JOHANNESBURG (miningweekly.com) - Diversified Canadian resource company MGX Minerals' partner has received approval from the State of Utah's Division of Oil, Gas and Mining to conduct a three-dimensional (3D) geophysical survey on the Blueberry Unit at its Paradox basin petrolithium project.
The company on Wednesday noted that the survey would outline subsurface geological formations and structures favourable for accumulations of oil and gas, as well as lithium brine-bearing formations.
The project represents the first large-scale integrated petroleum and lithium exploration project in the US and is located close to the Lisbon Valley oilfield within the Paradox basin, which has shown historical brine content as high as 730 ppm lithium.
The project was being simultaneously explored for oil, gas, lithium and other brine minerals as part of the company's exploration, testing and analysis strategy to determine locations for deployment of the company's lithium and mineral extraction clean technology.
MGX is currently working to earning a 75% interest in the project, with the remaining interest primarily controlled by a private Utah corporation.
MGX further notes that it may decide to advance its petrolithium projects into production without first establishing mineral resources supported by an independent technical report or completing a feasibility study.