CAD bullish on lithium play after due diligence
Published 23-MAY-2016 15:33 P.M.
|
2 minute read
Hey! Looks like you have stumbled on the section of our website where we have archived articles from our old business model.
In 2019 the original founding team returned to run Next Investors, we changed our business model to only write about stocks we carefully research and are invested in for the long term.
The below articles were written under our previous business model. We have kept these articles online here for your reference.
Our new mission is to build a high performing ASX micro cap investment portfolio and share our research, analysis and investment strategy with our readers.
Click Here to View Latest Articles
Caeneus Resources (ASX:CAD) will move ahead with its acquisition of lithium projects in Nevada after an initial technical work-up came back overwhelmingly positive.
It told its shareholder today that while the exact details of a gravity survey and formation sampling still need to be worked up in the lab before they can be reported to the market, that the initial indications were enough for it to move forward.
“Inspection of the claims has shown beyond doubt that the Muddy Mountain claims have the potential to define a multi-million tonne lithium resource grading in the range 0.3% to 0.5% lithium,” the company said in a statement.
The Lida Valley project meanwhile was the site of ground gravity survey – with the early indications positive enough for the company to move on the project option.
At this stage, it looks as if the projects cover a sedimentary basin similar to that being tapped at the nearby Clayton Valley – which contains at least five lithium-bearing aquifers.
The information from the initial work will be given to shareholders before a vote on the acquisition of the projects. Should approval be given, CAD will then begin a drilling program at shllow depth – it has previously said drillholes would be less than 300m in depth.
More on Caeneus Resources (ASX:CAD)
CAD is currently running the rule over two projects in Nevada thought to be rich in lithium-bearing brines, the Lida Valley and Muddy Mountains projects.
An overview of Caeneus Minerals’ lithium plays
CAD is attempting to cash in on the buzz currently being generated by lithium’s role in the lithium-ion battery revolution which is in part being driven by Tesla’s electric cars.
Tesla currently has a so-called ‘gigafactory’ in Nevada, and has previously stated its preference to source materials from North America.
Muddy Mountain is a potential high impact ‘district-scale’ lithium clay project, with strongly anomalous lithium up to 1000 parts per million lithium previously hit as part of historical drilling.
The Lida Valley Project is a significant regional Intermontane Basin with a drainage area of approximately 150km2.
It is considered by CAD to be an ideal location for the development of lithium rich brine deposits.
General Information Only
S3 Consortium Pty Ltd (S3, ‘we’, ‘us’, ‘our’) (CAR No. 433913) is a corporate authorised representative of LeMessurier Securities Pty Ltd (AFSL No. 296877). The information contained in this article is general information and is for informational purposes only. Any advice is general advice only. Any advice contained in this article does not constitute personal advice and S3 has not taken into consideration your personal objectives, financial situation or needs. Please seek your own independent professional advice before making any financial investment decision. Those persons acting upon information contained in this article do so entirely at their own risk.
Conflicts of Interest Notice
S3 and its associated entities may hold investments in companies featured in its articles, including through being paid in the securities of the companies we provide commentary on. We disclose the securities held in relation to a particular company that we provide commentary on. Refer to our Disclosure Policy for information on our self-imposed trading blackouts, hold conditions and de-risking (sell conditions) which seek to mitigate against any potential conflicts of interest.
Publication Notice and Disclaimer
The information contained in this article is current as at the publication date. At the time of publishing, the information contained in this article is based on sources which are available in the public domain that we consider to be reliable, and our own analysis of those sources. The views of the author may not reflect the views of the AFSL holder. Any decision by you to purchase securities in the companies featured in this article should be done so after you have sought your own independent professional advice regarding this information and made your own inquiries as to the validity of any information in this article.
Any forward-looking statements contained in this article are not guarantees or predictions of future performance, and involve known and unknown risks, uncertainties and other factors, many of which are beyond our control, and which may cause actual results or performance of companies featured to differ materially from those expressed in the statements contained in this article. S3 cannot and does not give any assurance that the results or performance expressed or implied by any forward-looking statements contained in this article will actually occur and readers are cautioned not to put undue reliance on forward-looking statements.
This article may include references to our past investing performance. Past performance is not a reliable indicator of our future investing performance.
