NRG Reports High Lithium Grades for Measured and Indicated Resource at the Hombre Muerto Norte Lithium Project, Argentina
VANCOUVER, October 3, 2018 -
HIGHLIGHTS
- 756 parts per million Li contained within 571,000 tonnes in the Measured Indicated Categories
- Low magnesium to lithium ratio of 2.6 to 1.0
- Second well pumps at 20 liters per second limited only by pump size
NRG Metals Inc. ("NRG" or the "Company") (TSX-V: NGZ) (OTCQB: NRGMF) (Frankfurt: OGPN) is pleased to provide additional information regarding the maiden lithium ("Li") and potassium ("K") resource statement for its Hombre Muerto Norte lithium brine project in the Salta province of Argentina. The average grade of lithium for the 571,000 tonne combined Measured and Indicated resource (509,000 measured and 62,000 indicated) is 756 mg/liter lithium, with a low lithium to magnesium ratio of 2.6 to one.
We provided the NI 43-101 resource statement in Table 1 of our October 2, 2018 press release, and we have reproduced Table 1 below with the inclusion of grade data for lithium and potassium. We refer the reader to our October 2, 2018 press release for detailed information about the resource estimate.
Table 1. Hombre Muerto North Lithium Brine Resource Statement
Li2CO3 KCl
Resource Brine Volume Li Grade Li Equivalent K Grade K Equivalent
Category (1000 m[3]) (mg/liter) (tonnes) (tonnes) (mg/liter) (tonnes) (tonnes)
Measured 119,862 797 96,000 509,000 7,039 844,000 1,609,000
Indicated 21,936 534 12,000 62,000 5,517 121,000 231,000
M+I 141,798 756 107,000 571,000 6,803 965,000 1,840,000
Tonnages are rounded off to the nearest 1,000. Cutoff grade: 500 mg/L lithium, but no laboratory results were less than the cutoff grade. The conversion used to calculate the equivalents from their metal ions is based on the molar weight for the elements added to generate the equivalent. The equations are Li x 5.3228 = lithium carbonate equivalent and K x 1.907 = potassium chloride equivalent.
The reader is cautioned that mineral resources are not mineral reserves and do not have demonstrated economic viability.
As we reported in a press release dated September 21, initial pumping tests from our first pumping test well (TWW18-01) located on the eastern side of the property indicated an average pumping rate of 25 liters per second of brine. We have completed pumping tests on the second pumping test well (TWW18-02), located approximately 2.1 kilometers west of the first pumping well, and we are pleased to report that the initial results from the second pumping well indicated an average pumping rate of 20 liters per second of brine. Both tests were conducted over a period of 72 hours. The capacity of the pump used for the pumping tests for both holes was limited, and we expect that the pumping rates will be exceeded with a larger pump.
Adrian Hobkirk, President and CEO of NRG, commented, "The grades we are seeing at the Hombre Muerto Project are some of the highest reported grades for any of the lithium-bearing brine deposits in Argentina. The combination of high grades, excellent chemistry and good pumping rates are very positive indicators that we hope will allow us to advance the project through feasibility studies to production should the economic viability and technical feasibility of the project be established."
Qualified Person
The resource evaluation work was completed by Mr. Michael Rosko, M.Sc., C.P.G. of E. L. Montgomery and Associates of Santiago, Chile ("M&A"). Mr. Rosko is a Registered Geologist (C.P.G.) in Arizona, California, and Texas, a Registered Member of the Society for Mining, Metallurgy and Exploration, and is a qualified person (QP) as defined by NI 43-101. Mr. Rosko and hydrogeologists from M&A have been on site multiple times during the various phases of drilling and sampling operations; Mr. Rosko has extensive experience in salar environments and has been a QP on many lithium brine projects. Mr. Rosko and M&A are completely independent of NRG. Mr. Rosko has reviewed and approved the content of this news release.
On behalf of the board of directors of NRG Metals Inc.,
Adrian F. C. Hobkirk
President and C.E.O.
The TSX Venture Exchange has not reviewed the content of this news release and therefore does not accept responsibility or liability for the adequacy or accuracy of the contents of this news release.
This news release contains certain "forward- looking statements" within the meaning of Section 21E of the United States Securities and Exchange Act of 1934, as amended. Except for statements of historical fact relating to the Company, certain information contained herein constitutes forward- looking statements. Forward-looking statements are based upon opinions and estimates of management at the date the statements are made and are subject to a variety of risks and uncertainties and other factors which could cause actual results to differ materially from those projected in the forward looking statements. The reader is cautioned not to place undue reliance on forward- looking statements. We seek safe harbor.
Investors / Shareholders Call 855-415-8100 or direct to Adrian Hobkirk 714-316-3272 ahobkirk@nrgmetalsinc.com.