Jindalee Lithium Secures Final Permits for McDermitt Drilling Program
Jindalee Lithium's US arm has cleared the last regulatory hurdle to begin a critical Phase 1 drilling program at the McDermitt Lithium Project, aiming to upgrade resource confidence and provide key data for project feasibility.
- Final Oregon state permit granted for McDermitt Phase 1 drilling
- Up to 100 drill sites planned, focusing on infill and environmental data
- Drilling start contingent on easing wildfire risks and fire waiver
- First assay results expected in December 2026 quarter
- Program supports upcoming Feasibility Study and metallurgical testwork
Final Regulatory Approval Clears Path for McDermitt Drilling
Jindalee Lithium Limited (ASX:JLL) has reached a pivotal milestone for its McDermitt Lithium Project in Oregon, with its US subsidiary HiTech Minerals securing the crucial state-level permit from the Oregon Department of Geology and Mineral Industries (DOGAMI) to commence Phase 1 of its exploratory drilling. This approval complements the earlier federal Exploration Plan of Operations (EPO) permit granted by the US Bureau of Land Management, positioning the project to kick off a major drilling campaign as soon as wildfire conditions permit.
Phase 1 Drilling Program Details and Objectives
The initial phase will encompass up to 100 drill sites focused on high-priority infill drilling within the central deposit area outlined in the 2024 Pre-Feasibility Study. The drilling will deploy a combination of reverse circulation and core techniques to upgrade the resource classification from Indicated and Inferred categories, while also gathering fresh samples for metallurgical testwork aimed at optimising processing efficiency. Environmental and geotechnical data collection, including hydrogeological studies, forms a critical component to underpin detailed project planning and feasibility assessments.
Operational Readiness and Wildfire Risk Management
HiTech Minerals has contracted Forged Drilling Corp. to execute the program, with mobilisation and site preparations already underway. However, the commencement is subject to the easing of Oregon’s unprecedented wildfire season, which has scorched over 2 million acres to date. The company has developed comprehensive risk management strategies, including deploying water trucks for dust suppression and emergency fire control, and awaits a fire waiver to proceed safely.
Implications for Project Development and Investor Interest
Managing Director Ian Rodger emphasised the strategic importance of this drilling phase, noting it will provide critical data to support the McDermitt Feasibility Study, enhance resource confidence, and supply essential samples for advancing metallurgical testwork. The McDermitt Project, one of the largest lithium resources in the US, is central to Jindalee’s positioning in the critical minerals sector, especially amid growing domestic demand for lithium to support energy security and electric vehicle supply chains.
First assay results from Phase 1 drilling are anticipated in the December quarter of 2026, offering a key catalyst for market participants to reassess McDermitt’s resource quality and project viability. The drilling program also dovetails with Jindalee’s broader US strategy, including its planned NASDAQ listing via US Elemental and recent capital raises to fund development activities.
Bottom Line?
The start of McDermitt’s Phase 1 drilling marks a tangible step forward but hinges on wildfire conditions, making the next few months critical for Jindalee’s project timeline and resource confidence upgrades.
Questions in the middle?
- How will ongoing wildfire risks in Oregon affect the drilling schedule and costs?
- What impact might Phase 1 drilling results have on Jindalee’s resource estimates and project valuation?
- How will metallurgical testwork from new samples influence processing strategies and project economics?
