Grid Metals Corp. [GRDM-TSXV, MSMGF-OTCQB] said Thursday it has encountered new high-grade lithium mineralization at its Donner Lake property in southeastern Manitoba, where the company is working to outline a NI-43-101-compliant resource.
The announcement coincides with the release of three additional holes from a recently completed phase one drill program, which targeted the Northwest Dyke, the second drill defined LCT type pegmatite with significant strike length on the Donner Lake property.
New drill intersections from the Northwest Dyke area include 10.3-metres of average 1.0% Li20 in GDL22-04, including a higher-grade section of 5.1 metres averaging 1.8% Li20 from 234.1 metres.
Similar lithium grades were encountered in drill holes that targeted the Main Dyke in 2018. The Main Dyke is located 1.5 kilometres to the east of the Northwest Dyke.
Anomalous cesium and tantalum values were present in the three new holes, including maximum values of 201 ppm Ta205 and 341 ppm Cs20 over 0.6 metres from the Northwest Dyke in GDL22-08
Grid Metals has a portfolio of exploration and development stage properties focused on battery metals (nickel, copper, platinum group metals, cobalt, palladium) which are located in Manitoba and Ontario.
The Donner Lake property is located in the Winnipeg River pegmatite field, which hosts the world-class Tanco pegmatite.
Lithium occurs in potentially economic concentrations in three types of deposits: pegmatites, continental brines and clays.
The property is held 75% by Grid Metals and 25% by Lithium Royalty Corp (LRC)., a leading player in global lithium finance. LRC has an overriding 2% royalty on the property, which Grid acquired in 2016 from Tantalum Mining Corp. of Canada Ltd. (Tanco). Tanco has the first right to acquire products produced from the property at commercial terms and holds a 2% royalty on certain claims.
There are multiple LCT-type pegmatite dykes on the property, including the Main Dyke, which in 2018 was drill tested by Grid over a strike length of 1.0 kilometre. The dykes are located along a 9.0-kilometre- long prospective geological contact between the Bird River greenstone belt and Makwa Lake batholith and occupy obvious structural trends.
The Main Dyke and Northwest Dyke together supported a non-compliant historical resource estimate of 3.8 million tons at a grade of 1.28% Li20 (Manitoba Mines Branch Assessment file 91769A). This resource estimate cannot be independently verified by the company.
Having completed 16 holes on the Northwest Dyke on April 30, 2022, the company has released results for eight holes. Assays for the remaining eight are still pending, Grid is looking to complete additional drilling over the coming months to establish a Ni 43-101-compliant lithium resource.
On Thursday, Grid Metals shares were unchanged at 18 cents and currently trade in a 52-week range of 26 cents and $0.085.