Li-FT’s first resource for Yellowknife lithium project places it third in Canada

Li-FT Power (TSXV: LIFT; US-OTC: LIFFF) has posted a first resource for its Yellowknife project in the Northwest Territories, acquired only two years ago, that ranks it as the third largest hard-rock lithium resource in Canada.

The project, located just east of Yellowknife, hosts 50.4 million inferred tonnes grading 1% lithium oxide (Li₂O) for 506,000 tonnes of Li₂O, or 1.25 million tonnes of lithium carbonate equivalent, according to the resource, released on Monday.

“With (the resource) based only on the initial drilling program, the Yellowknife lithium project already ranks among the top 10 largest spodumene projects in the Americas,” Francis MacDonald, Li-FT CEO said in a release. “The majority of the deposits included in the (resource) have not yet been constrained by the drilling completed to-date and have excellent potential to significantly grow through further drill programs.”

Li-FT has quickly advanced the project, which comprises seven targets located along the all-season Ingraham Trail highway. However, the resource comes as lithium prices have dropped 88% over the past two years). Battery-grade lithium hydroxide has fallen to US$9,950 per tonne on Tuesday from US$22,275 a year ago and around US$85,000 a tonne in late 2022, according to The Wall St. Journal.

‘30M additional tonnes’

SCP Equity Research analyst Brandon Gaspar said in a note on Monday that Li-FT’s 50.4 million-tonne estimate compares well with Winsome Resources’ (ASX: WR1) initial 66-million tonne resource for Adina. Another 20 to 30 million tonnes could be added to the resource when drilling resumes, for a long-term target of 80 million tonnes, he added.