Drilling permit approved for Bradda Head's Dragon Target

(Sharecast News) - Bradda Head Lithium announced the approval of a drilling permit for its Dragon Target at the San Domingo Pegmatite Project in Arizona on Monday. The AIM-traded firm said the permit, granted by the Bureau of Land Management (BLM), allowed for up to 37 drill sites and associated infrastructure, pending the submission of a reclamation bond.

It said the Dragon Target, which includes high-grade lithium occurrences with samples up to 0.97% lithium oxide and individual rock chip samples as high as 7.99%, remained untested.

Drilling would aim to expand on earlier campaigns and potentially increase resource estimates.

Bradda Head said it had also submitted an additional notice of intent (NOI) to the BLM for exploration at Ruby Soho and Midnight Owl targets, which would include 35 proposed drill sites.

The sites were designed to evaluate lithium-rich targets, including Ruby Soho's 330-metre pegmatite with surface samples containing up to 3.57% lithium oxide and shallow targets at Midnight Owl with channel sample results such as 8.40 metres at 1.17% lithium oxide.

Further exploration plans included new NOIs for the Jumbo and White Ridge targets, with 10 to 12 drill sites in preparation.

Notable sample results from White Ridge included five metres at 2.33% lithium oxide, and 4.1 metres at 2.81% lithium oxide, identified in previous surveys.

Metallurgical testing had started on high-grade composite core samples from the Jumbo Target.

Consulting group ABH Engineering was collaborating with Tomra in Germany to evaluate ore sorting technologies using x-ray transmittance scanning.

Results were expected in the first quarter of 2025, and would inform future resource processing strategies.

The board said the upcoming drill programme, targeting around 3,000 metres across 70 shallow reverse circulation holes, was designed for efficiency and cost-effectiveness, with contractor bids currently under review.

Bradda Head said it anticipated the drilling to provide further resource definition and support its lithium development strategy.

"The company is excited to embark on the next phase of exploration drilling at San Domingo in the first half of 2025, and is appreciative of the BLM's quick NOI permit approval on the Dragon target," said executive chair Ian Stalker.

"Bradda has developed an excellent relationship with the BLM in Arizona, as evidenced by this sixth NOI or amendment approved in the span of just four years.

"They are an exceptional team at the Hassayampa BLM District office and it is a pleasure working with them."

Stalker said that as the company's geologic team continued to develop new targets, such as Ruby Soho, it was "imperative" the team worked closely with the BLM while continuously advancing exploration on the project within the regulations to progress critical metals essential for the energy transition.

"Initiation of the metallurgical work is also exciting as we look to further unlock the potential at San Domingo by incorporating AI technology on high-grade spodumene mineralised core from the Jumbo Target.

"This work is designed to identify optimal ore sorting mechanisms through mineral identification during crushing followed by separation of minerals deemed to be sub-ore in grade.

"Overall, this process is particularly promising for our understanding of the asset and a catalyst for its development."

Several drill bids had been received, Ian Stalker added, with more being solicited from a targeted group of specialised drilling companies.

"Our objective is to identify smaller reverse circulation equipment that can fit into tighter and smaller drill sites whilst reducing drill pad size and yet drill to the required depths, advantageous for speed and cost-effectiveness.

"We are confident we can find the ideal partner and look forward to progressing the metallurgical work in parallel to the exploration drilling at San Domingo, and will provide updates in due course."

At 1314 GMT, shares in Bradda Head Lithium were up 12.5% at 1.35p.

Reporting by Josh White for Sharecast.com.