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European Metals Holdings (LON: EMH) shares are edging higher Wednesday after it announced final drill results and an upgraded mineral resource estimate for the lithium and tin resources in the Cinovec Lithium-Tin deposit in the Czech Republic.
The total measured, indicated and inferred resources have increased by 12.3 million tons (MT) to 708.2MT at 0.43% lithium oxide. In addition, 53.3MT was re-classified into the measured resource category grading 0.47% lithium oxide.
Therefore, the measured and indicated resource has increased from 372.4 to 413.4 MT at 0.47% lithium oxide and 0.05% tin.
In addition, the company received the results from the final 10 diamond core holes in the Geomet s.r.o. drilling program, which included 101.7m at an average 0.59% lithium oxide, including 11.35m at 0.85% lithium oxide and 61m at 0.66% lithium oxide and 0.17% tin.
European Metals Executive Chairman Keith Coughlan said, “The primary stated aim of this drilling program was to convert a larger portion of the resource to the measured category to provide greater certainty of the financial model and security to financiers.
“The results clearly indicate that the program has been successful and the robustness and consistency of the Cinovec resource further demonstrated. As we move closer to ultimate financing and offtake discussions, this higher degree of certainty provides more funding options for the project. Results from the final drill holes of the program have been in line with or better than expected.”
European Metals Holding, which owns 49% of the Cinovec project, has seen its shares gain 2.65% on the news, priced at 69.8p.
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