Aim-listed lithium explorer and developer Atlantic Lithium has reported the visual identification of spodumene in new drilling at the Ewoyaa lithium project, in Ghana.

The company says the new discovery offers potential to significantly expand the resource with spodumene seen over 80 m in multiple drill holes, indicating a widening of the spodumene at depth.

Drilling was completed below previously reported high-grade intervals.

Ewoyaa currently has a 30.1-million-tonne mineral resource grading 1.26% lithium oxide which Atlantic Lithium says makes the project one of the world’s better-grade lithium resources.

A prefeasibility study is due in the third quarter to upgrade the current scoping study, despite delays in receiving assay results from labs.

The project is located on the coast and is relatively close to port infrastructure for shipping concentrates to China for processing.

Atlantic Lithium has mobilised a further three drill rigs following the new discovery to supplement the single rig currently working on site.

Two new reverse circulation rigs have just arrived with a diamond drilling rig due next week.

The company has completed 52 drill holes to date for 9 166 m with a number of assays pending.

The drill programme has been expanded to about 37 000 m from 19 000 m including some infill and geotechnical drilling alongside the extension of the current resource.

One of the rigs will also test the depth of a number of new targets, which have been defined in auger drilling within the Ewoyaa pegmatite corridor, to the north and south of the current mineral resource estimate. 

Infill drilling will also upgrade the inferred to measured and indicated resources for the first 1.5 years of planned mine production.

Geotechnical drilling will test the ground conditions for pit wall planning and detailed engineering design.

Regional exploration auger drilling is ongoing over Mankessim and Saltpond licences.

Increasing the scale of the Ewoyaa lithium project offers the potential for a significant increase in the proposed production rate or for a second stage expansion, Atlantic Lithium points out.

It says that both options should be highly value-accretive in a market that is significantly short of spodumene and lithium supply.

“Management have picked up the pace of development at Ewoyaa, highlighting the strength of the team put in place by the late Vince Mascolo. While the sudden passing of our CEO was a shocking and tragic event, we feel sure Vince would be proud to see the acceleration of his good work,” the company says.

The company has been examining the potential for new production from direct lithium extraction (DLE) from lithium-rich brines in the Atacama in Chile and in Argentina.

It notes that the world is still a long way off commercial DLE lithium extraction, which presents significant challenges and, therefore, says lithium-ion battery materials processors will continue to rely on spodumene as a primary feedstock for lithium for many more years.

Therefore, it posits that Ewoyaa continues to stand out as one of the world’s best hard-rock lithium discoveries in recent years.