Lancaster Resources Ltd. (ASX: LRY) CEO Alex Passmore provided a comprehensive update last week regarding the company’s progress and future plans for its Alkali Flat Lithium Brine project in California’s eastern Mojave Desert.
Passmore outlined a long-term vision for the project that could potentially become a major supplier of lithium for the electric-vehicle (EV) battery market within the next five years. He noted that the project has already made significant progress in recent years, and that the company is actively planning for the next phases of the project.
The Alkali Flat Lithium Brine project is located on an 85-acre parcel of land just north of Death Valley National Park. The project is located near existing large-scale mining operations, with access to infrastructure such as roads and power.
The brines in the project area are believed to be naturally enriched with triboluminescent phosphor materials, which have the potential to yield unusually high-grade lithium. As a result, the project is thought to have the potential to unlock significant amounts of high-grade lithium resources.
In the update, Passmore noted that Lancaster has successfully identified the key resource areas of the project, and that it has identified over ten individual brine Rich Zones (RIZ) with high-grade lithium content. In particular, he noted that the I abstract as particularly rich in lithium.
In order to take the project to the next level, Lancaster has established an exploratory team to assess the project’s development potential. The team is currently analyzing the resource areas of the project to determine how best to develop the project in a safe and efficient manner.
Once the development plan is devised, Lancaster will then look to secure financing for a larger scale production phase. This would involve constructing an industrial-scale lithium brine extraction plant, with the goal of producing a large supply of highly-concentrated lithium carbonate for use in the EV battery market.
The long-term vision is that Lancaster could become a major supplier of lithium for the booming EV industry in five years. Passmore noted that the company will look to grow and expand the project in an organic manner, with a focus on delivering value for shareholders.
Overall, Passmore’s presentation was received positively by investors, who are optimistic about the project’s future. The company is clearly committed to developing a world-class asset that could play a major role in renewable energy production within the next five years.