SWA Lithium Drills New Smackover Well and Conducts Extensive Reservoir Testing Program at South West Arkansas Lithium Project
SWA Lithium, a joint venture between Standard Lithium and Equinor ASA, has begun drilling a new exploration well (Lester-1) at their South West Arkansas Lithium Project. The well has reached 8,000 feet depth, with a target of 9,600 feet. The project includes core sampling from the Smackover Formation and extensive reservoir testing.
The company is also conducting field programs at four existing wells in the proposed first area of operation, involving well re-entry, hydraulic testing, and brine sampling. Initial results indicate better reservoir properties than previously documented in the preliminary feasibility study, with higher lithium concentrations in brine samples.
The data collected will inform the upcoming Front End Engineering Design (FEED) and Definitive Feasibility Studies (DFS), scheduled for completion by mid-2025. Large volumes of brine have been collected from the International Paper Company well for field-based pilot testing.
SWA Lithium, una joint venture tra Standard Lithium ed Equinor ASA, ha iniziato a perforare un nuovo pozzo esplorativo (Lester-1) nel loro progetto di litio nel sud-ovest dell'Arkansas. Il pozzo ha raggiunto una profondità di 8.000 piedi, con un obiettivo di 9.600 piedi. Il progetto include il campionamento del nucleo dalla formazione Smackover e ampi test del serbatoio.
L'azienda sta anche conducendo programmi sul campo in quattro pozzi esistenti nell'area di operazione proposta, che prevedono il reinserimento nel pozzo, test idraulici e campionamento della salamoia. I risultati iniziali indicano proprietà del serbatoio migliori rispetto a quanto documentato in precedenti studi di fattibilità preliminari, con concentrazioni di litio più elevate nei campioni di salamoia.
I dati raccolti informeranno i prossimi progetti di Front End Engineering Design (FEED) e di Definitive Feasibility Studies (DFS), previsti per la conclusione entro la metà del 2025. Grandi volumi di salamoia sono stati raccolti dal pozzo della International Paper Company per test pilota basati sul campo.
SWA Lithium, una empresa conjunta entre Standard Lithium y Equinor ASA, ha comenzado a perforar un nuevo pozo de exploración (Lester-1) en su proyecto de litio en el suroeste de Arkansas. El pozo ha alcanzado una profundidad de 8,000 pies, con un objetivo de 9,600 pies. El proyecto incluye muestreo de núcleos de la Formación Smackover y pruebas extensas del reservorio.
La empresa también está realizando programas de campo en cuatro pozos existentes en el área de operación propuesta, que implican reingreso al pozo, pruebas hidráulicas y muestreo de salmuera. Los resultados iniciales indican propiedades del reservorio mejores que las documentadas anteriormente en el estudio de viabilidad preliminar, con mayores concentraciones de litio en las muestras de salmuera.
Los datos recopilados informarán los próximos estudios de diseño de ingeniería básica (FEED) y estudios de viabilidad definitiva (DFS), programados para completarse a mediados de 2025. Se han recolectado grandes volúmenes de salmuera del pozo de International Paper Company para pruebas piloto basadas en el campo.
SWA 리튬은 Standard Lithium과 Equinor ASA의 합작 투자로, 아칸소주 남서부의 리튬 프로젝트에서 새로운 탐사 우물(Lester-1)의 드릴링을 시작했습니다. 이 우물은 8,000피트의 깊이에 도달했으며 목표는 9,600피트입니다. 이 프로젝트에는 Smackover Formation의 코어 샘플링과 광범위한 저수지 테스트가 포함됩니다.
회사는 또한 제안된 첫 번째 운영 지역의 기존 우물 4곳에서 현장 프로그램을 수행하고 있으며, 여기에는 우물 재진입, 수압 테스트 및 염수 샘플링이 포함됩니다. 초기 결과는 이전의 초기 타당성 조사에 기록된 것보다 더 나은 저수지 특성을 나타내며, 염수 샘플에서 더 높은 리튬 농도를 보이고 있습니다.
수집된 데이터는 2025년 중반까지 완료될 예정인 향후 프런트 엔드 엔지니어링 설계(FEED) 및 확정 타당성 연구(DFS)에 대한 정보를 제공할 것입니다. 국제 종이 회사의 우물에서 현장 기반 파일럿 테스트를 위해 대량의 염수가 수집되었습니다.
SWA Lithium, un partenariat entre Standard Lithium et Equinor ASA, a commencé à forer un nouveau puits d'exploration (Lester-1) dans leur projet de lithium au sud-ouest de l'Arkansas. Le puits a atteint une profondeur de 8 000 pieds, avec un objectif de 9 600 pieds. Le projet comprend l'échantillonnage de carottes provenant de la formation Smackover et des tests extensifs de réservoir.
L'entreprise mène également des programmes sur le terrain sur quatre puits existants dans la première zone d'opération proposée, impliquant une réincursion dans le puits, des tests hydrauliques et de l'échantillonnage de saumure. Les résultats initiaux indiquent de meilleures propriétés de réservoir que celles précédemment documentées dans l'étude de faisabilité préliminaire, avec des concentrations de lithium plus élevées dans les échantillons de saumure.
Les données recueillies informeront les futurs projets de conception d'ingénierie préliminaire (FEED) et d'études de faisabilité définitive (DFS), prévues pour être terminées d'ici la mi-2025. De grands volumes de saumure ont été collectés à partir du puits de l'International Paper Company pour des tests pilotes basés sur le terrain.
SWA Lithium, ein Joint Venture zwischen Standard Lithium und Equinor ASA, hat mit dem Bohren eines neuen Explorationsbohrloches (Lester-1) in ihrem Lithium-Projekt im Südwesten von Arkansas begonnen. Das Bohrloch hat eine Tiefe von 8.000 Fuß erreicht, mit einem Ziel von 9.600 Fuß. Das Projekt umfasst das Kernproben von der Smackover-Formation und umfangreiche Reservoirtests.
Das Unternehmen führt außerdem Feldprogramme an vier bestehenden Bohrlöchern im vorgeschlagenen ersten Betriebsbereich durch, die das Wieder-Einbohren, hydraulische Tests und Salzwasserprobenahme umfassen. Erste Ergebnisse deuten auf bessere Reservoireigenschaften hin als zuvor in der vorläufigen Machbarkeitsstudie dokumentiert, mit höheren Lithiumkonzentrationen in den Salzwasserproben.
Die gesammelten Daten werden die bevorstehenden Front-End-Engineering-Designs (FEED) und definitiven Machbarkeitsstudien (DFS) informieren, die bis Mitte 2025 abgeschlossen sein sollen. Große Mengen an Salzwasser wurden aus dem Bohrloch der International Paper Company für Feldversuche gesammelt.
- Initial testing shows better reservoir properties than previously documented
- Higher lithium concentrations found in brine samples compared to previous results
- Project advancing towards commercialization with FEED and DFS studies scheduled for mid-2025
- None.
Insights
The drilling of the Lester-1 well represents a crucial step in de-risking the South West Arkansas Lithium Project. The well's strategic placement fills a critical data gap in the proposed operational area, while the depth target of 9,600 feet aligns with optimal Smackover Formation zones. The core sampling and permeability testing program is particularly vital for validating reservoir characteristics.
Initial findings indicating superior reservoir properties and higher lithium concentrations than previously documented suggest enhanced project economics. The comprehensive testing approach, including selective perforation and large-scale brine sampling, will provide essential data for accurate production modeling and resource estimation. This methodical approach to reservoir characterization is fundamental for the upcoming FEED and DFS studies.
This development phase marks a significant milestone in project de-risking. The joint venture between Standard Lithium and Equinor brings together technical expertise and financial capability, enhancing project credibility. The accelerated timeline targeting mid-2025 for FEED and DFS completion suggests strong execution focus.
The improved reservoir properties and higher lithium concentrations could materially impact project economics. This ongoing field program, combined with the new well data, will likely lead to refined resource estimates and potentially improved project metrics. The establishment of a central processing facility on owned land reduces future development risks and streamlines the path to commercialization.
The extensive testing program demonstrates a robust technical approach to resource validation. The combination of new drilling and re-entry testing of existing wells provides comprehensive data coverage critical for commercial development. The collection of large brine volumes for pilot testing indicates progression toward process optimization.
The systematic approach to data collection, including third-party analysis and QA/QC protocols, aligns with best practices in resource development. The focus on multiple well testing and extensive reservoir characterization suggests a thorough understanding of subsurface conditions will be achieved, essential for accurate production forecasting and project valuation.
SWA Lithium and Contractors Drill a New Well into the Smackover Formation to Complete Understanding of the Reservoir for Production Modelling
Additional Testing Program in 2023 Wells is Designed to Improve Understanding of Formation and Revise the Brine Chemistry for the First Phase of Production
LOUISVILLE, Ark., Jan. 15, 2025 (GLOBE NEWSWIRE) -- SWA Lithium, the Joint Venture between Standard Lithium Ltd. (“Standard Lithium” or the “Company”) (TSXV: SLI) (NYSE American: SLI) and Equinor ASA (“Equinor”) which is developing the South West Arkansas Project (“SWA” or the “Project”), is pleased to announce that it has successfully commenced drilling a new well into the Smackover Formation at the Project. The well is currently at a depth of approximately 8,000’ below surface (2,438 m), and has a targeted total depth of 9,600’ (2,926 m). SWA Lithium is also undertaking an extensive field program to re-enter the wells drilled in 2023 to conduct detailed reservoir testing and brine sampling work.
New Exploration Well
The new well, named Lester-1, is a vertical exploration well being drilled by local contractors, and its location is shown in Figure 1 below. The well fills in a data gap in SWA Lithium’s proposed first area of operation, and after spudding of the well on December 27th, 2024, is now at a depth of 8,000’ and advancing steadily. During drilling, it is intended to retrieve core from the Upper and Middle Smackover Formation limestone and the bore terminate in the Lower Smackover Formation. After installation of production casing, the borehole will be selectively perforated in zones of interest and multiple large-scale representative samples of lithium brine will be produced from the formation. The same horizons of interest will also be subjected to permeabilitity testing to assess reservoir characteristics and behaviour. Discrete core samples will be sent for third party assessment of porosity and permeability. All data gathered from this new well will be used to inform the forthcoming front end engineering design (“FEED”) and Definitive Feasibility Studies (“DFS”). An image of the rig and drillsite is shown in Figure 2 below.
Figure 1 – Map showing location of the Lester-1 well currently being drilled by the SWA team; plus locations of existing 2023 wells being tested and resampled as part of the current field program. The dashed grey box represents the approximate region of SWA Lithium’s proposed first area of operation at the Project in southwestern Arkansas. The hatched box of the central processing facility shows the land owned by SWA Lithium that will be used to house all the process facilities for the Project.
Figure 2 – Drill rig at the Lester-1 drillsite.
Field Program
The SWA team is also conducting an extensive field program at four wells in the proposed first area of operation (the four other wells shown on Figure 1). The work consists of well re-entry, hydraulic testing to determine reservoir characteristics, and brine sampling and testing. In addition, large volumes of brine have been collected from the International Paper Company (IPC-1) to allow the field-based pilot testing to be operated (see Standard Lithium’s recent news release dated December 19, 2024). To date, the work has demonstrated that reservoir properties are better than previously gathered in the preliminary feasibility study, and also, where lithium brine samples have been sent off for third-party analysis, the lithium concentrations are higher than previously published. Key data will be made public when available, and all relevant data will be provided in the DFS later in 2025, along with all QA/QC information.
Standard Lithium’s Director and President, Dr. Andy Robinson commented: “The Standard Lithium and Equinor teams, along with our various field and drilling partners are working hard to gather all the remaining sub-surface data we require for our first commercial lithium project. The remaining field programs are required so that our engineering and design partners can complete the FEED and DFS studies by mid-2025. The SWA Lithium Joint Venture remains focussed on execution and moving the Project towards commercialisation.”
Qualified Person
Steve Ross, P.Geol., a Qualified Person as defined by National Instrument 43-101 – Standards of Disclosure for Mineral Projects, has reviewed and approved the relevant scientific and technical information that forms the basis for this news release. Mr. Ross is Vice President, Resource Development for the Company.
About Standard Lithium Ltd.
Standard Lithium is a leading near-commercial lithium development company focused on the sustainable development of a portfolio of lithium-brine bearing properties in the United States. The Company prioritizes brine projects characterized by high-grade resources, robust infrastructure, skilled labor, and streamlined permitting. The Company aims to achieve sustainable, commercial-scale lithium production via the application of a scalable and fully-integrated Direct Lithium Extraction (“DLE”) and purification process. The Company’s signature project, the SWA Project, is located on the Smackover Formation in southern Arkansas, a region with a longstanding and established brine processing industry. The Company has also identified a number of highly prospective lithium brine project areas in the Smackover Formation in East Texas (“ETX”) and is conducting an extensive brine leasing program in this region. The Company is developing the SWA and ETX Projects in a 55:45 Joint Venture with Equinor. In addition, the Company has an interest in certain mineral leases located in the Mojave Desert in San Bernardino County, California.
Standard Lithium trades on both the TSX Venture Exchange (“TSXV”) and the NYSE American under the symbol “SLI”; and on the Frankfurt Stock Exchange under the symbol “S5L”. Please visit the Company’s website at www.standardlithium.com for more information.
About Equinor ASA
Equinor is an international energy company committed to long-term value creation in a low-carbon future. Equinor’s portfolio of projects encompasses oil and gas, renewables and low-carbon solutions, with an ambition of becoming a net-zero energy company by 2050. Headquartered in Norway, Equinor is the leading operator on the Norwegian continental shelf and is present in around 30 countries worldwide. Equinor’s partnership with Standard Lithium to mature DLE projects builds on its broad US energy portfolio of oil and gas, offshore wind, low carbon solutions and battery storage projects.
For more information on Equinor in the US, please visit: Equinor in the US - Equinor
Investor and Media Inquiries
Chris Lang
Director of Finance
+1 604 409 8154
c.lang@standardlithium.com
Twitter: @standardlithium
LinkedIn: https://www.linkedin.com/company/standard-lithium/
Neither the TSXV nor its Regulation Services Provider (as that term is defined in policies of the TSXV) accepts responsibility for the adequacy or accuracy of this release.
This news release may contain certain “forward-looking statements” within the meaning of the United States Private Securities Litigation Reform Act of 1995 and “forward looking information” within the meaning of applicable Canadian securities laws. When used in this news release, the words “anticipate”, “believe”, “estimate”, “expect”, “target, “plan”, “forecast”, “may”, “schedule” and other similar words or expressions identify forward-looking statements or information. These forward-looking statements or information may relate to intended development timelines, future prices of commodities, accuracy of mineral or resource exploration activity, including the accuracy of reservoir testing and brine sampling, reserves or resources, the ability of continued drilling to reach targeted well depth, regulatory or government requirements or approvals, the reliability of third party information, continued access to mineral properties or infrastructure, changes in exploration costs and government regulation in Canada and the United States, and other factors or information. Such statements represent the Company’s current views with respect to future events and are necessarily based upon a number of assumptions and estimates that, while considered reasonable by the Company, are inherently subject to significant business, economic, competitive, political and social risks, contingencies and uncertainties. Many factors, both known and unknown, could cause results, performance or achievements to be materially different from the results, performance or achievements that are or may be expressed or implied by such forward-looking statements. The Company does not intend, and does not assume any obligation, to update these forward-looking statements or information to reflect changes in assumptions or changes in circumstances or any other events affecting such statements and information other than as required by applicable laws, rules and regulations.
FAQ
What is the depth of SWA Lithium's new Lester-1 well in Arkansas (SLI)?
When will SWA Lithium complete the Definitive Feasibility Study (DFS) for the South West Arkansas Project?
What are the initial findings from SWA Lithium's reservoir testing in Arkansas?
When did SWA Lithium begin drilling the Lester-1 exploration well?
What testing is being conducted at SWA Lithium's existing wells in Arkansas?
