TG Metals Reports Maiden Lithium Resource of 6.7Mt at 1.18% Li2O

Maiden Resource Anchors Lake Johnston Lithium Ambitions

TG Metals Limited (ASX:TG6) has announced a maiden Mineral Resource Estimate (MRE) for its Burmeister spodumene lithium deposit at the Lake Johnston Project in Western Australia, marking a significant milestone for the company’s lithium ambitions. The inferred resource stands at 6.7 million tonnes grading 1.18% lithium oxide (Li2O), targeting the lucrative Direct Shipping Ore (DSO) market.

This initial resource is notable for its high grade relative to comparable Western Australian lithium deposits, positioning Burmeister well within current DSO specifications. The deposit’s spodumene-dominant mineralogy, low strip ratio, and minimal deleterious elements further enhance its appeal as a low-capex startup opportunity. TG Metals is advancing workstreams including a mining lease application and water exploration to underpin development plans.

Significant Exploration Upside with Defined Target

Beyond the maiden resource, TG Metals has outlined an exploration target ranging from 11 million to 14.5 million tonnes at grades between 0.9% and 1.2% Li2O. This target covers pegmatite domains not yet classified as inferred resources due to insufficient drill density, underscoring substantial upside potential. The company plans resource definition drilling in the September quarter of 2026 to convert this target into a formal resource.

The Lake Johnston Project’s strategic location near three operating lithium mines and the Esperance Port offers logistical advantages. Additionally, the nearby Jaegermeister lithium deposit discovery hints at further regional resource growth possibilities.

Metallurgical Testwork Supports DSO Strategy

Metallurgical testing has confirmed the potential to produce a ~1.5% Li2O spodumene concentrate through simple ore sorting methods, supporting the DSO approach. Initial flotation and heavy liquid separation testwork indicate lithium recoveries between 75.5% and 80.2%, with concentrate grades complementing previous testwork results.

TG Metals envisages a low-complexity processing route, which could accelerate time to market and reduce capital requirements. The company is preparing to supply drill core samples from upcoming programs to potential offtake partners for evaluation, signalling early commercial engagement.

Development Pathway and Next Steps

With the mining lease application for Burmeister progressing, TG Metals plans to recommence drilling in Q3 2026, aiming to increase resource confidence and generate DSO samples for potential customers. Concurrently, the company will undertake flora, fauna, and Aboriginal heritage surveys along access routes to facilitate future operations.

DSO studies will evaluate the viability of an open pit operation, including haulage logistics and crushing requirements. The deposit’s robust conceptual pit shells suggest potential for further depth extensions accessible by open pit mining, guiding future drilling and mining studies.

Positioning Amidst Lithium Market Dynamics

TG Metals’ maiden resource announcement follows a recent capital raise aimed at advancing its lithium and gold projects, reflecting investor confidence in its growth strategy. The company’s focus on a DSO pathway aligns with a resurging market interest in low-capex lithium projects amid evolving global supply chain pressures.

While the resource is currently classified as inferred with wide drill spacing in some areas, the defined exploration target and upcoming drilling programs indicate a clear pathway to resource expansion and upgrading. The market will be watching how these developments unfold and whether Burmeister can join the ranks of Western Australia’s lithium producers.