Askari Metals inks lithium mining deal in Namibia
Askari Metals has entered into an agreement to acquire AstralL Dynamix Mining Investment (AstralL DMI), the sole owner of exclusive prospecting licence (EPL) 7626 in Namibia’s Uis pegmatite belt. EPL 7626 is located adjacent to Askari’s Uis lithium project and Andrada Mining’s Uis tin mine.
EPL 7626 covers an area of 68.2km² and holds a mineral resource of 81 million tonnes (mt) with a grade of 0.73% lithium oxide (Li₂O) and 0.15% tin. The acquisition of this license will significantly expand Askari’s Uis lithium project, increasing its total area to 380km² within the Erongo Region.
Terms of agreement
Under the terms of the agreement, Askari will pay A$275,000 in upfront cash and issue A$100,000 worth of shares to AstralL DMI. Additional shares worth A$300,000 will be issued upon completion of a drilling program of at least 2,000 meters using reverse-circulation (RC) drilling, with a requirement of achieving at least 10% lithium per meter in ten drill holes. Furthermore, if Askari develops a 2012 JORC-compliant resource of more than 5mt at 1% Li₂O, an additional A$400,000 worth of shares will be issued.
Gino D’Anna, Executive Director of Askari, stated that this acquisition aligns with the company’s strategy of expanding its presence in the battery metals sector. He described EPL 7626 as a highly prospective exploration license located near an operating mine with similar geology and mineralized pegmatites. Askari plans to conduct a comprehensive mapping and sampling campaign across the entire project area, starting with the conclusion of mapping activities at EPL 8535 and followed by the north-west portion of EPL 7345.
The Erongo Region in Namibia, where these mining activities are taking place, is part of the Damara Sequence. The geological formations in the region have been intruded by multiple zones and unzoned pegmatites. These pegmatites contain various minerals such as cassiterite, lepidolite, petalite, amblygonite, spodumene, tantalite, columbite, beryl, and gem tourmaline. Additionally, there are rare occurrences of sulphides, wolframite, scheelite, pollucite, and rare earth elements in the area.
