Savannah Resources has discovered three new lithium pegmatites at the Pinheiro Deposit at its Mina do Barroso lithium project in Portugal.
The discovery was made as part of ongoing reverse circulation (RC) drilling programmes for the Reservatorio, NOA and Pinheiro deposits.
The drilling campaign resulted in lithium intersections in the new pegmatites over strikes of more than 250m and depths of over 100m.
According to the company, the results represent significant potential to further increase the current mineral resource estimate, which is estimated to exceed 20mt.
Savannah Resources CEO David Archer said: “The drilling has outlined what is now the fourth major deposit on the mining lease and highlights the still unconstrained nature of the resource potential of the overall lease area.
“Having already increased our mineral resource estimate by +500% in a little over a year we are excited by the discovery of three new pegmatites at the Pinheiro deposit, which could further enhance the scheduling flexibility of a mine development and add to the overall mine life at Mina do Barroso.”
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The company expects the new discovery to positively impact the current feasibility study for the project and intends to accelerate further work at Pinheiro.
Savannah also noted that the infill RC at both Reservatorio and NOA deposits confirmed the continuity of mineralisation. Drilling has confirmed mineralisation over strike lengths of 500m and 400m, respectively. Further drilling will be carried out at these deposits.
Savannah also stated that the third phase of the metallurgical test work programme is scheduled to be completed in the fourth quarter of this year.
In September, the company acquired an option to buy a mining lease application near its Mina do Barroso lithium project.