Extends Project Area in 'Lithium Hot Spot' - Extensive Pegmatite Swarms
Perth, Jan 21, 2016 AEST (ABN Newswire) - The Directors of Venus Metals Corporation Limited (
ASX:VMC) ("Venus Metals") are pleased to announce that the Company has extended its tenement holdings in the Pilgangoora region, a recognised 'lithium hot spot', having made an additional exploration licence application (ELA 45/4684). The Pilgangoora Northeast Lithium-Tantalum project is located in the Pilbara region of Western Australia, along strike from and northeast of Pilbara Minerals Ltd's developing Pilgangoora Lithium-Tantalum project (Figures 1 and 2 in link below).
1. Introduction
Venus Metals Corporation Limited ('Venus Metals') has made an additional application for an exploration licence in the Pilgangoora region of Western Australia (Figure 2 in link below). The new exploration licence application covers an area of substantial pegmatite swarms2 (Figure 3 in link below), the host rock for lithium-tantalum mineralisation in the region, and expands Venus Metals holding in the region to over 350 km2. The region hosts the Pilbara Minerals (ASX:PLS) developing Pilgangoora Lithium-Tantalum project and was recently described as a 'lithium hotspot'1. Pilgangoora region has attracted a number of other ASX listed lithium explorers including Lithium Australia NL (LIT), Altura Mining Limited (AJM), Metalicity Limited (MCT) and Dakota Minerals Limited (DKO).
2. Pilgangoora Northeast Lithium-Tantalum Project, Pilbara Region, WA.
The Pilgangoora Northeast Project (ELA 45/4630 & 4684) now covers over 350 km2 and is located 72 km to the southeast of Port Headland in the Pilbara region of Western Australia.
The project is accessible via the Great Northern Highway then east along local formed roads and station tracks. The Pilgangoora Northeast Project lies to the northeast of Pilbara Minerals Pilgangoora project area which hosts a substantial lithium-tantalum resource.
Venus Metals applied for the initial exploration license ELA 45/4630 in late 2015. The Company recently recognised that an area further to the east had substantial pegmatitic* outcrop in the form of northeast striking swarms and dykes and lies adjacent to the initial ELA (Figure 3 in link below).
*Pegmatites are the host rock for lithium-tantalum mineralisation in the region.
The Company has now applied for a second application in the area (ELA 45/4684) covering a further 195 km2 (61 blocks) to capture this highly prospective terrane. Venus continues its review of historical data for the Pilgangoora region and plans field reconnaissance work as soon as practical.
3. The Lithium Market
The global lithium market is growing at a rapidly due to developments in the technology and energy sectors, especially in the use of lithium based batteries for automotive and domestic applications.
Presently the global lithium market consumes around 200,000 tonnes of lithium carbonate (or lithium carbonate equivalent, 'VCE') per annum. Two thirds of global consumption is utilised in ceramics, glass, polymers and alloys, however growth in the technology (smart phones and computers) and energy sectors (lithium batteries for automotive and home usage) may see consumption double to over 400,000 tonnes of LCE by 2025.
The short to medium term growth in the lithium market will be limited by supply constraints, with few new operations being commissioned and four producers controlling much of the market. In the last year alone the price of LCE has risen more than 20%, from less than US$4,900/tonne in September 2014, to over US$6,100/tonne today. Current price predictions indicate that LCE may rise to over US$7,000 in 2016.
4. Conclusion
The recent EL application (ELA45/4684) at Pilgangoora NE adds significantly to the Company's project area in the region and further complements Venus's Stannum Project (ELA45/4627 and PLA 45/3004) (located SW of Pilgangoora and abutting Metalicity Limited and Global Advanced Metals Wodgina Pty Limited tenements at Wodgina) (Figure 4 in link below).
To view all tables and figures, please visit:
http://media.abnnewswire.net/media/en/docs/82061-ASX-VMC-20160121.pdf
About Venus Metals Corporation Limited
Venus Metals Corporation Limited (ASX:VMC) is a West Australian based Company with a focus on gold, base metals, vanadium and lithium exploration projects. The Company aims to increase shareholder value through targeted exploration success on its projects.
The Company's major gold project is the Youanmi Gold Mine, located 500km north-east of Perth. The Youanmi Gold Mine is now jointly owned by Venus Metals (30%) and Rox Resources Limited (70%); Indicated and Inferred Resource of the mine is in excess of 3 million ounces of gold.
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