{kanada_flagge}Having now drilled 534 meters in its second well (JP22-2), Usha Resources Ltd. (TSXV: USHA; OTCQB: USHAF; FRA: JO0) observes a similar succession of sedimentary layers and salt crusts at its Jackpot Lake lithium brine project in Nevada as it did in the first well (JP22-1), 2.75 kilometers away. Of particular significance is the fact that a sandy conglomerate zone of high porosity has again been encountered in the drainage-less basin at a depth of 467 meters. It appears to be a continuation of the same conglomerate zone intersected in the first hole at a depth of 517 meters. Usha concludes that the two holes are connected by a continuous stratified horizon. Evidence of a continuous sand-conglomerate zone was a prominent exploration target because the high porosity of this layer could make it a potential target horizon for subsequent brine pumping.
{kanada_flagge}Having now drilled 534 meters in its second well (JP22-2), Usha Resources Ltd. (TSXV: USHA; OTCQB: USHAF; FRA: JO0) observes a similar succession of sedimentary layers and salt crusts at its Jackpot Lake lithium brine project in Nevada as it did in the first well (JP22-1), 2.75 kilometers away. Of particular significance is the fact that a sandy conglomerate zone of high porosity has again been encountered in the drainage-less basin at a depth of 467 meters. It appears to be a continuation of the same conglomerate zone intersected in the first hole at a depth of 517 meters. Usha concludes that the two holes are connected by a continuous stratified horizon. Evidence of a continuous sand-conglomerate zone was a prominent exploration target because the high porosity of this layer could make it a potential target horizon for subsequent brine pumping.
In the neighboring Clayton Valley, the Conglomerate Zone is known to be particularly productive. Albemarle neighbor Pure Energy Minerals’ publicly available Preliminary Economic Assessment (PEA) indicates that the sand and conglomerate zone contains a large volume of brine with excellent grades.
Deepak Varshney, CEO of Usha Resources. “The demonstration of continuity in our project’s first two drill holes is an important finding that supports that our project has a similar geological environment to the Clayton Valley where Albemarle’s Silver Peak Lithium Brine Project is located.”
Figure 1: Drill core from JP22-2 shows distinct features of the porous conglomerate zone from 467 meters depth.
Summary: Usha Resources is celebrating a double exploration success with its second drill hole. First, the well advanced very quickly to a depth of more than 534 meters in only 12 days. It was thus much faster than the first well because a stronger drill rig was used. The second piece of good news is that the same porous sandy conglomerate horizon was intersected again at the expected target depth as in hole number 1. Such conglomerate horizons associated with evaporites are well known from the neighboring Clayton Valley. Albemarle neighbor Pure Energy’s PEA concludes that this zone is the most productive. This does not preclude other sedimentary zones from being productive. Albemarle discloses in its revealing February 14 Technical Report this year that there are a total of six productive horizons at its Silver Peak project in Clayton Valley, although the most porous horizon has contributed just under half of historical production. https://fintel.io/doc/sec-albemarle-corp-915913-ex963-2023-february-15-19403-2100 If Usha can further back up Jackpot Lake’s Clayton Valley analogy with measured results, the company has gigantic upside potential. The American market still seems to ignore this potential in its bias against lithium brine projects. This is precisely where we see the opportunity for investors.
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