Mandrake Resources has secured access to produce bulk lithium brine from a key Utah well, enabling critical technical evaluations that will underpin upcoming Scoping Studies and support development of its 3.3Mt lithium resource.
- Well Access Agreement signed with Genesis ST Operating LLC
- Up to 600 barrels of lithium brine to be extracted from Evelyn Chambers #1 well
- Electroflow Technologies and EnergySource Minerals to conduct brine testing
- US$1 million federal funding supports sampling and testing
- Utah Lithium Project holds 3.3Mt lithium carbonate equivalent inferred resource
Mandrake Secures Key Well Access for Lithium Brine Extraction
Mandrake Resources (ASX:MAN) has taken a significant step toward advancing its Utah Lithium Project by executing a Well Access Agreement with Genesis ST Operating LLC. This deal grants Mandrake the right to produce bulk lithium brines from the Evelyn Chambers #1 well, located within its 100%-owned Utah tenure.
The agreement allows Mandrake to extract up to 600 barrels (approximately 95,400 litres) of lithium-rich brine from existing perforations in the Leadville Formation. While these perforations were originally designed for oil and gas extraction, now depleted, they provide an immediate, cost-effective opportunity to sample brines without the expense of a new drill, which Mandrake estimates at around US$4 million.
Testing Partners and Federal Support Bolster Project Validation
Mandrake will supply the extracted brine to Electroflow Technologies Inc, which operates a direct lithium extraction (DLE) demonstration plant in Utah. Electroflow will conduct a comprehensive technical and commercial appraisal, assessing lithium purity, recovery rates, and processing costs. These data points are crucial inputs for Mandrake’s forthcoming Scoping Studies, which will inform project economics and development pathways.
In parallel, EnergySource Minerals (ESM), a major DLE operator involved in the US$1.3 billion ATLiS project at the Salton Sea geothermal complex, will receive brine samples for compatibility testing with their Iliad processing technology. ESM’s involvement brings additional validation from a leading industry player, potentially smoothing future commercialisation routes.
The brine sampling and testing program is partly funded by a US$1 million grant awarded by the US Department of Energy to the Paradox Basin Lithium Group, of which Mandrake is a participant. This federal backing aligns with broader US government efforts to secure domestic supplies of critical minerals and underscores the strategic importance of the Utah Lithium Project.
Project Scale and Strategic Positioning in a Pro-Mining Jurisdiction
Mandrake’s Utah Lithium Project covers over 93,000 acres and hosts an Inferred Mineral Resource Estimate of 3.3 million tonnes lithium carbonate equivalent (LCE). The resource spans multiple formations, with the Leadville Formation alone accounting for 1.6Mt LCE. This scale positions the project as one of the largest US-based lithium brine assets.
Located within Utah’s pro-mining regulatory environment, the project benefits from access to Tier 1 infrastructure including power and water. The state’s supportive stance on mining activities, combined with federal incentives, creates a conducive environment for advancing lithium development at scale.
Mandrake’s Managing Director James Allchurch emphasised the significance of the brine production capability: “Providing Electroflow’s demonstration plant with large volumes of brine will represent a huge step forward, enabling comprehensive technical and commercial evaluation that will inform our Scoping Studies.”
Bottom Line?
Mandrake’s access to bulk lithium brine and collaboration with leading DLE operators mark a critical milestone, but the true test will be the forthcoming assay results and their impact on project economics.
Questions in the middle?
- Will the lithium concentration and recovery rates from the Evelyn Chambers brine meet commercial thresholds?
- How will the upcoming Scoping Studies influence Mandrake’s development timeline and financing plans?
- Could collaboration with EnergySource Minerals open pathways to strategic partnerships or offtake agreements?