LONDON (ShareCast) - (Sharecast News) - Africa-focussed minerals exploration company IronRidge Resources updated the market on drilling activities at the Ewoyaa Lithium Project in Ghana on Wednesday, where it defined a JORC-compliant mineral resource estimate of 14.5 million tonnes at 1.31% lithium oxide in the inferred and indicated category.
The AIM-traded firm said that included 4.5 million tonnes at 1.39% lithium oxide in the indicated category.

It said drilling was progressing well, with around 4,200 metres in 40 reverse circulation holes completed to date.

Visible coarse spodumene mineralisation had been observed in 36 holes to date, with maximum reported pegmatite intervals up to 36 metres, and approximating true width.

Spodumene mineralisation was observed in the majority of pegmatite targets tested to date, showing "good continuity" up to 300 metres along strike and down dip, and average pegmatite widths of between 10 metres and 15 metres.

Three of the seven pegmatite target zones had been drill tested to date, the board said, adding that drilling was ongoing, with assays pending.

The directors said the 12,500 metre RC drilling programme was designed to add resource tonnes within the immediate Ewoyaa resource area, and to test new exploration targets within the adjacent Saltpond licence.

It said the projects had "ideal" infrastructure support, being located within 110 kilometres of the operating Takoradi deep-sea port, within 100 kilometres of the capital Accra, and adjacent to the sealed Takoradi-Accra highway and high-power transmission lines.

Ghana also had what IronRidge described as a "highly supportive" government, with a long mining history, "strong" diversification drive, and pro-renewable and stored energy initiatives.

"Seeing multiple drill holes with coarse visible spodumene within each of the new pegmatite targets tested to date confirms the growth potential of the project," said chief executive officer Vincent Mascolo.

"We are confident the additional targets will increase resource scale and improve project economics, where we have defined Ghana's first lithium JORC-compliant resource of 14.5 million tonnes at 1.31% lithium oxide, and within 110km of an operating deep-sea port."

Mascolo said the drilling programme was a "key part" of the company's work towards expanding the resource base on what he said was "widely considered" to be an industry-leading asset.

"We are now evaluating options to fast track the project to production to take advantage of the increasing demand for lithium and its role in the future growth of stored energy initiatives."

At 1149 GMT, shares in IronRidge Resources were up 0.95% at 21.2p.

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