Tungsten delivers on Chile lithium strategy

By Trevor Hoey. Published at Jul 20, 2017, in Small Caps

Carbine Tungsten (ASX: CNQ) has received official confirmation of the grant of five exploration concessions in northern Chile. The concessions are valid until May 10, 2019 and cover part of the Salar de Miraje, and enclosed drift basin in the Atacama Desert.

Management noted that on present evidence, this area is geologically analogous to the Salar de Atacama rift basin, located 150 kilometres to the south-east, a source of a third of the world’s lithium from brines within the sediments deposited in the basin.

Of course, it should be noted this is an early stage play and investors should seek professional financial advice if considering this stock for their portfolio.

Analyses of surface samples taken by CNQ of evaporative saline crusts in Salar de Miraje indicate that the crusts contain anomalous lithium, boron and potassium. In reconnaissance sampling (see below), CNQ has determined that lithium values in saline crust samples that exceed 50 ppm lithium appear to be anomalous.

Salar de Miraje samples

The significance of these anomalous values will be tested by drilling proposed for later this year. This will be aimed at sampling brines anticipated to be contained in early rift fill sediments within the Salar.

Importantly, Salar de Miraje has been a significant historical producer of nitrates from the margin of the Salar, and iodine is currently being produced from mine dumps left by nitrate margin of the Salar, and I dined is currently being produced from mine dumps left by nitrate mining just west of the concessions granted to CNQ.

Salar de Miraje area map

Acquisition of Salar de Mar concessions consistent with management’s strategy

Leading up to these developments, CNQ had outlined intellectual property developed by Doctor Andrew Wright and Rado Jacob Rebek constituting radical insights into the geological habitat of lithium.

It was noted that lithium brine is occurring in internal drainage basins in continental rifts, and that lithium is one of many metals introduced in solution into the basins as a consequence of rifting.

CNQ highlighted that Chile in particular encompasses a continental rift of the right proportions, though this had not previously been recognised.

While Chile is a major producer of lithium from brines that occur in modern internal drainage basins in the Altiplano at elevations of more than 3500 metres, the existence of lithium brines in geologically older basins at much lower altitude (between 750 metres and 1000 metres) west of the Altiplano had not been tested.

These older basins are mostly covered by desert dust, although they have produced nitrates, borates and salt (Sodium Chloride).

The older basins have several major logistical advantages, including the fact that evaporation rates are higher for concentration of lithium brines to commercial grades. They are also closer to modern infrastructure such as power, sealed roads and ports.

As can be seen below, Chile is becoming an increasingly popular region for mining investment

Chile investment

Where to invest $1,000 right now

When the experts at Next Investors have a stock pick, it may pay to listen.

The Next Investors have been investing in ASX small cap stocks for years, with their best small cap picks yielding returns of 1,200%, 1,120%, 900% and 678%.

They have just revealed their hand-picked, FY2021 stock portfolio of high conviction long-term investments.

Click the link below to see what they are currently investing in.




S3 Consortium Pty Ltd (CAR No.433913) is a corporate authorised representative of LeMessurier Securities Pty Ltd (AFSL No. 296877). The information contained in this article is general information only. Any advice is general advice only. Neither your personal objectives, financial situation nor needs have been taken into consideration. Accordingly you should consider how appropriate the advice (if any) is to those objectives, financial situation and needs, before acting on the advice.

Conflict of Interest Notice

S3 Consortium Pty Ltd does and seeks to do business with companies featured in its articles. As a result, investors should be aware that the Firm may have a conflict of interest that could affect the objectivity of this article. Investors should consider this article as only a single factor in making any investment decision. The publishers of this article also wish to disclose that they may hold this stock in their portfolios and that any decision to purchase this stock should be done so after the purchaser has made their own inquires as to the validity of any information in this article.

Publishers Notice

The information contained in this article is current at the finalised date. The information contained in this article is based on sources reasonably considered to be reliable by S3 Consortium Pty Ltd, and available in the public domain. No “insider information” is ever sourced, disclosed or used by S3 Consortium.

Australian ASX Small Cap stocks | Why Finfeed.com is Australia’s leading small cap publication

Founded seven years ago, Finfeed.com is Australia’s leading and longest standing website for investor and finance news, education and expert opinion.

Published by StocksDigital, Finfeed was created to report daily on the comings and goings of ASX listed stocks in the small cap market.

As the first digital publication dedicated specifically to this space, Finfeed soon became the most trusted publication in the market, quickly garnering over two million page views – a number that continues to rise.

Finfeed.com provides its readers with informative articles that tackle the latest in market moving #ASX small cap news, plus exclusive content you won’t find anywhere else. It is aimed at those with an interest in investing, market education, company performance, start-ups and much more.

Finfeed.com is the only media organisation operating under the strength of a Financial Services License and is backed by leading journalists and analysts all with brands of their own.

The website aims to inform, educate and entertain with content that drills down into the heart of financial matters.

Finfeed is a leading source of investor and market information, with everything investors need to know about how to invest written in a way that anyone can understand. 

Over the years, the website has expanded beyond exclusively reporting on small caps, to profile Australia’s leading ASX listed small, mid and large caps as well as some of the country’s most successful CEOs and business leaders to find out what makes them tick.

Every day you will find fresh content covering:

Fast Facts

Over 4,000 articles published

Over 2.3 Million Page Views and counting

Over 10,000 followers on social media

Subscriber list growing by 2% monthly

Thanks for subscribing!