Expansion of Lithium South's production well drilling program

Scarlet Ibarra / April 18, 2024 | 12:53
Lithium South drill program image.
Lithium South, a leading player in the lithium industry, has announced an expansion of its production well drilling program. The company aims to bolster its lithium production capabilities through this strategic initiative.

The expanded drilling program signifies Lithium South's commitment to meeting the growing demand for lithium, driven by the increasing popularity of electric vehicles and renewable energy storage solutions. By enhancing its production capacity, the company is poised to capitalize on the rising demand for lithium in the global market.

The latest developments, which refer to Well PW23-AS-02, their flagship Hombre Muerto North Lithium Project (HMN Li Project). This well represents a significant milestone as it is the first pumping well in the Alba Sabrina claim block. Covering an extensive area of 2,089 hectares, Alba Sabrina stands as the largest claim block within their HMN Li Project portfolio and plays a fundamental role in their lithium development efforts.

Recent efforts at Well PW23-AS-02 have resulted in the successful removal of sediment, allowing clear brine with strong artesian characteristics to flow. These developments indicate the potential for increased brine extraction rates. To capitalize on these advantages, Lithium South Development Corporation has secured an 80-kilowatt pump, larger than the originally planned 50-kilowatt pump, for the HMN Li Project.

Adrian F. C. Hobkirk, President and CEO of Lithium South Development Corporation, commented, "These advancements in the Alba Sabrina claim block have the potential to enhance our operational capabilities. The completion of the pumping test, expected by the end of May, will provide crucial technical insights into the capacity potential of this area of the salar. We are enthusiastic about the future and remain committed to delivering value to our shareholders while responsibly contributing to the global energy transition."

In response to these developments, Lithium South has decided to significantly expand its well installation program. This expansion includes the addition of a new well, up to 400 meters deep, in the Alba Sabrina block and three additional wells in the adjacent Norma Edith and Viamonte blocks, with a 50/50 brine share agreement with neighbor POSCO.

Concurrently, the technical team is preparing the biannual Environmental Impact Report, which will incorporate the expanded drilling plans. This report, crucial for Lithium South's strategic objectives, is expected to be submitted by the end of April.


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