Incahuasi Salar -
Argentina
Spey Resources Corp. is pleased to announce that it has completed exploration activities and hit multiple lithium brine aquifers in the Incahuasi Salar (the Candela II Project), the “Lithium Triangle.” We are also pleased to report a planned 5 hole production drilling program in the coming months.
Incahuasi Salar is located in the Province of Salta, located approximately 45 kilometers from the township of Tolar Grande, Argentina.
The Inchuasi Salar and basin in the Salta province of northwestern Argentina supports conditions for quality lithium mines at depth. This basin is impacted by the Cerro Aracar and Pular volcanos, contributing lithium to the salt through aquifers. Easily accessible by road, with no indigenous communities nearby, this region has been substantially explored and shows the lithium brines are close to the surface.
Lithium Brines Close to Surface. Quality Lithium Mines at Depth.
+ Location
Close to all major players
45KM from town of Tolar Grande, 267km from Salta, volcanoes Cerro Aracar, Pular contributing lithium to the salar through aquifers. Close to famous lithium salars such as Arizaro (Lithium Chile), Pocitos (Ganfeng Recharge Resources), Rincon (Rio Tinto), Pozuelos, Pular, Cauchari- Olaroz (Allkem/Livent). Neighbours include Ganfeng, Allkem, Power Minerals on Incahuasi salar
+ Key Features
- Resource estimate of 457,000 tonnes of lithium carbonate inferred estimate by WSP NI 43-101 report 18 Sep 2023
- Lithium price at 21 Sept 2023 is USD26457 (180,000 Yuan at USD:CNY of 1:7.249
- Exploration success in 2021 hit aquifers, 173ppm Li sampled
- Planned 3 hole production drilling coming in the next few months
- Adjacent to Ganfeng property, our concession covers 30 sqkm area – land as well as salar
- VES geophysics shows low (<0.02ohm/m) aquifers with K, Mg, Li brines (not saltwater which is >0.026)
- MT Geophysics (May 2023) show deeper aquifers and basement at 400-600m and very low resistivities
- Drill hole data shows the lithium brine aquifers are from 50-200m
- Sample analysis shows Li values from 125-175ppm
- 45km from Tolar Grande (240 population) close to Rincon salar
- Social survey completed
- Easily accessible by road
- No indigenous communities closeby
+ Acquisition Structure
80% Ownership in Candelo II Project - COMPLETED
- Purchased in March 21, 2022 $1.2m USD in total, subsequently spent $USD600,000 in exploration
- Exploration drill permit in place, ready to fast track
- A.I.S. Resources has a 20% equity carry – required to contribute under share holder agreement otherwise share dilution occurs
- Lithium carbonate to be produced will be battery grade >99.5% purity
- Initial plant 5-10,000 tones per annum - Shipped out of Antofagasta Chile
+ Exploration Programs
**US$600,000 to date
- TEM geophysics survey over 30 points – Quantec Geophysics
- MT Geophysics – SouthernRock Geophysics – 3 lines – 1D and 2D inversions produced – outstanding results
- 2 x 100-150m drill holes to sample brines using double packer tool – sampled 154ppm and 173ppm Li in less than 200m.
- Plan to drill two exploration holes and one production well to monitor brine yield, complete downhole geophysics and upgrade NI 43- 101inferred report to measured and indicated.
- Collection of 200L brines to test using Ekosolve solvent exchange system to demonstrate recovery efficiency at 93.2% and yields at 99.48% Lithium Carbonate
- Lithium carbonate 99.5% battery grade prices in China were at CNY 180,000 per tonne at Sept. 18, 2023 reported by Tradingeconomics.com which is equivalent to US$26,457 per tonne.
+ Exploration
BRINE ANALYSIS
| Composition and Qualities | Values from core sample | Unit |
|---|---|---|
| Density at 20°C | 1201.8 | kg/m3 |
| Density at 20°C | 1.2018 | G/ML |
| Alkalis | 205.9 | mg CaCO3/l |
| Bicarbonates | 206 | mg CaCO3/l |
| Carbonates | <1 | mg CaCO3/l |
| Chlorides | 184436 | mg/l |
| Conductivity | 266000 | uS/cm |
| Hardness (by calculation) | 36100 | mg/L |
| Barium | <10 | mg/L |
| Boron | 85.64 | mg/L |
| Calcium | 6889.2 | mg/L |
| Strontium | 140.01 | mg/L |
| Iron | <10 | mg/L |
| Lithium | 173.26 | mg/L |
| Magnesium | 4588.5 | mg/L |
| Manganese | <10 | mg/L |
| Potassium | 5063.12 | mg/L |
| Sodium | 99197.37 | mg/L |
| Zinc | <10 | mg/L |
| pH | 5.7 | UpH |
| Total solids in suspension | 2047 | mg/L |
| Total dissolved solids | 322700 | mg/L |
| Sulphates | 827 | mg/L |
+ Geophysics
+ Ekosolve Direct Lithium Extraction Process
- Low capex
- 10,000 tonne per year plant US$125-$135m
- 5,000 tonne per year plant US$75-95m
- Low Opex - $2,500-3,000 per tonne
- Ekosolve licence fee and Argentina royalty fees at $26,500 per tonne Li 2 CO 3 FOB - $2,520
- Green footprint – low energy use, no ponds required
- Waste brines evaporated, reinjected, and treated with proposed small desal plant
- 93%+ efficiency lithium recovery from brines
- 99.5% battery grade lithium carbonate can be produced from LiCl base product
- Fast build time from pilot plant – estimated 2 years construction and commissioning
- Revenue for 10,000 tonne plant at current prices*(Sept 212023) may exceed USD$265 million per annum
- Solar electricity generation planned for offices, warehouse and living quarters
+ Key Personnel
- Nader Vatanchi – CEO, VP Corporate Finance and Director
- Harry Nijjar – CFO
- Ian Graham - Director
- Lawrence Hay – Director
- José Gustavo De Castro Alem - Director
To read our team bios, click here
+ Next Steps
- Upgrade 43-101 to include measured and indicated NI 43-101 resource calculation
- Begin production and 2 exploration drill hole wells
- Develop scoping study for production pilot plant
- Commence permitting process