Fulcrum Lithium Raises $9.7M, Advances Alkali Flats Drilling in Nevada

Corporate Milestone: IPO and ASX Listing

Fulcrum Lithium Ltd marked a pivotal moment in its corporate history with its successful initial public offering (IPO), raising a total of $9.7 million, well above the initial target of $6 million. This capital injection, bolstered by oversubscriptions, has positioned the company with a robust financial foundation to advance its lithium exploration ambitions. The company’s shares were officially listed and commenced trading on the ASX on 22 November 2024, signaling its transition from a private entity to a publicly accountable exploration company.

Operational Progress: Drilling at Alkali Flats

Operationally, Fulcrum has made tangible progress at its flagship Alkali Flats lithium project in Nevada, USA. The company commenced Phase 1 reverse circulation (RC) drilling during the December quarter, completing eight of the planned fourteen holes for a total of approximately 1,295.5 metres. These drill holes are strategically spaced on an 800-metre grid to test the Siebert Formation, a claystone host known for lithium mineralisation. Initial surface sampling at Alkali Flats has revealed promising lithium concentrations, with values up to 797 ppm Li, underscoring the potential of the project.

The drilling program aims not only to confirm lithium presence at depth but also to map the thickness of the Quaternary cover, which will inform subsequent exploration phases. The company has already initiated permitting for Phase 2 drilling, expected to commence early in 2025, focusing on areas immediately west of the current drill sites.

Strategic Leadership and Financial Health

In a move to strengthen its operational leadership, Fulcrum appointed Scott Keenan as Chief Operating Officer during the quarter. Keenan’s expertise is expected to drive the company’s exploration programs efficiently as it advances its projects.

Financially, Fulcrum ended the quarter with $7.76 million in cash and cash equivalents, reflecting prudent management of funds post-IPO. The company reported total expenditure of $1.97 million during the quarter, including $731,000 in offer expenses and a $1 million loan repayment. Exploration and evaluation costs were modest at $117,000, consistent with the early-stage nature of the drilling program.

Project Portfolio and Exploration Outlook

Fulcrum’s lithium assets comprise three 100% owned projects, Alkali Flats, Fairway, and Summit, covering approximately 230 square kilometres of federal public lands in Esmeralda County, Nevada. The Alkali Flats project, with 2,276 lode claims, is the current focus of exploration activities. The Fairway and Summit projects remain on hold for fieldwork, awaiting further strategic planning.

The geological setting of these projects is favourable for claystone-hosted lithium deposits, sharing characteristics with other advanced lithium projects in the Tonopah district. Fulcrum’s exploration strategy leverages the US Geological Survey’s lithium depositional model, targeting lithium enrichment through alteration of volcanic glass and lacustrine precipitation within closed basins exhibiting geothermal activity.

Pending Assay Results and Next Steps

While drilling has been completed for over half of the Phase 1 program, assay results from the drill cuttings are still pending. These results will be critical in assessing the lithium grades and guiding the next phase of drilling. The company’s transparent reporting and adherence to JORC Code standards provide confidence in the quality and reliability of forthcoming data.

Looking ahead, the completion of the remaining six drill holes in Phase 1 and the initiation of Phase 2 drilling will be key milestones. Investors and analysts will be watching closely for assay outcomes and any indications of resource potential that could elevate Fulcrum’s standing in the competitive lithium exploration sector.