Routine earth-moving activities at Kairos Minerals’ Mt York gold project in the Pilbara have turned up spodumene pegmatites, opening the door to a possible lithium play for the diversified West Perth explorer.
As an important source of lithium, spodumene is a critical and highly sought-after raw material and spodumene mining has helped promote Australia to the top of the world league of lithium-producing countries.
Lithium is derived more cheaply from brine, however, when extracted from spodumene the lithium concentration is higher, which can offset the higher processing cost.
Five spodumene pegmatite samples were discovered at the end of last month as earth-moving equipment was digging a sump as part of a gold drilling program at Kairos’ Mt York gold project, about 100km south-east of Port Hedland.
Initial analysis using limited long-wave infrared and X-ray diffraction has indicated the samples contain spodumene in association with beryl, garnet and micas.
The discovery has excited Kairos, not least because it was made less than 4km from Pilbara Minerals’ massive lithium operation, Pilgangoora.
The Pilgangoora ore body is considered one of the biggest hard rock lithium deposits in the world.
Last October, Pilbara Minerals upgraded its proved and probable ore reserves at its Pilgangoora lithium-tantalum project to 162 million tonnes, grading 1.2 per cent lithium oxide, 100 parts per million tantalum pentoxide and 1.0 per cent ferric oxide.
The location of Kairos’ pegmatite samples was quickly and appropriately named Lucky Sump.
Kairos Managing Director, Dr Peter Turner said: “The discovery of spodumene pegmatites on our tenements in a world-class spodumene pegmatite district is highly significant for Kairos.”
“It appears that these samples may be part of a larger pegmatite dyke swarm that is largely under cover. Spodumene pegmatites are rare in Australia and this discovery indicates we are in a fertile lithium-caesium-tantalum district with potentially significant upside.”
Kairos management is cautions that identifying spodumene using spectral methods is often difficult and its identification so far is only from five rock samples.
It says that from its limited work it has determined the presence of spodumene and likely alteration products of spodumene are supported.
However, these indications are considered indicative only and that determinations are subordinate to laboratory assays.
The samples are being sent to a Perth laboratory for multi-element analysis to determine their lithium grade. Results will possibly be known next month.
Kairos says that while awaiting the test results, drilling activities at the Lucky Sump lithium discovery will be prioritised as part of the already-planned Mt York gold project drilling program.
Mt York has a mineral resource estimate of 17.2 million tonnes at 1.26 grams per tonne for 697,700 ounces gold.
Kairos bought the project, mined by Lynas Gold in the 1990s, in 2016 and though it is the company’s flagship, Mt York is not its only gold interest. It also has gold deposits at Iron Stirrup and Old Faithful to the north.
The company’s wholly owned Lalla Rookh project to the north-east of Mt York has uncovered extensive lithium-caesium-tantalum targets prospective for lithium mineralisation.
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By Matt Birney
