidiary Macusani, are currently subject to
Administrative and Judicial processes (together, the “Processes”)
in Peru to overturn resolutions issued by INGEMMET and the Mining
Council of MINEM in February 2019 and July 2019, respectively,
which declared Macusani’s title to 32 of the concessions invalid
due to late receipt of the annual validity payments. In November
2019, Macusani applied for injunctive relief on 32 concessions in a
Court in Lima, Peru and was successful in obtaining such an
injunction on 17 of the concessions including three of the four
concessions included in the Macusani Uranium Project PEA. The grant
of the Precautionary Measure (Medida Cautelar) has restored the
title, rights and validity of those 17 concessions to Macusani
until a final decision is obtained at the last stage of the
judicial process. A Precautionary Measure application was made at
the same time for the remaining 15 concessions and was ultimately
granted by a Court in Lima, Peru on March 2, 2021 which has also
restored the title, rights and validity of those 15 remaining
concessions to Macusani, with the result being that all 32
concessions are now protected by Precautionary Measure (Medida
Cautelar) until a final decision on this matter is obtained at the
last stage of the judicial process. The favourable judge’s ruling
confirming title to all 32 concessions from November 3, 2021
represents the final stage of the current judicial process.
However, this ruling has recently been appealed by MINEM and
INGEMMET. American Lithium has no assurance that the outcome of
these appeals will be in the Company’s favour.
A photo accompanying this announcement is available at
https://www.globenewswire.com/NewsRoom/AttachmentNg/8ce3482e-f076-4761-afeb-bbab9ca1f2ea
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