Ann: Update on Columbus Salt Marsh lithium drilling, page-13

I hope everyone understands this pump test was purely to confirm the presence of brines at 540m. It was not expected to assay any lithium as it is above the 600m-1000m conductive zone. The MT survey supports this idea as the resistivity at 540m was way to low (~1.5 ohm-m).


The significant increase in conductivity at 600m onwards is likely the introduction of (lithium bearing) salts in the brine aquifers. This is a highly likely explanation for the decrease in resistivity as they are inversely related. The concept is explained by a quick comparison between open seawater (20-30 ohm-m) to rainwater (20,000 ohm-m), showing that the higher the salt concentration, the lower the resistivity. Now, for lithium brine projects, most of the lithium is found in salt and as such, gives me a reason to believe the high resistivities (<1 ohm-m) implies concentrations of lithium (and other conductive elements).

The tuff and ash that was found are also encouraging as it believed to be the source of lithium of the Clayton Valley basin where Silver Peak is operating. If this proves true, then lithium will likely be found at CM too.

Now, since we did a pump test, our drilling timeline will likely be pushed out further to account for the lost time during the tests. The drill past 750m on Friday night - suggesting that we will reach target depth by this weekend. (30days * 250m/1000m = +7.5days). However, this could take longer if more pump tests are carried out but if so, this also means we will find out about brine content analysis results earlier than expected and in line with original timeline estimates.

We are definitely down to the business end of this drilling campaign.