Ophir Gold up 25% on Quebec lithium news
Ophir Gold Corp. [OPHR-TSXV, KPZIF-OTCQB, 80M-FSE] shares rallied sharply in active trading Tuesday after the company said it has identified a new potential spodumene-bearing zone as well as multiple lithium in soil anomalies at its Radis Lithium property in the James Bay region of Quebec.
It attributed the discovery to ongoing historical data compilation, including a focused review of historically documented pegmatite and lithium occurrences on and proximal to the property, which is located approximately 70 kilometres northeast of Wemindji.
Ophir Gold shares rallied on the news, jumping 25% or $0.05 to 25 cents on volume of 382,000. The shares are currently trading in a 52-week range of 44 cents and $0.04.
Lithium has a key role in the in the production of lithium-ion batteries, which are used in small electronic devices, including smart phones, laptops, and electric vehicles
The main sources of lithium for commercial extraction are localized hard rock pegmatites (igneous rocks of post magmatic fluids) and continental brines (saltwater aquifers). Of the various ores found in pegmatite, spodumene ore is generally the most economically viable source of lithium.
Ophir is a gold exploration company. Its flagship project is the past-producing Breccia Gold property in Lemi County, Idaho. In December, 2022, the company struck a deal with Eastmain Resources Ltd, a unit of Fury Gold Mines Ltd. [FURY-TSX, NYSE], that gives it the option to earn a 100% interest in the Radis property over a three-year period. Radis consists of 152 claims, covering 7,850 hectares.
The company has said a greenstone belt over the property contains at least one known lithium pegmatite and is considered highly prospective for additional lithium pegmatites.
“We are delighted at what the team has discovered as a result of the ongoing data compilation,’’ said Ophir CEO Shawn Wescott. “The identification of an additional zone that may contain spodumene along trend of the previously mapped lithium pegmatite highlights the potential of the Radis property,’’ he said.
“Coupled with anomalous soil samples on the down ice direction and within the Yasinski greenstone belt, the historical data compilation has developed numerous targets over a 2.5-kilometre strike length that has never been explored for lithium.’’
Wescott said the upcoming field season will see the first focused lithium exploration on the property.
In preparation for the upcoming exploration program, the company has begin engaging service providers for an airborne LiDAR survey to be completed in late spring/early summer over the property. The data will also provide high-resolution orthophoto imagery, which will be used to identify potential pegmatite outcrop targets.