Five Large Core Holes Drilled at McDermitt as Jindalee Targets Enhanced Lithium Recovery
Jindalee Lithium has initiated a significant core drilling program at its McDermitt Lithium Project in the US, aiming to enhance lithium recovery and explore valuable magnesium by-products. Results are anticipated in early 2026, marking a pivotal step in advancing this major lithium resource.
- Large diameter core drilling commenced at McDermitt Project
- First drilling since February 2023 Mineral Resource Estimate
- Five PQ core holes to support metallurgical testwork
- Focus on optimizing lithium recovery and magnesium by-product potential
- Assay results expected early Q1 2026
Restarting Drilling After a Strategic Pause
Jindalee Lithium Limited has officially resumed drilling activities at its wholly owned McDermitt Lithium Project, located in the United States. This marks the first drilling campaign since the company announced an updated Mineral Resource Estimate in February 2023. The McDermitt deposit is recognised as one of the largest lithium resources in the US and holds global significance in the critical minerals sector.
A Focused Program to Unlock Greater Value
The current drilling program involves five large diameter PQ core holes, each 8.5cm in diameter. These cores will provide essential samples for metallurgical testwork aimed at improving lithium recovery rates. Additionally, the program seeks to explore the potential for extracting magnesium as a valuable by-product, a strategy that could materially enhance the project's economics. This initiative follows Jindalee’s recent value optimisation program announced in late 2025.
Supporting Data for Project Advancement
Beyond metallurgical samples, the drilling will yield critical geological and hydrological data, enriching the understanding of the deposit’s characteristics. These insights are expected to support further development and refinement of the McDermitt Project’s feasibility. Assay results, including lithium and magnesium concentrations, are anticipated in early Q1 2026, which will be closely watched by investors and industry observers alike.
Strategic Importance and Market Positioning
Jindalee’s Managing Director and CEO, Ian Rodger, emphasised the significance of this drilling phase, highlighting its role in enhancing lithium recoveries and investigating magnesium by-products. The company is strategically positioned to support the US’s energy security and critical minerals supply, with strong engagement from government agencies such as the Department of Energy and Department of Defense. This positions McDermitt as a key asset in the evolving global lithium market.
Looking Ahead
With the Pre-Feasibility Study completed in November 2024 confirming the project’s scale and low-cost production potential, this drilling program represents a crucial next step. The outcomes will likely influence Jindalee’s development strategy and investment appeal as the lithium market anticipates its next upcycle.
Bottom Line?
The upcoming assay results will be critical in defining McDermitt’s future role in the lithium and magnesium markets.
Questions in the middle?
- Will the metallurgical testwork confirm improved lithium recovery rates?
- How significant could magnesium by-products be to the project’s overall economics?
- What impact will the new geological and hydrological data have on project timelines and costs?
