Anson Resources Limited announce that it has staked a significant, new lithium brine project, the Green River Lithium Project, in the Paradox Basin in Utah, USA. The Project comprises a total of 1,251 placer claims over a total area of 10,620 hectares (106.2 km2) is located just 50 kilometres northwest of the Company's Paradox Lithium Project (Paradox), in similar geology as the Paradox Project. The Project represents a strategic addition to Anson's North American lithium asset portfolio, and hosts geological, metallurgical and structural similarities with Paradox. The Company plans to leverage its knowledge-base and learnings in the region to fast-track exploration and Mineral Resource delineation, and then development and production at the Project. Subject to exploration successes, the Project is expected to further increase Anson's "global" JORC Resource in the USA and support future increases in lithium production and other minerals from the Company's proposed lithium producing operation. The Project already has major infrastructure in place, including proximity to major road and rail networks, and power. The Project is located close to Paradox, providing access to water requirements. Anson plans to adopt a similar exploration strategy at the Project as it successfully utilised at Paradox; to re-enter existing oil wells to define lithium brine resources. It is currently carrying out environmental, archaeological and land surveys for a Notice of Intent (NOI) to re-enter three oil wells in the new project area for submission to the USA, Department of Interior Bureau of Land Management (BLM). Due to previous drilling, the pad locations are already level and will require very little earthworks to re-establish the drill pad area. Green River Lithium Project Background: The Project is located at Green River in eastern Utah. It has been staked by Anson's 100%-owned subsidiary, Blackstone Minerals LLC. Similar to the nearby Paradox, the Project area overlay many historically plugged and abandoned oil and gas wells, which can be re-entered at a much lower cost than drilling new holes. Many of these wells have been drilled into the thick Mississippian units. Drilling has shown that the geology and geological structures of the area is similar to that of Paradox. Brines have been recorded in the Mississippian units and numerous Paradox clastic zones, including Clastic Zone 31. Historical Drill Stem Tests (DST) carried out in wells in the Green Valley area have recorded pressure of up to 4,700psi ­ similar to the pressures in the Paradox area. In some cases, brine has flowed up the tubing which indicates that the Project rock units have a high porosity. In addition, the historical geophysical logs from the oil and gas wells in the Project area are useful
in characterising the brine aquifer formations. Of particular interest is the lithology of the brine aquifer, as well as formation thickness. Most of the clastic intervals within the Project area are a mix of anhydrite, shale, and dolomitic siltstone, similar to the Paradox area. The limestones and dolomites in south-eastern Utah are noted for vuggy and intracrystalline porosity. It has been noted in some of the well files that drilling tools have dropped in apparent cavernous porosity zones resulting in a loss of circulation in the Leadville Formation, Mississippian Unit. It is expected that the Project area may be similar, which provides another indication of high porosity zones. The Project area is suitable for both the extraction of brine and disposal of waste brine into a desirable shallower formation, which has high porosity and lower pressure. There is some variation in thickness of the clastic zones at the Project compared to Paradox. The Mississippian unit remains at approximately 300+ feet and its actual thickness has not been recorded as drilling though this unit has not been completed during previous drilling programs. It can be seen from the thicknesses of the Mississippian units that it is very large reservoir and combined with the Clastic Zone horizons it is anticipated that it will result in a significant Exploration Target which may be readily converted to a JORC Resource by completing a small exploration program. This body of work will be a key focus for Anson at Project. Next Steps: Anson is in the process of extending its 3D model for the region to include the entire Project area. The modelling was carried out with ARANZ Leapfrog Geo modelling software and currently only covers the southern area of the project area. The model will provide an estimate of the potentially drainable brine within the project area. It is a static model and takes no account of pumping other than by the application of effective porosity. In the model, it can be seen the Leadville Limestone (grey) is a massive aquifer compared to that of Clastic Zone 31 (blue). This figure also shows the drill traces of the historic wells that can be used in future calculations of both an Exploration Target and a JORC Mineral Resource. On completion of environmental, archaeological and land surveys, a NOI to re-enter the targeted oil wells at Project will be submitted to the BLM. Once all approvals are received, the Company plans to commence its Resource delineation drilling and sampling program at the Project. Further details will be advised to the marker in due course. Infrastructure & Utilities: The Project area already has major infrastructure in place, see Figure 3. The project abuts the I70 Interstate which provides easy access to major cities within the USA. The numerous historic drillholes that may be re-entered for sampling can be accessed by graded county roads that connect with the I70. In addition, there is an operating rail system that runs parallel to the northern end of the project claims. This can be used to bring in required equipment both during construction and processing as well as to ship out the lithium product. High voltage transmission lines, both 345 and 138kV, pass through the project which may be used as a power source for possible future processing plants. A 6-inch gas pipeline is being extended to the town of Green River which may be used as an additional power source for the Project. Water from the Green River, which is located in close proximity, may also be used for a potential future production plant. The sub-lease agreement for the supply of water for production at Paradox recently announced allows for diversion from both the Colorado and Green Rivers.