LONDON (Alliance News) - Lithium miner Savannah Resources PLC has increased the mineral resource at its Mina do Barroso project in Portugal by 17%.
The resource now stands at 23.5 million tonnes of ore, at a grade of 1.02% lithium oxide, giving 241,000 tonnes of contained lithium oxide.
At the Grandao stage one deposit, 100% of the resource is measured or indicated, while the overall measured and indicated resource has risen 28% to 13.3 million tonnes at 1.0% lithium oxide, and this now makes up 58% of the total resource.
Savannah is still targeting between nine million and 15 million tonnes of further ore at 1.0% to 1.2% lithium oxide, meaning the overall resource is expected to top 30 million tonnes.
Chief Executive David Archer commented: "This is the fourth major increase in the Mina do Barroso mineral resource and it has been achieved in less than 14 months. The increasing mineral resource highlights the continued growth potential for the project which is underscored by the exploration target remaining unchanged."
"With a potential mining inventory of over 30 million tonnes, we have a long-life asset that can become a secure, long term supply source of lithium which is a strategic metal for the burgeoning battery and electric vehicle industries of Europe."
Shares were 3.6% higher on Tuesday afternoon at 5.70 pence each.
Savannah Resources (SAV)