YOUANMI LEPIDOLITE PROJECT

The Youanmi property comprises one exploration licence, E57/983, covering 98 km2 of Archaean greenstone terrain in the Murchison Province of Western Australia, approximately 560 km northeast of Perth. Lepidico is earning an 80% interest in the lithium rights over the tenement from holder Venus Metals Corporation Limited (ASX:VMC). Venus is free carried through to a decision to mine.

The Youanmi region is known to contain a belt of lepidolite-bearing pegmatites within which lepidolite is often the only, or dominant, lithium mineral species. E57/983 encompasses 4 km of strike of this belt, which is unexplored specifically for lepidolite.

Reconnaissance mapping by Lepidico in mid-2018 identified three initial areas of lepidolite-bearing pegmatites with lepidolite content in rock chips ranging from 5% to 35% and commensurate Li2O contents of 0.25% to 1.71%. Subsequently, Lepidico undertook an initial reverse circulation drilling program over the three targets completing 38 holes for a total of 936 metres of drilling.

Geological logging shows that lepidolite-bearing pegmatites were intersected at each target, with a thickest intercept of 9m with an estimated 20% lepidolite at Target 2. The Central Zone contains a complex cluster of over ten pegmatites ranging from 1m to 7m in width and averaging around 2 m in true thickness. Average grades over mineralised intercepts range from around 0.4% Li2O to 0.7% Li2O and often exceed 1.0% Li2O. At the Northern Zone, the results show the main “Target 1” pegmatite continues as a 3 m to 5 m thick body to at least 50m depth in places.

Best results stemmed from the Target 1 area, which hosts a 4m to 5m thick pegmatite, dipping 45o to the north and extending for over 250m along strike and at least 40m down dip. This pegmatite averages 15% to 20% lepidolite and remains open in all directions. Further work is planned in fiscal year 2019.