Avalon Advances Vertically Integrated Lithium Production with New Drilling Program at Separation Rapids

Avalon Advanced Materials Inc., a Canadian mineral development company, is making significant progress in its strategic transformation into a vertically integrated lithium producer. The company has announced the commencement of a comprehensive drilling program at the Separation Rapids joint venture lithium deposit in Northwestern Ontario.

The drilling program is a crucial step in Avalon’s plan to move Separation Rapids towards commercial production. With the identification of a high-quality volume asset, the company aims to define the total scope of the resource, supporting its broader efforts to build a vertically integrated lithium supply chain for the North American glass-ceramics and electric vehicle (EV) battery markets.

Scott Monteith, the Chief Executive Officer of Avalon, expressed excitement about the potential of Separation Rapids for both the glass-ceramics and lithium battery markets. The recently announced Mineral Resource Estimate (MRE) for Separation Rapids revealed a 20% increase in measured and indicated resources, confirming the deposit’s suitability for both markets. The ongoing drilling program aims to confirm the potential for an additional 3Mt to 6Mt of available resource.

To conduct the drilling program, Avalon has enlisted the services of Major Drilling Group International Inc., one of the world’s largest drilling services providers. This program follows Avalon’s acquisition of the Strathcona property in Thunder Bay, Ontario, which is intended to host Ontario’s first lithium hydroxide conversion facility.

Avalon and its joint venture partner, Sibelco NV, are actively negotiating a definitive agreement for the joint venture. The company has applied for approval from the Ontario Ministry of Mines for the assignment and transfer of leasehold PIN 42180-2461(LT) forming part of the Separation Rapids property. The parties aim to execute the definitive agreement by November 15th, 2023, or no later than December 31st, 2023.

Avalon Advanced Materials Inc. is focused on vertically integrating the Ontario lithium supply chain. In addition to the Separation Rapids project, the company is advancing the Lilypad and Snowbank lithium projects. Avalon is also working on the development of the Nechalacho rare earths and zirconium project in the Northwest Territories.

With its commitment to social responsibility and environmental stewardship, Avalon aims to contribute to the advancement of modern life and serve various industries, including EV battery manufacturing, glass, ceramics, construction, and more.

As Avalon continues to make significant strides in its vertically integrated lithium production strategy, the new drilling program at Separation Rapids marks an important milestone in the company’s journey towards commercial production and meeting the growing demand for lithium in North America.