Overview

Located in the San Luis Potosi State in Central Mexico, the lithium brine project comprises three mineral exploration concessions which are under application: San Juan, San Vincente and Illescas. The concessions are held on trust by a consultant from World Industrial Minerals LLC, with Zenith Minerals entitled to 100% ownership. Once the applications have been granted, they will be transferred to Minera Salmuera, SA de C.V. The concessions were acquired through staking and registration with the Secretaria de Economia – Agencia de Mineria (Secretary of Economy – Mining Agency), San Luis Potosi.

The locations are accessed via paved roads, with Zacatecas and Fresnillo being the nearest towns for major supplies, 44 miles away.

Magnetic data interpretations and hot springs near Zacatecas indicate possible upwelling of lithium-bearing hydrothermal waters or migration lithium enriched meteoric waters.

Bradda Head currently holds a 55% interest in the project.

Zacatecas
Project Highlights
  • Systematic surface sampling returned encouraging results of 1,046 ppm Li
  • A programme of shallow auger holes was completed during Q2 2017, showing the following results:
    • 11 short drill holes covering area of 2km x 4km
    • All drill holes intersected brine at depths from 5m to 15m
    • Results showed lithium grades of up to 15 mg/l
    • Lithium brine concentration and total salinity increased with depth, indicating that a deeper brine target exists
  • Three mineral exploration concessions have been staked and registered with the Secretaria de Economia – Agencia de Mineria (Secretary of Economy – Mining Agency), San Luis Potosi, with the concessions being validly applied for and exclusively held by Minera Salmuera.
Next Steps

A three phase approach will be followed:

Phase 1

Once the mining concessions are granted, land access will need to be negotiated with the local Ejidos and land owners.

In mid-2018, Bradda Head expects to start a Magnetotelluric geophysical survey at the Illescas and San Juan targets using geophysical consultants Zonge International Inc. The magnetotelluric survey is designed to outline the presence of and distribution of conductive layers in the sub-surface that likely represent brine. Permitting for this geophysical survey is complete for San Juan and final line design is in progress for Illescas.

Phase 2

Should the results of the initial magnetotelluric geophysical lines be sufficiently encouraging, then additional systematic drilling and downhole geophysical studies will be required to assess the lithium brine distribution in the sub-surface aquifers. Additional field surveys and surficial sampling programmes may be required to further refine areas of interest at this stage before laying out the drilling.

Key criteria to assess will include the lithium grade and distribution, the presence or absence and distribution of any deleterious elements and the characteristics of the brine aquifer such as porosity, permeability and transmissivity. Pump testing will be required to assess potential extraction rates and aquifer re-charge. These combined activities will provide the key data for a Mineral Resource Estimation and scoping study.

Phase 3

Additional and more detailed technical studies and environmental-social studies would then be required to advance the project to a prefeasibility study.