By: Creamer media

The company, together with joint venture (JV) partner Rio Tinto Mining and Exploration, has so far completed diamond drilling across two targets,HCK-1 and HCK-2, with a total 1 180 m having been drilled from four holes.

These two targets form part of 12 defined prospect areas on HCK.

A notable assay result from the initial drilling campaign includes 6.9 m of lithium oxide grading 2.11% from 174 m, with a higher-grade interval of 3.4 m of lithium oxide grading 3.2% from 174 m to 178 m down-hole.

Meanwhile, Rio Tinto announced that it would exercise its Stage 2 earn-in right under the JV agreement, which will result in Rio Tinto owning 51% of the HCK licence.

Rio Tinto may earn a further 24% and up to 75% by completing exploration worth $7.5-million on the project over three years.

Rio Tinto has spent $4.7-million on the project since August 2023.

Aterian CEO Simon Rollason says the company is pleased with the initial drill results and Rio Tinto’s exercising of its Stage 1 earn-in right.

The drilling has confirmed the presence of spodumene-bearing lithium pegmatite at HCK albeit at variable widths.

He adds that there is potential to identify less weathered areas where additional spodumene-bearing pegmatites may occur.

“While further work is required to fully assess the project’s scale and continuity, these early indications provide a strong foundation to build on as we advance exploration activity.

“This drill phase was considered scout or reconnaissance in its level of detail, testing only a limited strike length,” Rollason explains.

Aterian will receive a cash payment of $100 000 from Rio Tinto at the start of Stage 2 drilling, which is expected to be announced by the end of the year.