The Galan Lithium Ltd (ASX: GLN) share price is having a strong day.
In afternoon trade, the ASX lithium share is up 9% to $1.22.
Why is this ASX lithium share charging higher?
The catalyst for this rise has been the release of an announcement relating to the company's Candelas Project in Catamarca, Argentina.
According to the release, Galan Lithium has now moved to 100% full ownership of the Candelas Project. This project lies approximately 40 kilometres away from the company's flagship Hombre Muerto West (HMW) project.
Management notes that the Candelas Project is supported by a full preliminary economic assessment (PEA) and a JORC 2012 resource.
It estimates that it has an indicated mineral resource of 685kt lithium carbonate (LCE) and can generate 14ktpa of battery grade LCE over 25 years of operations.
'Robust economic returns'
Galan's Managing Director, JP Vargas de la Vega, commented:
The Candelas Project was our first project foray into Argentina and we now have final full ownership of the project. Over the journey, our focus has understandably been on Hombre Muerto West but once we complete the DFS and associated works and infrastructure projects we will move forward on Candelas.
With our five years of lithium knowledge in the region, we will initially re-visit all our geological data and analysis. Don't forget, Candelas is a stand-alone, lithium brine project in the Catamarca province, with no water access concerns, that shows robust economic returns.
