by Greg Klein | May 20, 2016
With money in place and 100% ownership confirmed, Voltaic Minerals TSXV:VLT prepares to explore for lithium on its Green Energy property in Utah. On May 20 the company announced it finalized the acquisition, one day after reporting its private placement raised a total of $765,000.
Past work on the 1,683-hectare property has included around 20 oil exploration wells, five of which show analytical data for lithium which occurs “in an over-saturated brine (40% minerals, 60% water) and was discovered during oil exploration when drill wells intercepted Bed #31 of the Paradox Formation,” according to Voltaic.
Bed #31 “is not part of any oil reservoir,” the company added. “Engineering reports from the 1960s conclude that the brine reservoir is extensive [over 25 square kilometres] and is recharged from fresh inflows as indicated by well pressure measurements, drawdown tests and oxygen-deuterium isotopes.”
Historic, non-43-101 data for Green Energy shows 15 million barrels of brine containing 96,000 tons of sodium, 158,000 tons of potassium (302,400 tons of potassium chloride), 5,750 tons of lithium (30,535 tons of lithium carbonate), 157,000 tons of calcium and 147,000 tons of magnesium (576,450 tons of magnesium chloride).
Voltaic has yet to verify the info, which the company doesn’t consider a resource. Voltaic plans to review well logs, conduct chemical analysis and reprocess seismic data to evaluate reservoir potential.
Lithium continues to stand out as an exceptionally high-performing commodity, with Industrial Minerals reporting a Q1 price increase of 30%. Growing battery demand for electric vehicles, as well as consumer electronics and energy storage, presents an optimistic scenario for the potential of energy minerals.