June 21, 2022 / Vancouver, BC / Lithium South Development Corporation (the “Company”) (TSX-V: LIS) (OTCQB: LISMF) (Frankfurt: OGPQ) is pleased to announce that drilling has commenced at the Hombre Muerto North Lithium Project (HMN Li Project), Salta Province, Argentina. Servicios Gelogicos of Salta, Argentina began to turn the first hole on June 12th. The drilling method is diamond drill hole with double packer sampling at select intervals. The 2,000-meter drill program is expected to continue for the next several months, with results reported as obtained. The program is being supervised by Dr. Mark King, a Qualified Person under National Instrument 43-101, and Principal Hydrogeologist and President of Groundwater Insight, Inc. Dr. King has an extensive background in lithium brine resource and reserve estimation.
The objective of the program is to potentially expand the current Lithium Carbonate Resource which is defined as 756 parts per million lithium within 571,000 tonnes in the Measured and Indicated Categories with a low magnesium to lithium ratio of 2.6 to 1.0. (See December 4, 2018 News Release and NI 43-101 compliant Technical Report titled Initial Measured Indicated Lithium and Potassium Resource Estimate, Hombre Muerto North Project, Salta and Catamarca Provinces, Argentina, prepared by independent consultants Montgomery and Associates of Santiago, Chile). The resource is contained solely on the Tramo Claim Block, which is 383 hectares in size, and is one of five salar-located, noncontiguous claim blocks that comprise the total project area of 3,287 hectares. The drill program will focus exploration on the Alba Sabrina Claim Block, which is 2,089 hectares in size.
A recent TEM Study at the Alba Sabrina Claim Block (See October 4, 2021 News Release) provides potential indication of a surficial halite aquifer of approximately 75 meters of depth, with potential indication of clastic brine aquifer immediately below. The TEM Study was limited to a depth of approximately 350 meters, with the basement rock not confirmed. The drill program will attempt to drill to basement, limited to approximately 700 meters by the depth potential of the drill rig.
Company President, Adrian F. C. Hobkirk is quoted, “We are excited to begin the potential expansion of the high-quality lithium brine resource at the HMN Li Project. In particular, to confirm our expectations that deeper drilling will return significant results.”
About Lithium South
The Hombre Muerto North Lithium Project (HMN Li Project) is at an advanced stage of evaluation, with a Preliminary Economic Assessment having been completed in April 2019. Lithium South is the 100% owner and intends to potentially expand the known resource with its current drill program. Additional project work including permitting, environmental studies and process test work is ongoing
The HMN Li Project is adjacent to a US$840 million lithium mine under development by the Korean multinational corporation POSCO, which acquired their area from Galaxy Resources Ltd. for US$280 million. Livent Corporation is producing lithium south of the Hombre Muerto North Lithium Project and has been in operation there for over twenty five years.
The Company is evaluating conventional evaporation as a process method, and Direct Lithium Extraction (DLE) as an alternative method. D.L.E. test work on 2,000-liter brine samples is currently underway by Chemphys Chengdu, in China, and Eon Minerals in Salta, Argentina.
The technical and scientific information in this press release was reviewed by Dr. Mark King, a Qualified Person under National Instrument 43-101. Dr. King participated in the production of this news release.
On behalf of the Board of Directors
Adrian F. C. Hobkirk
President and Chief Executive Officer
Investors / Shareholders call 855-415-8100 / website: www.lithiumsouth.com
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This news release contains certain “forward-looking statements” within the meaning of Section 21E of the United States Securities and Exchange Act of 1934, as amended. Except for statements of historical fact relating to the Company, certain information contained herein constitutes forward-looking statements. Forward-looking statements are based upon opinions and estimates of management at the date the statements are made and are subject to a variety of risks and uncertainties and other factors which could cause actual results to differ materially from those projected in the forward-looking statements. The reader is cautioned not to place undue reliance on forward- looking statements. We seek safe harbor.