Cazaly Resources says the lithium mineralisation at its Kaoko Project has low economic value, so the company will now review the existing copper targets and consider their options for the project.
Kaoko Lithium comprises exploration licence 6667, initially granted in February 2018 and renewed until February 2025.
The total project area is ~100km long and covers an area of approximately 1,410 square kilometres.
It abuts Celsius Resources Limited’s Opuwo cobalt project, where significant cobalt-copper mineralisation has been discovered in the Dolomite Ore Formation.
Cazaly Resources started the initial reverse circulation drill testing in September 2024 to determine the concentrations of lithium mineralisation in fresh rock beneath the large surface geochemical anomaly.
A total of 28 reverse circulation holes were drilled on 100-metre spacings across three north-south-oriented lines spaced ~400 metre apart for a total of 1,324 metres.
Twenty-five holes were drilled to a nominal depth
of 43m, with one drill hole extended on each line to test for mineralisation at depth.
Several quartz veins and faults were logged over all three drill traverses. The presence of faults,
veining and chlorite/pyrite-altered sediments may indicate the presence of fluid pathways and
potential mineralisation associated with the alteration.
The company announced in early October 2024 that the drilling intercepted intercalated dolomite, dolostone, chert, and minor chloritic sandstone.
The analytical results confirm that the sedimentary rocks intersected in drilling contain elevated lithium mineralisation. This suggests hydrothermal fluids entering the water column from a volcanic source during sedimentation may have introduced lithium mineralisation.
However, the company said the lithium concentrations are considered economically low and will now review the existing copper targets and consider its options for the project.
