The Core Lithium Ltd (ASX: CXO) share price is in the green today on the back of strong drilling results.
Core Lithium's shares are currently swapping hands at 86 cents, an 8.18% gain.
Let's take a look at what the lithium explorer announced today.
Lithium drilling results
Core Lithium has continued in its discovery of wide and high-grade lithium intersections at its Finniss Lithium Project near Darwin in the Northern Territory.
Two deep diamond drill holes at the BP33 deposit intersected with high-quality spodumene-bearing pegmatite mineralisation. The results show:
- 57.35m at 1.83% lithium oxide at drill hole NMRD016
- 51.0m at 1.63% lithium oxide at drill hole FRCD023
Core Lithium believes this means mineralisation at the BP33 deposit is improving with depth. Further reverse circulation and diamond drilling has confirmed spodumene-bearing pegmatite extends to the south at BP33.
Core Lithium plans to conduct more drilling at this site in the future.
Management comment
Managing director Stephen Biggins described the drilling results as "world-class".
Biggins added:
Our prime directive is to deliver first production of high-quality lithium concentrate from the Finniss Project this year in the midst of a very high lithium price and high operating margin environment.
Core Lithium expects to report further drill assay results from the Finniss Lithium Project in the coming weeks.
The company will also ramp up its exploration and resource drilling early in the second quarter of 2022.
In 2021, the Core Lithium share price surged 300% on the back of progress at this project. As my Foolish colleague, Aaron has reported Core Lithium may play a key role in meeting the future lithium supply gap.
Core Lithium share price snapshot
The Core Lithium share price is up 36% this year to date compared to the benchmark S&P/ASX 200 Index (ASX: XJO), which is down by almost 5%.
Core Lithium has a market capitalisation of about $1.34 billion based on today's share price.
