In its Sept. 6 press release, Nemaska Lithium Inc. (NMX:TSX; NMKEF:OTCQX) announced it had expanded its drill program "from 44 drill holes over 13,700 m to 50 holes over 17,000 m after [encountering] a new lithium bearing zone in the southwestern end of the planned pit area." The new mineralized zone has been dubbed Doris.
In a Sept. 6 research report, David Talbot of Dundee Capital Markets wrote, "With this new discovery a bonus, Nemaska appears to be well on its way to achieving its three drilling objectives for this fall: 1) upgrade 4.79 MM t of in-pit inferred resources; 2) increase resource confidence between surface and 200m vertical depth; and 3) confirm continuity and potentially extend mineralization down to 500m vertical depth."
Addressing his assertion that Doris could improve the economics of Nemaska's project, Talbot wrote, "New shallow lithium mineralization potentially could positively impact the existing Feasibility Study (assays pending)."
In addition, the Doris Zone's proximity to the existing Whabouchi pit means "it may be close enough to consider incorporating into early open pit production schedules," according to Talbot.
In addition, the company stated that, thus far, the drill program at Whabouchi has "generally encountered mineralization where expected, further increasing the confidence in the existing block model, which has fundamentally held intact since its initial inception."
Talbot reiterated Dundee's Buy rating for Nemaska, with price target of CA$2.30.
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