How Will Anson’s Green River Lithium Project Benefit from Historic Well Re-entry?
Anson Resources has gained approval from the US Bureau of Land Management to re-enter a historic well at its Green River Lithium Project, advancing its efforts to define a JORC Mineral Resource. This milestone underscores the project's potential and positions Anson closer to securing critical financing.
- BLM approves re-entry of Mt Fuel-Skyline Geyser 1-25 well
- Drilling to complement Bosydaba#1 results for JORC resource estimation
- Historical data shows high porosity, permeability, and reservoir pressure
- Minimal environmental impact due to existing infrastructure
- Final financing approval pending from US Export-Import Bank
Strategic Approval Advances Green River Lithium Project
Anson Resources Limited (ASX: ASN) has received a significant regulatory green light from the US Department of Interior’s Bureau of Land Management (BLM) to re-enter the Mt Fuel-Skyline Geyser 1-25 well at its Green River Lithium Project in Utah. This approval marks a critical step forward in Anson’s strategy to establish a JORC-compliant lithium mineral resource, leveraging historical oil and gas well infrastructure to expedite exploration.
Leveraging Historical Data to Unlock Lithium Potential
The Mt Fuel-Skyline Geyser well, originally drilled in 1973 for oil exploration, intersected supersaturated brines with salt concentrations comparable to those found in Anson’s recently drilled Bosydaba#1 well. While lithium assays have not yet been conducted on the Mt Fuel well brines, the similarity in magnesium, potassium, calcium, sodium, and chloride levels suggests promising lithium content. The project targets porous and permeable Mississippian dolomite reservoirs, known for their high pressures and excellent flow characteristics, which are essential for sustainable brine extraction.
Environmental and Operational Advantages
One of the project’s notable strengths is its minimal environmental footprint. The existing drill pad and access roads require only minor rehabilitation, avoiding new ground disturbance. This aligns with Anson’s commitment to sustainable development and reflects strong cooperation with state and federal authorities. The Ten Mile Graben geological structure is anticipated to act as a natural trap, concentrating lithium-rich brines and enhancing resource potential.
Pathway to Financing and Development
Executive Chairman and CEO Bruce Richardson highlighted the swift BLM approval as a testament to the project's importance amid the US push for critical mineral self-reliance. With no other federal permits pending except the final financing approval from the Export-Import Bank of the United States (EXIM), Anson is poised to submit its Definitive Feasibility Study and JORC Resource estimate based on upcoming drilling results. This positions the Green River project favorably within the evolving US policy landscape supporting domestic lithium production.
Looking Ahead
The re-entry drilling program will focus on sampling multiple geological horizons, including the Leadville Limestone and several clastic units, to better understand brine chemistry and reservoir characteristics. Success here could unlock a significant domestic lithium supply source, critical for electric vehicle batteries and renewable energy storage. Anson’s strategic shift to private land holdings and brownfield sites has accelerated project development, contrasting with delays experienced at its Paradox Lithium Project.
Bottom Line?
With regulatory hurdles clearing, Anson’s Green River project is set to move from exploration to resource definition, spotlighting its role in the US critical minerals landscape.
Questions in the middle?
- Will lithium assays from the Mt Fuel-Skyline Geyser well confirm the inferred resource potential?
- How soon can Anson complete its Definitive Feasibility Study and secure EXIM financing?
- What impact will evolving US critical minerals policies have on project timelines and economics?
