Acme Lithium Inc. (CSE: ACME) (OTCQX: ACLHF) completed the drilling, construction and development phase of its dissolved mineral resource exploration (DMRE) test well (TW-1) for its lithium brine project on Thursday.
TW-1 is aimed at extracting lithium from the lower gravel unit (LGU), which is situated between approximately 1,250 feet and 1,820 feet below the surface at the test well location. The LGU is a deep and extensively spread aquifer that sits above the bedrock in a significant portion of Clayton Valley.
The team successfully drilled a large-diameter borehole reaching the bottom of the LGU aquifer. This accomplishment allowed for a thorough exploration and assessment of the aquifer’s characteristics. The drilling process was accompanied by open-hole geophysical and wireline logs, providing valuable data on the geological formations encountered and their properties.
Furthermore, the team installed the well, which involved essential steps such as placing gravel packs and cement seals. These measures play a critical role in ensuring the well’s stability and integrity, guarding against any undesirable movement or contamination. The successful completion of these installation activities marks significant progress towards the readiness of the well for operations.
Lastly, the team conducted well development activities aimed at optimizing the well’s performance and efficiency. These activities included procedures like well pumping and purging, which eliminate any remaining drilling fluids or debris and establish ideal flow conditions.
The next step involves the well being properly secured and prepared for a pumping test. This test will evaluate the hydraulic properties and brine chemistry of the LGU to determine the extractability potential and average lithium concentration within the LGU brine at the TW-1 location.
Read more: Calibre Mining expands high-grade gold discoveries at Panteon North
Phase one program showed highest lithium concentrations
In August 2022, it was announced that during Acme’s phase 1 program, conducted until July 2022, the LGU exhibited some of the highest lithium concentrations, reaching up to 130 milligrams per litre (mg/L) in the collected brine samples.
Acme’s project area is situated next to and shares a boundary with Albemarle Corporation‘s (NYSE: ALB) lithium brine operation in Clayton Valley, which has been actively running since 1966. Additionally, the Clayton Valley is presently the sole lithium brine region in the United States that is actively producing lithium.
In April 2023, the drilling increased the depth of the LGU from around 1,250 feet to 1,820 feet. After which, the company collected a sample, which revealed the presence of brines extending into the bedrock, with lithium concentrations reaching up to 71 mg/L.
The TW-1 pumping test will be used to evaluate the volume of lithium-enriched brine and its potential for extraction from the LGU aquifer through pumping.
The TW-1 pumping test, along with the subsequent laboratory analyses, is expected to be completed within a timeframe of 90 days. These findings will play a significant role in assessing the existence of a lithium resource at the Acme project.
Acme Lithium shares rose 1.6 per cent to $0.315 on Thursday on the Canadian Securities Exchange.
Lithium is a secondary metal mined in Nevada, which is better known for its abundant production of gold, silver and copper.
Calibre Mining (TSX: CXB) (OTCQX: CXBMF) is a junior gold explorer with operations in Nevada. Earlier this year, Calibre set a new production record in Q1 with its Nevada gold production at Pan Mine contributing 10,753 ounces to its overall production of 65,750 ounces, and properties in Washington State and Nicaragua.
A few other companies operating in Nevada include Lithium Americas Corp (TSX: LAC) (NYSE: LAC) which mines lithium out of the Thacker Pass lithium project; Nevada Copper Corp. (TSX: NCU) which mines copper from the Pumpkin Hollow project; and SSR Mining Inc (TSX: SSRM), which is involved in the Marigold mine in Nevada.
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