LiCo Energy Metals Inc. [LIC-TSXV, WCTXF-OTCQB] was among the most actively traded stocks on the TSX Venture Exchange Friday January 26 after the company announced that the Phase 1 diamond drilling program at the Glencore Bucke property near Cobalt, northeast Ontario achieved its objectives.
By early afternoon on Friday, almost 10 million shares had changed hands as the stock rose 13% or $0.02 to 17 cents.
During the fall of 2017, the company completed 21 diamond drill holes, totalling 1,900 metres at Glencore Bucke. This drill program, along with the Phase 1 diamond drilling program completed on the Teledyne Cobalt Property (also located northeast of Cobalt), satisfied LiCO’s flow-through financing obligations. The exploration program at Glencore Bucke also satisfies contractual obligations to Glencore Plc of Baar, Switzerland, requiring LiCo to spend $250,000 on exploration following approval of the agreement with Glencore.
Friday’s announcement comes just days after company released some of the best cobalt values encountered so far at the two properties. Highlights from Teledyne include 2.32% cobalt over 4.00 metres from 126.5 to 130.5 metres, including 21.9% cobalt over 0.36 metres in hole number TE17-05. Drill hole TE17-04 returned 1.82% cobalt over 6.00 metres from 138.00 to 144. metres, including 5.06% cobalt over 1.75 metres from 141.25 to 143.00, and 18.7% cobalt over 0.15 metres from 141.64 to 141.79 metres in drill hole TE17-04.
LiCo Energy Metals is a grassroots Canadian company that conducts exploration for metals used in the production of lithium-ion batteries. Exploration of these metals has become critical in the face of surging demand for electric vehicles, cell-phones, and many other modern devices. The junior has four ongoing projects in mining friendly jurisdictions in Canada, the United States and Chile.
In 1981, Teledyne Canada completed 36 surface diamond drill holes totalling 3,323 metres on the Glencore Bucke property. It outlined two separate vein systems hosting significant cobalt and silver values in the Main and Northwest zones.
On Friday, LiCo said the Phase 1 diamond drilling program was designed to confirm and extend the existing mineralization along strike and up and down dip. The company was successful in achieving that objective.
The program tested the Main Zone for a strike length of approximately 45 metres. Due to the nature of the mineralization, drill holes were closely spaced apart. Significant cobalt intersections include diamond drill hole GB17-10 that intersected 0.55% cobalt over 5.00 metres from 28 metres to 33 metres and diamond drill hole GB17-5 that intersected 8.42% cobalt over 0.30 metres from 62.40 metres to 62.70 metres. Significant copper mineralization was also intersected, such as 0.90% copper over 20.20 metres from 42.50 metres to 62.70 metres in diamond drill hole GB17-15 and 1.25% copper over 6.10 metres from 67.50 to 73.60 metres in diamond drill hole GB17-21.
LiCo President Tim Fernback said he is pleased with the results and the company is now working to design a phase 2 drill program that will be the basis for a NI 43-101-compliant resource estimate.
Aside from the Ontario properties Lico’s asset portfolio includes the Dixie Valley Exploration project in Churchill County, Nevada, about 160 km northeast of Reno. This is an early-stage conceptual lithium brine project covering 2,817 hectares of ground. The target is a lithium brine model based on Clayton Valley (Nevada) and several basins in South America.