Rio Tinto Begins Drilling at Everest Lithium Project

Australia: Rio Tinto Exploration has begun a seven-hole reverse-circulation (RC) drilling program at the northernmost tenement of Everest Metals' Rover project in Western Australia's goldfields. The program aims to target potential pegmatite-hosted Lithium mineralisation beneath weathered pegmatite outcrop. The upcoming drilling program entails seven RC drill holes, with a total span of 1400m and an anticipated depth of up to 200m per hole. The project is estimated to require approximately ten days for completion and will entail drilling in both vertical and inclined directions to target the sub-cropping pegmatite more effectively.

The non-gold mineral rights of Everest Metals' Rover project, which includes potential Lithium and tantalum mineralisation at one of its three tenements, are under an 80-20 joint venture agreement between Rio Tinto Exploration and Everest. Rio Tinto Exploration secured the deal by entering an earn-in option agreement with Everest, formerly known as Twenty Seven Co., in March last year. The agreement allowed the subsidiary to earn an 80% interest in the non-gold minerals at the tenement by investing $5 million in non-gold exploration activities at the site. Rio Tinto Exploration exercised its option in October 2020 after completing the initial exploration program and started earning its share by solely funding the $5 million non-gold exploration.

In December 2021, Everest completed a 31-hole RC drill program at the Rover gold project and discovered a 4m envelope of massive sulphides, suggesting significant Lithium potential. Rio Tinto Exploration later reviewed historical data and field mapping, identifying highly promising weathered pegmatites for Lithium and tantalum mineralisation. During the initial six-month option period, geochemical sampling revealed a weathered pegmatite unit that may be prospective for spodumene and tantalum mineralisation, prompting Rio Tinto Exploration to prioritize the area for drill-testing. In addition to searching for non-gold minerals across the tenement, Rio Tinto Exploration is also exploring the extensive gold mineralisation present, with Everest retaining the rights to it.

Rio Tinto, a leading global mining group dipped its toes in Canadian Lithium projects to pursue EV metals, and its stock price has been fluctuating recently. Additionally, Rio Tinto Exploration has identified promising weathered pegmatites for Lithium and tantalum mineralisation at the Rover gold project. Rio Tinto has faced significant criticism from environmental groups and the Norwegian government regarding the negative impact of its mining activities on the environment. This criticism is related to issues such as erosion, loss of biodiversity, soil and water contamination, and carbon emissions contributing to air pollution and climate change. One example is the Grasberg mine in Indonesia, where severe environmental damage claims led the Government Pension Fund of Norway to exclude Rio Tinto from its investment portfolio.