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 welcome to CEO insights I'm Marilyn dman with investing news.com Lancaster resources and lithium exploration company based in Vancouver has made progress in its permit application for drilling at its alkal flat lithium project with the receipt of a technically complete letter from the New Mexico Mining and minerals division Penny white president and CEO of Lancaster resources joins me now to discuss this recent development from the company hi Penny Hi Marilyn how are you I'm good thanks for joining me

today so so now after the receipt of that technically complete letter from The Regulators about the alkal flat project what are the next steps for that um we have a letter of credit for around 100,000 Canadian that we post um that we have to do through the bank and then next steps are we basically drill our exploratory well um so we've uh narrowed down to a couple drilling companies or just trying to figure out the exact date um but hopefully we can get started within the next uh 30 to 60 days so

basically we'll be doing our exploratory well which is really just one um drill well one hole that will go down about 700 M and what we'll be able to do is explore the two really interesting targets that that we've delineated through all of our exploratory work to date and one is about 100 meters down so not far from the surface it's a 100 m thick aquafer looks like it's filled with brine highly anomalous resistivity meaning that there's a lot of salt and likely a lot of lithium or at least we

hope a lot of lithium uh the other Target is down a little deeper it's around 600 um between maybe 500 to 600 even to 700 MERS and it's quite wide um quite thick um over 200 M it looks like and that one um also is highly anomalous for resistivity so again likely filled with um lithium brine so for our investor Community who might not be that familiar with the alkal flat uh brine lithium brine project can you just provide sort of an overview what make that what makes it a compelling lithium mes sure um we picked

that asset up about um about 2 years ago and what was most compelling to me about the asset is all of the research that had been done by the prospector Rodney blakestad and Rodney blakestad is very very smart geologist in fact he has over 40 um discoveries that he's been involved in so that's pretty significant most of his passwor has been in gold in Alaska he was one of the the sort of the Pioneers in the 70s to go there and make some of the first discoveries um and he discovered uh you know Fort Knox which

is10 billion worth of gold so probably the biggest deposit in Alaska um that's still producing today um and his approach has always been to do an extensive amount of research before even putting boots on the ground before doing any exploration sort of looking at the publicly available data doing a really good analysis of the geology and and developing you know thesis and and and kind of um you know a plan um for exploration so that when you go out there and you get do your geocam work um it's it's very effective and that's

basically what happened when he turned his mind to lithium about five years ago so he looked into the USGS published data that says these are the things that every successful producing lithium brine have in common and he looked all across the Western the southwestern United States and compared it to the new data the new data that was published um that had been reanalyzed to look for lithium concentrations in the sediments all all the way across America and what he found was a really interesting Target in north

um in Southwest um New Mexico which turns out to be The Alkali flat and so it has everything that you would expect you'd want to see in a really big um produ commercially viable rind deposit and it also had the second highest um concentration of brine in the surface sediment samples so that was around 140 um you know we took over the project and and actually staked a bigger area so we covered the entire lake lake bed so it's the deepest part of that closed Basin um and we did additional sampling got even

better lithium values so um between 69 and 148 parts per million was the concentration of lithium on the surface and that's pretty high because a lot of our geological team says when you go down it should be much higher um to be economical as a lithium brine even 1 15 which is kind of around what we already have would be economical but we're really excited to see if it's going to be a lot higher than that um when we drw so what's over the short and the long term I guess what's the exploration

strategy for that project um well we'll do our first exploratory well um as soon as we've completed that it takes about two weeks really and once we've completed that we'll be sending the samples to the lab and we'll be getting back a lot of data um that will be useful in Ser of determining the economic viability but the most exciting part of that data in my opinion will be the concentration of the lithium um at Grine so we'll be looking at other things such as the Magnesium ions and

the calcium um the paracity of the rock um just course apples there'll be some clay there too but but what our big interest is in the brine because I think ultimately um that is the type of lithium that the car companies are after they're looking for a lithium Source that's environmentally friendly and um the potential uh for development at Alkali flat is really exciting because you can use dle technology most likely um so you're not taking out the Brine and evaporating it like they do in the

solars of South America but actually using the latest Technologies to extract the lithium um out of the water and then put the water back so it's very little damage or harm to the environment in fact our goal is to be um basically have a production facility that is net zero it has a net zero carbon effect on the environment which we think we can do through a combination of using the latest dle technology which is minimally invasive um using the same kind of production Wells that they have at Clayton Valley

which has been the largest source of producing lithium in North America to date and also using um a really friendly carbon friendly source of energy such as uh solar so in New Mexico that's one of the best places to set up solar facility there's lots of them around us there's also um Geo you know hydrothermal sources as well so there's a lot of opportunity to create a source a production facility for lithium that really is not damaging to the environment which is really exciting so

as we move forward we're looking to develop this project with that in mind so you recently announced as well that you've acquired a Piney Lake which is a gold project what are the plans for this uh project yes it's very exciting we recently staked about 5600 Acres which is around 22 square kilometers in Saskatchewan and um basically that really enriches our portfolio because it is adding to our portfolio a very exciting Gold prospect in historically gold Rich region um there is a Saskatchewan um Gold Mine the largest uh

gold mine actually Saskatchewan is just 40 km away that's the SSR CB mine and there's some really great findings of gold um very close to our property so about uh 4 km North on a north south Trend uh we there's been samples of 41 grams per ton and um really close to our property we've seen samples between 2.8 G per ton to 8.5 G per ton just even 200 M away and that's on a north south Trend um that looks like it's coming right onto our property so our initial exploration for that will involve seeing

if that Trend continues and so you know we have some exciting things planned um in terms of the expiration there certainly a good time a good timely acquisition given what's happening in the gold uh market right now absolutely yeah we love gold well thanks again penny for joining me and uh giving us some updates about the company Marilyn it's been a pleasure thank you and thanks everyone for watching join us again next time for another edition of Co insights if you like this video make sure you subscribe to our

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