Sprott Analyst:Key Site Visit Takeaways - 20x-80x Potential "The stock is trading at US$10/t LCE in-situ pre-resource vs reserve peers at US$200-800/t (LAC, Ioneer, American Li), a gap that we think closes fast on very few drillholes"
On a significant upward trend, up over 115% in the past 6 months, Surge Battery Metals (NILI.v NILIF) has positioned itself as a stand-out opportunity in the battery metals industry with its Nevada North discovery.
Encompassing ~2,452 total hectares and 303 mineral claims, the Nevada North Lithium Project boasts significant lithium content ranging from 29.1 ppm to 5,120 ppm, including 274 samples of 508 carrying 1,000 ppm Li or greater.
From a Sprott Analyst following a site visit this week, the key takeaways from the Nevada North Project are:
1) Lithium content currently comparable to and with the potential to exceed LAC's Thacker Pass
- Thacker pass is the largest North American lithium project with 3.6Mt @ 3,160ppm P&P
- Over 300 holes have been drilled at Thacker Pass; One of the 8 holes NILI has drilled so far exceeds all of Thacker's holes by both length and grade.
- CPe 2.7-3.4Mt LCE @ 3,369ppm from the first 8 holes at Nevada North
- The first 8 sonic core holes planned at Nevada North aim to double the footprint to 3000m x 1200m of the initial scout RC which could easily double NILI's estimates towards SCPe 10Mt LCE ahead of the maiden resource in 4Q23
2) Lithium grade at Nevada North is 2-3 times higher than peers
- The grade, early metallurgy and geometry at NN make it a stand-out project with a higher grade layer exceeding 38000ppm starting from the surface for a quicker payback
3) Excellent infrastructure: Road access, powerline in close proximity, no obvious permitting red flags and detailed EA work underway
4) The Ex-Millennial Lithium Team is back together
- "CEO Greg Reimer and Chairman Graham Harris brought the ex-Millennial Lithium team back together to do it again"
- Millennial Lithium was acquired by LAC for US $490M
The analysts closed with, "The stock is trading at US$10/t LCE in-situ pre-resource vs reserve peers at US$200-800/t (LAC, Ioneer, American Li), a gap that we think closes fast on very few drillholes", further emphasizing the significance of this opportunity with the amalgamation of the above reasons hinting at a potential 20x-80x bagger.
Posted on behalf of Surge Battery Metals Inc.