Volt Lithium Corp. [VLT-TSXV, VLTLF-OTCQB, 12D-FSE], a company that aims to become North America’s first commercial producer of lithium from oil field brine, has released a NI 43-101 report for its Rainbow Lake property in northwest Alberta.
It said the report indicates an inferred resource of 4.3 million tonnes of lithium carbonate equivalent from the Devonian aged Sulphur Point, Muskeg and Keg River aquifers. The company said Rainbow Lake has an estimated 99.0 billion barrels (15.7 billion cubic metres), with lithium concentrations as high as 121 mg/L and estimated average associated lithium concentrations of 51 mg/L.
The inferred resource equates to 215 times the estimated peak production of 20,000 tonnes per annum. The company’s total land position overs 430,000 acres and features over 1,300 producing wells, from which it can source brine.
Volt Lithium, previously known as Allied Copper Corp. has recently undergone a significant transformation, including a name change, new board member appointment and management adjustments.
In addition to the rebranding, Volt has made changes to its management team. Alex Wylie, the company’s current President and founder, has been named CEO, replacing Kyle Hookey. The company’s board of directors has welcomed a new member, Maury Dumba, who brings over 34 years of oil and gas industry experience across North America.
These strategic transformations reflect the company’s shift towards become North America’s first commercial producer of lithium hydroxide and lithium carbonates from oil field brine.
“These developments are instrumental in our journey towards lithium production, expected by the second half of 2024,’’ said Wylie.
On May 17, 2023, Volt Lithium shares closed at 46 cents and currently trade in a 52-week range of 55 cents and $0.06.
Volt said it intends to focus development on those areas of its asset base featuring the highest lithium concentrations, including the regions where testing demonstrated concentrations between 101 and 121 mg/L in the Muskeg Formation. Such levels are expected to drive strong economic returns and robust cash flows, the company has said.
Back in March, 2023, the company said it had launched a pilot project to test its proprietary Direct Lithium Extraction (DLE) technology in a simulated commercial environment at Rainbow Lake. Volt says it intends to demonstrate its ability to extract lithium from oilfield brine in scale by processing p to 250,000 litres of Rainbow Lake brine through the second quarter of 2023. The company has said it expects to release the results of the pilot test before the end of June, 2023.
Strong demand for the soft silvery metal is attributed to its 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 hardrock 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.