Anson Resources Limited (ASX: ASN, ASNOC) (Anson or the Company) is pleased to announce that its current drilling program at the Company’s Paradox Lithium Project (the Project) in Utah, USA, has delivered major increases in flow rates, of up to 165%.

Highlights:

• Anson has delivered a major increase in flow rates in its Resource expansion drilling campaign at the Paradox Lithium Project in Utah, USA
• Artesian flow of supersaturated brine has increased by;
  • 165% at Long Canyon No. 2 - flow rate of 180 bbl/h; and
  • 147% at Cane Creek 32-1 - flow rate of 66 bbl/h
• The major increase in flow rates relative to Anson's original sampling programs is a result of improved connectivity between the wells and reservoir
  
• The increased flow rates indicate high pressures, porosity, and permeability providing the potential to deliver substantial improvements to project economics;
  • Extraction via artesian flow without the need for pumping; and
  • Potentially extend life of proposed Project

Similarly, an increase in flow rate of 165% was delivered from Anson’s recently completed drilling at the Long Canyon No. 2 well.

These results indicate that salts that have previously precipitated are breaking down over time due to the influx of brine – as a result of the positive attributes of high pressure, porosity, and permeability at the Paradox Project area.

A key positive outcome of the significantly improved flow rates is that it is anticipated they will push the brine to surface without the need for pumping. This would in turn deliver substantial benefits to the economics of extraction and the longevity of Anson’s proposed lithium producing operation at Paradox.

Figure 1: Supersaturated brine free flowing direct from the Cane Creek 32-1 well up the tubing.

The flow rates from the Clastic 31 horizon at both the Long Canyon Unit 2 and Cane Creek 32-1 wells re-entered in the current drilling program to sample the Mississippian units, have increased markedly since the original sampling program completed in 2018 and 2019 (see ASX Announcements, 27 June 2018 and 6 May 2019). The updated data is shown in Table 1.

Table 1: The upgraded flow rates at Long Canyon Unit 2 and Cane Creek 32-1 wells (*Skyline not re-entered).

The higher flow rate from Long Canyon No. 2 is due to the “Robert’s Rupture” geological feature, which has resulted in higher pressure and vertical porosity. Anson has located its two extractions well pads - Long Canyon West 1 (LCW1) and Long Canyon West 2 (LCW2) - in the immediate vicinity of Long Canyon No.2 and Robert’s Rupture to take advantage of this unique geological structure.

The flow rate of the well is affected by the condition and the degree of connectivity between the well and the brine reservoir. Salt precipitation in the clastic can result in poor connection, which was consistent with the flow rates measured during the original drilling program.

It is now considered that the brine flow generated in Anson’s current re-entry programs has resulted in the precipitated salt dissolving, which in turn has increased the flow rate into the well.

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