ABR’s Resource for Fort Cady Borate and Lithium Project sees significant upgrade
American Pacific Borate and Lithium Limited (ASX:ABR) has delivered a significantly upgraded JORC Mineral Resource Estimate for its 100%-owned Fort Cady Borate and Lithium Project in Southern California, USA increasing both tonnes and grade.
Since ABR’s acquisition of Fort Cady in May 2017, it has completed 14 new drill holes in confirming and expanding the Mineral Resource Estimate at the project.
Fort Cady resides in a highly prospective area for borate and lithium mineralisation. It is a highly rare and large colemanite deposit with substantial lithium potential and is the largest known contained borate occurrence in the world not owned by the two major borate producers Rio Tinto and Eti Maden.
The project is located in the eastern part of the Mojave Desert region in San Bernardino County, California. It lies approximately 200 kilometres northeast of Los Angeles near the town of Newberry Springs.
The updated Total Resource now sits at 120.4 million tonnes at 6.5% B2O3 (11.6% boric acid equivalent [H3BO3]) and 340 ppm lithium (5% B2O3 cut-off) for 7.8 Mt contained B2O3 (13.9 Mt H3BO3).
It has a Total Indicated Resource of 58.59 Mt at 6.59% B2O3 (11.71% H3BO3) and 367 ppm lithium (5% B2O3 cut-off grade) for 3.86 Mt contained B2O3 (6.86 Mt H3BO3).
And a Total Inferred Resource of 61.85 Mt at 6.43% B2O3 (11.42% H3BO3) and 315 ppm lithium (5% B2O3 cut-off) for 3.98 Mt contained B2O3 (7.07 Mt H3BO3).
The Mineral Resource Estimate increased by 27.4 Mt from 93.0 Mt to 120.4 Mt and by 0.2% B2O3 from 6.3% to 6.5%. This represents a 30% increase in tonnes and a 3% increase in B2O3 grade. The contained boric acid increased to 13.9 Mt.
Yet it remains a speculative stock and investors and investors should take a cautious approach to any investment decision made with regard to this stock.
ABR Managing Director and CEO Michael Schlumpberger said:
“This is a large increase in contained boric acid to nearly 14 million tonnes and importantly there appears to be even more upside.
“This should support a substantial multi-generational operation, that will take advantage of elevated demand growth for a product that is favoured for energy efficiency applications like fibre glass insulation, energy generation technologies like solar PV modules and fertilisers that are used to enhance crop yields, water retention and disease resistance.”