- Jindalee Resources Limited (ASX:JRL) has announced an updated MRE at its McDermitt project.
- The updated MRE represents a 170 per cent increase in Indicated Mineral Resource at McDermitt.
- An additional 28 drillholes are fully permitted to be drilled in 2022 to infill and upgrade the Mineral Resource.
Jindalee Resources Limited (ASX:JRL) has achieved a new milestone with a significance increase in Indicated Mineral Resource at the US-based McDermitt lithium project. The Company has recently announced an updated MRE (Mineral Resource Estimate) at its McDermitt project following the completion of drilling in December 2021.
Jindalee engaged H&S Consultants Pty Ltd to update the Mineral Resource Estimate at McDermitt. The 2022 combined Inferred and Indicated Mineral Resource update represents an overall surge in tonnage of 25 per cent (from 2021), with a 3 per cent rise in grade for a 28 per cent increase in contained lithium.
Interestingly, the Indicated Mineral Resource increased by more than 165 per cent by tonnage and 2 per cent in grade for an overall rise of 170 per cent in contained metal at this higher confidence classification.
At the cut-off grade of 1,000ppm, the combined Indicated and Inferred Mineral Resource now stands at 1.82 Bt at 1,370ppm lithium for a total of 13.3 Mt LCE (Lithium Carbonate Equivalent).
Updated MRE follows 2021 drill program
The updated MRE follows the completion of the 2021 infill drill program designed to increase confidence in the resource. In this drill program, a total of 6 Reverse Circulation and 6 diamond holes were drilled with an objective of boosting confidence in the mineral resource to allow for conversion of Inferred Mineral Resource to Indicated.
In every drill hole to date, significant widths of lithium mineralisation have been intercepted. The highlights from the 2021 drill program include:
What lies ahead for McDermitt project?
Jindalee informed that the material uplift in confidence of McDermitt’s Mineral Resource from the 12 holes drilled in 2021 demonstrate the grade continuity that is characteristic of this style of lithium mineralisation.
Notably, an additional 28 drillholes are fully permitted to be drilled in 2022 in order to infill and upgrade the Mineral Resource and determine the full extent of the lithium mineralisation at McDermitt. The Company expects the drilling to start in the September quarter.
Jindalee is continuing with de-risking the Project on several fronts. Currently, it is progressing environmental baseline studies ahead of submitting an application for an EPO (Exploration Plan of Operation) in the March 2023 quarter. Meanwhile, metallurgical studies are ongoing at Nagrom, focussing on optimising the processing flowsheet from recommendations outlined in the Scoping Study.
All in all, Jindalee is well funded to advance the development of its high-grade McDermitt Project with additional drilling and metallurgical studies planned.
As of 10:35 AM AEST, Jindalee shares are trading at A$2.990 on the ASX.