Redwater Project

NeoLithica owns 7,808 hectares (30 square miles) of highly prospective brine-hosted mineral licenses over the prolific Redwater Leduc reef complex sixty kilometres north east of Edmonton and immediately north west of the Town of Redwater.

The Redwater Oil Pool, operated by Conifer Energy, was drilled extensively and has been in production for many decades, with the oil-bearing zone now exhibiting water cuts of over 95%. Connor Energy, the oil pool’s major operator currently pumps over 600,000 barrels of Leduc Formation brine to surface, separates the oil, and then disposes the brine back into the Leduc Formation.

NeoLithica has conducted geological evaluations of the Redwater Leduc reef complex that exhibits high porosities and permeabilities. The overlying Nisku Formation shares similar geological characteristics to the Leduc, and its brine typically tests lithium concentrations of 35mg/L and higher.

NeoLithica anticipates that with forecast rising lithium prices, and higher efficiencies in DLE on lower quality brines, it may be economical to deploy smaller independent DLE plants (“Spokes”) at the existing brine injection wells that dispose of the produced brine, and avoid the costs associated with drilling new lithium-brine production wells.

The company will continue to investigate this opportunity at its Redwater Project which has the potential to enter production more quickly and contribute to NeoLithica’s overall brine resources.