TORONTO (miningweekly.com) – TSX-V-listed Eureka Resources on Wednesday announced that it had successfully closed the acquisition of a 50% working interest in the Gemini lithium project, located in the western Lida Valley of Nevada.
Under terms of the deal, Vancouver-based Eureka had paid C$96 794 to vendor Nevada Sunrise Gold, its 50% share of the acquisition costs, and geophysical and geological costs incurred to date on Gemini. Eureka had also issued 300 000 common shares to Nevada Sunrise.
Eureka advised that the 2 000 ha Gemini lithium project comprised 247 placer mining claims hosting two deep, sub-basins that had the potential for lithium-bearing brines, similar to the proven lithium brine deposits located in the Clayton Valley, where Clayton Valley mine was located – the only current lithium producer in North America.
According to Eureka, Gemini was located in a similar geologic environment 40 km south-east of the Clayton Valley.
In March, Eureka and Nevada Sunrise commissioned SJ Geophysics to perform a follow-up time domain electromagnetic (TDEM) survey to further define conductive layers present within the two sub-basins at Gemini, first detected in a TDEM survey carried out in February.
Eureka advised that the processing and modelling of the combined TDEM data had been completed and ten drill site locations had been chosen for a late-summer drilling programme to explore Gemini sub-basins for lithium-bearing brines.
A permit application for up to ten drilling sites had been submitted to the US Bureau of Land Management, the company said.