Next Investors logo grey

ABR continues to deliver good news on Fort Cady, California

Published 05-DEC-2017 11:50 A.M.


3 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

American Pacific (ASX:ABR) has published the latest instalment of results from its ongoing exploration programme at the Fort Cady Project in California, USA. Fort Cady is ABR’s dual-project, intending to develop a boric acid and lithium-brine resource from the same ground.

Having acquired a highly sought-after asset in California earlier this year, ABR has begun proving up its acquisition through early sampling and testworks at its Fort Cady Project — with a near-term Feasibility Study target of mid-2018 already set.

ABR is seeking to develop a dual-commodity project in California, producing both boric acid and lithium in both commercial grades and quantities, according to early test results published today.

The current 6,800m resource drilling program is designed to confirm the historical mineral estimate defined at Fort Cady during the early 1980s, with ABR having now completed 10 of 14 confirmatory resource drill holes at the Project.

Assay results have now been received in totality from seven of the 14 drill holes, as shown below:

American pacific fort cady results

Source: American Pacific

ABR says that the additional drilling assay results further confirm the historical drilling at Fort Cady. In addition, ABR reports that “within the broader +5% B2O3 mineralised zone, an upper high-grade interval is consistently being intersected which has diluted grades in excess of 10% B2O3”.

It is early stages here, so investors should seek professional financial advice if considering this stock for their portfolio.

Furthermore, elevated lithium is being intersected throughout the entirety of the colemanite-hosting formation. This is encouraging given results from recent leaching test work demonstrated earlier this year which showed ~48% of the lithium will be leached simultaneously with the conversion of colemanite to boric acid during solution mining.

American Pacific Borate and Lithium Managing Director & CEO Michael Schlumpberger said, “These results continue to confirm an extensive zone of borate and lithium mineralisation that will support our dual strategy for producing borate and lithium, two highly sought after commodities.”

Michael Schlumpberger

ABR Managing Director and CEO Michael Schlumpberger

The mineralised region looks like being large enough to support our targeted boric acid production rate. Positively, the borate formation is proving to contain consistent levels of lithium and our initial leaching test work has confirmed lithium will be leached as a by-product of solution mining and boric acid production. We continue to be believe this is a world-class borate-lithium project.”

Given the positive results received so far, ABR intends to carry out its current work program as soon as possible, in order to deliver a Scoping Study and a Maiden JORC Mineral Resource before the end of 2017.

ABR’s Current Work Program

  • Confirmatory resource drilling (10 of 14 drill holes completed); assays pending from an additional 3 drill holes.
  • Lithium brine drilling (1 of 6 holes completed); assays pending.
  • Drilling completed of borehole for pilot-scale leaching test work.
  • Additional leaching test work commenced on core samples to further refine borate and lithium leaching kinetics.
  • Definition of maiden JORC (2012) Mineral Resource Estimate; targeting release in Q4 CY17.
  • Scoping Study on the borate project; targeting release in Q4 CY17.



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.