Lithium South Resource Expansion Drill Program Advancing

Rhea-AI Summary

Lithium South Development Corporation (LISMF) announced progress on its drilling campaign at the Hombre Muerto North Lithium Project in Argentina. Two rigs are operational, focusing on the Alba Sabrina claim block, a 2,089-hectare area. Drilling is on schedule, with three holes identified (AS01, AS02, AS03). Hole AS01 reached 270 meters, showing promising assay results. The project, adjacent to a US$840 million lithium mine, aims to expand its resource base. A Preliminary Economic Assessment was completed in April 2019. The company plans to continue drilling to basement rock.

Positive

• Drilling campaign at Hombre Muerto North Lithium Project is progressing as scheduled.
• Promising assay results reported from hole AS01 at a depth of 270 meters.
• Significant brine found in holes AS02 and AS03.

Negative

• Current drilling is paused for major service on drilling units.

VANCOUVER, BC, Oct. 6, 2022 /PRNewswire/ -- Lithium South Development Corporation (the "Company") (TSX-V: LIS) (OTCQB: LISMF) (Frankfurt: OGPQ) is pleased to provide an update on the drilling campaign currently underway at the Hombre Muerto North Lithium Project (HMN Li Project) in Salta Province, Argentina.  Two rigs are operating on site, and drilling is progressing according to schedule.

The current exploration is located within the Alba Sabrina claim block.  This area at 2,089 hectares is the largest of the 3,287 hectare claim package.  The current drill plan has three holes located south to north, identified as AS01, AS03 and AS02, along a four-kilometer grid:

1. First hole AS01, was completed to 270 meters depth and is the southernmost hole along the south to north grid.  Assay work returned encouraging results as reported August 10, 2022.
2. Holes AS02 and AS03 are located to fill in the south to north grid.  Hole AS03 located 2,000 meters north of hole AS01 is at 195 meters depth and is comprised of mainly sand and gravel with a basalt zone from 33 to 73 meters.  
3. Hole AS02, located 2,000 meters north of Hole AS03 and positioned at the northern most zone of the Alba Sabrina claim block, is at 180 meters depth and is comprised mainly of sand with occasional clay zones.

Both holes contain significant brine. The intention is to continue to drill to basement rock. Currently drilling is paused while a major service is completed on both units in preparation for double packer sampling.

Company Director and Director of Project Development, Fernando Villarroel states, "We are very pleased with the current exploration progress and look forward to further results."

About Lithium South

The HMN Li Project is at an advanced stage of evaluation, with a Preliminary Economic Assessment completed in April 2019.  Lithium South is the 100% owner and expects to expand the known resource with its current drill program.  Preliminary results support this expectation. Additional project work including permitting, environmental studies and process test work is ongoing.

The HMN Li Project is adjacent to a US$840 million lithium mine under development by the Korean multinational corporation POSCO, which acquired their holdings from Galaxy Resources Ltd. for US$280 million.  Livent Corporation is producing lithium to the south of the Hombre Muerto North Lithium Project and has operated there for over twenty-five years.

 The contents of this press release were reviewed by William Feyerabend, a Consulting Geologist and Qualified Person under National Instrument 43-101. Mr. Feyerabend participated in the writing of this press release and approves of the technical information contained herein.

On behalf of the Board of Directors

Adrian F. C. Hobkirk
President and Chief Executive Officer
Investors / Shareholders call 855-415-8100 / website: www.lithiumsouth.com 

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release. The TSX Venture Exchange has not reviewed the content of this news release and therefore does not accept responsibility or liability for the adequacy or accuracy of the contents of this news release.

This news release contains certain "forward-looking statements" within the meaning of Section 21E of the United States Securities and Exchange Act of 1934, as amended. Except for statements of historical fact relating to the Company, certain information contained herein constitutes forward-looking statements. Forward-looking statements are based upon opinions and estimates of management at the date the statements are made and are subject to a variety of risks and uncertainties and other factors which could cause actual results to differ materially from those projected in the forward-looking statements. The reader is cautioned not to place undue reliance on forward- looking statements. We seek safe harbor.

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SOURCE Lithium South Development Corporation

FAQ

What recent updates did Lithium South Development Corporation provide about the Hombre Muerto North Lithium Project?

Lithium South announced progress on its drilling campaign, with two rigs operational in Argentina, focusing on the Alba Sabrina claim block.

What are the depths and results of the drilled holes in the current campaign by Lithium South?

The first hole AS01 reached 270 meters with positive assay results. Holes AS02 and AS03 are at depths of 180 and 195 meters, respectively, containing significant brine.

What is the significance of the Hombre Muerto North Lithium Project for Lithium South?

The project aims to expand the resource base and is adjacent to a major lithium mine valued at US$840 million, enhancing its potential value.

What was the last economic assessment for the Hombre Muerto North Lithium Project?

A Preliminary Economic Assessment was completed in April 2019, indicating advanced evaluation status for the project.