TYX Lithium Exploration Update

Our Angolan hard rock lithium Investment Tyranna Resources (ASX: TYX) just put out an exploration update:

TYX holds a giant ~200km2 pegmatite field hosting over 1,000 independent pegmatites, across a 25x10 km area.

To date, only ~2% of the pegmatites have been explored.

Last year after its first drill program on the project, TYX made its first discovery, hitting ~22m of lithium with grades at 2.02%.

This was enough to bring in a Chinese JV partner and a binding offtake agreement that came with a US$10M prepayment.

On top of the US$10M prepayment commitment, TYX’s partner $5.5BN Sinomine also committed to a A$31M investment into TYX and at the project level.

Now with $XM of that cash in the bank (at 31 December 2023), TYX is running its phase 2 drill program.

The primary aim for the phase 2 program is to grow its existing discovery.

(Source)

Earlier today TYX put out an exploration update highlighting the following:

1. Assay results from first 17 holes being recompleted

Although preliminary assay results have been received for holes MRC01 – MRC17, interrogation of the results revealed inconsistencies that suggest that the results must be considered unreliable. Re-sampling of holes MRC01 – MRC17 has begun on site, with subsequent sample preparation to prepare pulps via another method than what was previously used. These pulps will be sent to a laboratory in Australia for follow up assay. Assay results from this “re-sample, re-prep, re-assay” process are anticipated to be received in June.

The outcome of these investigations will be reported after review of new assay results, likely to be received in June.

2. ~35 holes drilled to date, another ~34 to come.

So far TYX has drilled ~35 holes. The company still has ~34 holes to complete between now and the middle of the year.

What’s next for TYX?

Drill results from second round of drilling 🔄

As with all of our hard rock lithium explorers we will be looking out for the following:

• During drilling - We want to see more visual spodumene in the drill cores. Spodumene is generally the host rock for high grade lithium, visual spodumene will be a positive first indication of potential economic lithium mineralisation.
• After drilling - This will be all about waiting for the assay result — we’ll be looking for lithium grades above a level that is considered typically economic. These assays are expected early 2024.

We have set up expectations for the assays as follows:

• Bull case (exceptional result) = Lithium grades >1.5%.
• Base case (good result) = Lithium grades 1-1.5%.
• Bear case (poor result) = Lithium grades <1%.