Key points
- The Anson Resources share price soared 9% to trade at 18 cents earlier today
- It took off after the company announced it's started a major exploration program at its flagship Paradox Lithium Project
- The program could see the company upgrading the resource estimate in the current half
The Anson Resources Ltd (ASX: ASN) share price is soaring today after the company announced it's started a major program to increase the Paradox Lithium Project's resource estimate.
The company expects the resource expansion sampling program will lead it to upgrade the project's estimates in the first half of 2022.
At the time of writing, the Anson Resources share price has slipped from its intraday high to trade at 17.5 cents. That's a 6.06% gain on its previous closing price.
Let's take a closer look at today's news from the explorer and developer of resources for the energy transition.
What's driving the Anson share price on Monday?
The Anson Resources share price is surging after the company announced it's started work on increasing the Paradox Project's JORC estimates and adding new claims nearby the project.
Paradox is a lithium brine project located in Utah. It covers a total area of 95 square kilometres.
The first target of the company's new exploration program is the Long Canyon No 2 well. It plans to re-enter the Long Canyon No 2 well to test lithium, bromine, boron, and iodine grades.
The project's highest lithium value to date – 253 parts per million – was recorded in this well.
Additionally, the company has confirmed a new exploration target for the Mississippian units – said to contain a super-saturated brine – surrounding the well.
The units are between 100 metres and 250 metres thick. They are said to be made up of between 445 megatons and 1,000 megatons of brine with a grading of 70 to 100 parts per million of lithium and 2,000 to 3,000 parts per million of bromine.
The new target makes up part of the project-wide exploration target of 1,300 megatons to 1,800 megatons grading between 80 and 140 parts per million of lithium and 2,000 to 3,000 parts per million of bromine.
However, the new target is still conceptual and might not result in a mineral resource. It's based on data from previous oil and gas drilling programs.
Right now, the Anson Resources share price is 29% higher than it was at the end of 2021. It has also gained 65% in the last month.
