IRIS Metals Drills 7,925m at Beecher, Produces 6.1% Li2O Concentrate, Raises $8M
IRIS Metals has completed key drilling programs at its South Dakota lithium projects and successfully raised $8 million, positioning itself to deliver its maiden mineral resource estimate for the Beecher Project in early 2025.
- Completed 56 diamond drill holes at Beecher Project totaling 7,925m
- High-grade lithium intercepts with up to 3.32% Li2O reported
- Produced 6.1% Li2O spodumene concentrate with over 82% lithium recovery
- Successfully converted spodumene concentrate to battery-grade lithium carbonate in US
- Raised $8 million through share placement to fund exploration and development
Drilling Success at Beecher Project
IRIS Metals (ASX: IR1) has marked significant progress in its December 2024 quarter, completing an extensive diamond drilling campaign at its flagship Beecher Project in South Dakota. The company drilled 56 diamond core holes totaling 7,925 meters, supplementing the 50 reverse circulation holes completed in 2023. These efforts have delineated substantial lithium mineralisation hosted within spodumene-bearing pegmatites, with notable intercepts including 33.2 meters at 1.23% Li2O and high-grade zones reaching up to 3.32% Li2O.
The drilling results reveal a pegmatite strike length of nearly 2,000 meters with mineralisation open at depth, underscoring the project's potential scale. IRIS is on track to deliver its maiden mineral resource estimate for Beecher in the first quarter of 2025, a critical milestone that will underpin future development plans.
Metallurgical Advances and Downstream Processing
Complementing exploration success, IRIS Metals has advanced metallurgical test work on spodumene concentrates from Beecher. The program produced a high-purity spodumene concentrate grading 6.1% Li2O with lithium recovery exceeding 82%, and iron oxide levels significantly below industry thresholds. This positions the concentrate well for downstream processing.
In a notable development, IRIS partnered with ReElement Technologies to successfully convert its spodumene concentrate into 99.5% battery-grade lithium carbonate equivalent (LCE) entirely within the United States. This achievement demonstrates a fully domestic lithium supply chain, aligning with US strategic priorities to secure critical mineral independence.
Progress at Tin Mountain and Regional Exploration
Alongside Beecher, IRIS completed a 1,122-meter diamond drilling program at the Tin Mountain Project, also in South Dakota’s Black Hills. This program targeted a historic pegmatite zone known for exceptionally high spodumene grades, with assay results expected early in 2025. The company continues to expand regional exploration efforts, including geological mapping and soil surveys, to identify further drill targets across its extensive claim holdings.
Capital Raise and Financial Position
To support its accelerated exploration and development activities, IRIS Metals secured firm commitments for an $8 million share placement at $0.25 per share. The placement attracted strong support from existing and new investors, including Nasdaq-listed Stardust Power Inc., which contributed $2.5 million with rights to invest further. At quarter-end, IRIS held $6.5 million in cash, providing a runway of over two quarters to advance its programs.
The company reported exploration and evaluation expenditure of $2.1 million for the quarter, reflecting the intensive drilling and metallurgical work underway. Administrative and staff costs remained controlled, demonstrating prudent financial management amid operational ramp-up.
Strategic Outlook
IRIS Metals is well positioned to capitalize on the growing demand for lithium in the US, benefiting from its mining licenses, strategic location near infrastructure, and alignment with government incentives for domestic critical mineral supply. The upcoming maiden resource estimate at Beecher and ongoing metallurgical advancements will be key catalysts. The company’s partnership with ReElement Technologies further enhances its pathway toward becoming a near-term lithium carbonate producer.
Bottom Line?
With a robust drilling campaign completed and $8 million raised, IRIS Metals is poised to define its maiden resource and advance toward lithium production in a strategically critical US market.
Questions in the middle?
- What will the maiden mineral resource estimate at Beecher reveal about the project's scale and grade?
- How will IRIS Metals scale up downstream lithium conversion and commercial production with ReElement?
- What exploration targets will emerge from ongoing regional surveys and how might they impact the project pipeline?
