Shares in Todd River Resources Ltd [ASX:TRT] have climbed 23.81% in early trade, thanks to a fortunate find for the tiny Northern Territory based miner.
What did Todd River Resources unearth?
Todd River has found indications of lithium at their Walabanba Base Metal Project. The company found trace amounts of the resource in rock-chip sampling. It sent the market into a flutter, as lithium has become a hot commodity lately.
The only question now is how rich the deposit site will be. Todd River believes that the Anningie Tin Field (where the samples were discovered) could deliver a favourable result.
Anningie is currently the Northern Territory’s largest pegmatite-populated site. Which is the primary source for lithium. The site covers an estimated 10 square kilometres, so the potential could be massive.
What next for Todd River?
Company director Paul Burton noted:
‘Given the extremely favourable outlook for lithium, we intend to pursue this opportunity as a priority in parallel with ongoing work on our base metal prospects.’
Todd River has outlined that further studies will need to be conducted on the lithium before drilling commences. As well as indicating the potential for more mapping and sampling for drill testing.
‘The results which we expect to deliver over next few weeks will help shape our exploration priorities and focus over the next 3–6 months. Given the continued strength of all of the key commodities for which Todd River is exploring, we are very optimistic about the Company’s future and growth prospects.’
For more potential growth stories in the resources sector, be sure to check out our report on ‘Australia’s Top 10 Mining Stocks for 2017’ here.
Junior Analyst, Money Morning