Osino Resources Corp. has announced that Prospect Resources Limited has successfully completed Phase 1 of the earn-in agreement for the Omaruru Lithium Project in Namibia. This marks a major step forward in the development of this promising lithium project.
Under the terms of the agreement, Prospect has earned a 40% interest in the project by completing a series of exploration activities, including drilling, sampling, and geophysical surveys. The company has now completed all of these activities and has met all of the earn-in requirements.
Prospect is now eligible to move forward with Phase 2 of the earn-in agreement, which will involve further drilling and exploration to further define the lithium mineralisation at Omaruru. The company plans to complete a ground geophysical survey and a metallurgical testwork program in the near future.
If Prospect completes Phase 2 of the earn-in agreement, it will earn an additional 10% interest in the project, for a total of 50%. Osino will retain a 50% interest in the project, unless it is unable to fund its share of the project, in which case it will be carried as a 15% interest holder until the completion of a definitive feasibility study (DFS).
Heye Daun, Osino’s President and CEO, said that the company is “very pleased” with the progress that has been made on the Omaruru Lithium Project. He noted that the completion of Phase 1 of the earn-in agreement is a significant milestone and brings the project one step closer to development.
Daun added that Osino is “committed to advancing the Omaruru Lithium Project and believes that it has the potential to be a major lithium producer.” He said that the company is “excited to partner with Prospect Resources to continue the exploration and development of this project”.
The Omaruru Lithium Project is located in the Erongo region of Namibia, approximately 200 kilometres north of the capital, Windhoek. The project covers an area of 175 square kilometres and is situated in close proximity to several other lithium projects, including the Karibib Lithium Project and the Otjihase Lithium Project.
The project is well-positioned to benefit from the growing demand for lithium, which is a key component in the production of batteries for electric vehicles and other electronic devices. The company believes that the Omaruru Lithium Project has the potential to be a major supplier of lithium to the global market.