Australia-listed Future Battery Minerals (FBM) on Friday claimed a “huge scale” lithium discovery in its Nevada Lithium Project (NLP) near Tonopah, in the western United States, Kallanish reports.

The exploration company, formerly Auroch Minerals, announced “exceptional assay results” confirming the presence of shallow and thick lithium-bearing claystone at the Lone Mountain prospect within the project. The lithium mineralisation, which remains open, is hosted in the same geological unit as American Lithium’s TLC Deposit and American Battery Technology Corporation.

The results of the Phase 2 reverse circulation (RC) drilling programme include: 179.8 metres at 766 ppm lithium from 39.6 m, including 19.8 m at 1,010 ppm; and 170.7 m at 764 ppm lithium from 67.1 m, including 27.4 m at 1,030 ppm lithium from 112.8 m.

FBM’s technical director Robin Cox says the results “confirm the outstanding thick intercepts of lithium mineralised claystone, highlighting the significance of the discovery at the NLP.”

“The company now has the confidence to advance towards resource drilling and early-stage metallurgical test work. This is scheduled to commence in September 2023 following the finalisation of drill permits and availability of drilling contracts,” FBM says in a statement.

The campaign, which will include both spaced RC and diamond core drilling, should enable a mineral resource estimate in Q1 2024.

Nevada has become a premier global mining district, home to several large sedimentary-hosted lithium deposits including Ioneer Resources’ Rhyolite Ridge and American Lithium’s TLC Lithium Project. Albemarle’s Silver Peak lithium mine, currently the only producing lithium mine in North America, lies around 45 kilometres to the west of the NLP.

The project, 80% owned by FBM, is targeting five key prospects – Traction, San Antone, Heller, Lone Mountain and Western Flats.

FBM had requested a trading halt ahead of the announcement. Shares resumed trading with a 4.76% gain on Friday. The company also explores for nickel in Western Australia.