The Latin Resources Ltd (ASX: LRS) share price is catching the eye on Wednesday.
In late morning trade, the lithium explorer's shares are up 7.5% to 28.5 cents.
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Why is the Latin Resources share price jumping?
The catalyst for this gain has been the release of a drilling update from the lithium explorer's Salinas Lithium Project in Brazil.
According to the release, step out drilling immediately to the southwest of the Colina deposit has added significant strike extensions to the already considerable mineral resource footprint with the discovery of a new pegmatite cluster.
Management notes that its high grade assay results are to be incorporated into an updated Colina JORC Mineral Resource Estimate (MRE), which is expected to be released the current quarter.
In addition, it highlights that regional soil sampling and mapping at the new Fog's East tenement has revealed more outcropping spodumene rich pegmatites with coincident lithium-in-soil anomalies. Initial drill testing is schedule for this month.
All in all, the company believes that the Salinas Project continues to grow towards a tier one lithium deposit.
Latin Resources' Vice President of Operations in the Americas, Tony Greenaway, commented:
Our ongoing brownfields extension drilling at Colina, and region greenfield exploration drilling continues to discover new pegmatites within the Salinas Lithium Project. Step out drilling immediately to the southwest of Colina has added significant strike extensions to the already considerable mineral resource footprint at Colina, and we expect that these will be incorporated into an updated resource estimate before the end of this year.
Our understanding of the regional potential of the Salinas lithium project grows with every new discovery we make, with now three well defined mineralisation systems and Colina, Colina Southwest and Fog's Block, with potentially a fourth now emerging.
The Latin Resources share price is now up more than 150% over the last 12 months.
