Anson Resources Boosts Green River Lithium Resource by 650% and Secures POSCO Plant Deal
Anson Resources has dramatically expanded its Green River Lithium Project resource and confirmed robust project economics, while sealing a key agreement with POSCO for a demonstration plant funded by the Korean industrial giant.
- Green River Lithium JORC resource upgraded 650% to 773,000 t LCE
- Scoping study confirms low operating costs and strong financial metrics
- Binding agreement signed with POSCO for demonstration plant with A$7.2 million fee
- Yellow Cat uranium-vanadium drilling program completed
- Corporate cost savings forecast to reduce FY27 expenses by over 21%
Green River Lithium Resource Surges and Economics Impress
Anson Resources (ASX:ASN) delivered a seismic upgrade to its Green River Lithium Project in Utah, with its JORC Mineral Resource soaring 650% to 773,000 tonnes lithium carbonate equivalent (LCE). The upgrade lifts the indicated resource by 863% to 183,000 tonnes and inferred by 602% to 590,000 tonnes, underpinning the project’s growing stature in the global lithium landscape.
The accompanying scoping study, crafted by Burns & McDonnell, paints a compelling economic picture. It estimates a first-quartile C1 operating cost of US$3,837 per tonne LCE, an upfront capital requirement of US$569 million, and a pre-tax net present value (NPV) of US$1.37 billion with an internal rate of return (IRR) of 27.5% over a 20-year, 10,000 tonnes per annum operation. These metrics place Green River well ahead of comparable US direct lithium extraction (DLE) projects, with capital intensity notably lower than peers such as Standard Lithium and Lithium Americas.
POSCO Partnership Validates Project Potential
Resource Quality and Permitting Progress
Supporting data reinforce resource confidence. Historical diamond core samples revealed effective porosity 46% higher than previously assumed, while brine samples showed lithium grades consistent with the scoping study’s assumptions. Permitting milestones advanced with the approval of the Small Mining Operations Notice of Intent for the planned 10,000 tpa plant, the final major government approval ahead of construction. The project benefits from existing infrastructure and a brownfield site classification, reducing development hurdles.
Yellow Cat Uranium-Vanadium Drilling Completed
Elsewhere in Utah, Anson’s Yellow Cat Uranium–Vanadium Project saw completion of a 23-hole air-core drilling program targeting mineralisation continuity along a 2.5-kilometre strike. Initial field readings confirmed uranium and vanadium presence, with samples now undergoing detailed assay for uranium, vanadium, gallium, and rare earth elements. This drilling program lays groundwork for resource upgrades and further exploration planning.
Corporate Discipline and Cash Position Strengthen
On the corporate front, Anson is aggressively trimming costs to extend its runway amid development activities. The company has achieved a near 30% reduction in director and employee expenses over two years and forecasts a further 21.7% cut in corporate and administrative costs for FY27, including a 20% cut in executive remuneration approved by the board. These measures, combined with the POSCO payment received post-quarter, have bolstered cash reserves to nearly A$8 million.
Exploration expenditure remains focused on the Paradox Basin projects, with A$3.6 million spent this quarter. The company continues to progress its Definitive Feasibility Study (DFS) for Green River, aiming for a Final Investment Decision as it moves closer to commercialisation.
Western Australia Projects Remain at Exploration Stage
In Western Australia, Anson’s Ajana, Bull, and Hooley Well projects remain in exploration or planning phases, with no field work reported this quarter. The Ajana Project hosts historic zinc, lead, and silver mineralisation, while Bull and Hooley Well target nickel-cobalt and nickel-copper-PGE deposits, respectively. Anson awaits approvals for additional tenements and heritage surveys to advance these assets.
Bottom Line?
Anson’s massive resource upgrade and POSCO partnership mark a pivotal step, but the path to production hinges on DFS outcomes and securing substantial project funding.
Questions in the middle?
- Will Anson successfully convert its large inferred resource into higher-confidence indicated or measured categories in upcoming studies?
- How will POSCO’s demonstration plant performance influence Anson’s financing and development timeline for Green River?
- What impact will ongoing cost reductions have on Anson’s ability to sustain operations through the DFS and FID phases?
