WorldWide Drilling Resource

U.S. Lithium Market Responds to Increased Demand Compiled by Bonnie Love, Editor WorldWide Drilling Resource ® The increased demand for lithium to fuel the recent electric/hybrid car and lithium battery revolution, has led to a window of opportunity for mining companies. In addition to the expansion of current operations, this has led to new mining projects, mergers, and acquisitions for the U.S. lithium industry. The attention is primarily focused on Nevada’s Clayton Valley, as it’s one of the few locations known to contain commercial-grade lithium-enriched brine. Nevada Energy Metals Inc. recently announced it has expanded its Clayton Valley holdings by acquiring an additional 27 claims to its lithium brine exploration project at Silver Peak, Esmeralda County, Nevada. The BFF-1 project now comprises 87 claims with an area encompassing 1740 acres and directly abutting the region of brine production of Rockwood Lithium, a subsidiary of Albermare Resources in the northern portion of Clayton Valley. The claims cover an area of playa (the flat-floored bottom of an undrained desert basin which becomes a shallow lake at times), including the Goat Island graben (a depressed segment of the crust of the earth bounded on at least two sides by faults), en- compassing a portion of a deep-circulation geothermal system beneath basin-fill sediments locally blanketed with travertine in northwestern Clayton Valley. Geological modeling and assessment of historical drilling results concluded both shallow thermal- gradient and lithium-exploration drilling demonstrates the northern portion of Clayton Valley contains the valley's highest subsurface temperatures. Nevada Sunrise Gold Corporation also announced an update to its current drilling program at the Neptune Lithium Project in southern Clayton Valley. Neptune consists of 316 unpatented 20-acre placer claims totaling approximately 6320 acres. The Silver Peak lithium mine operation, acquired by Albemarle Corporation in 2015, has extracted lithium minerals from brines continuously since 1966, and is located approximately ten miles north of Neptune. Pure Energy Minerals Limited has its core drill turning again at its Clayton Valley South (CVS) Lithium Brine Project, near Silver Peak, Nevada. Based on their successful track record during the phase 2 drill program at CVS, Harris Exploration Drilling and Associates Inc. remains the primary drill contractor on the project. The drill operators collared the new well (CV-3) approximately 660 feet southeast of CV-1. Drilled in the first phase of Pure Energy drilling at Clayton Valley, CV-1 was com- pleted to 900 feet. The company expects to drill CV-3 to a depth of up to 1640 feet before completing its construction with appropriate gravel pack, bentonite, and screening. Tesla Motors announced its plan to construct a lithium-ion battery plant outside of Sparks, Nevada, which is only about 3.5 hours from Clayton Valley. The com- pany plans to produce up to 500,000 lithium-ion vehicle batteries per year by 2020. The company broke ground on its Gigafactory in 2014, and expects to begin production next year. Photo courtesy of Pure Energy Minerals Limited. WWDR ’ s September issue is coming soon! DEADLINES: Space Reservation: July 25 th Display & Classified Ad Copy: August 1 st 10 JULY 2016 WorldWide Drilling Resource ®