ZURICH, SWITZERLAND / ACCESSWIRE / December 14, 2017 / Drilling the first holes into a lithium prospective basin is a high risk business, because if you miss, or the lithium grades are low, the market tends to punish the company vigorously by selling hard as investors turn their back on the stock and move on to their next gambling frenzy. On the other hand, this could create an outstanding buying opportunity for those that still believe in the company and know that – in most cases – it's never the first hole that makes a discovery.
This could very well be true for Belmont Resources Inc. (TSX.V: BEA; Frankfurt: L3L1) and its Kibby Basin Project in Nevada, 65 km north of the famous Clayton Valley.
In June of this year, the lithium explorer reported assays from its first 2 holes, showing up to 200 ppm lithium in sediments. This was a promising discovery as it made official that there is lithium in the Kibby Basin. However, investors – at that time – were not looking for "promising" results in sediments, they wanted to see high-grade lithium in aquifers as that's also the pay zone in the near-by Clayton Valley. So as they did not get what they wanted to see, the stock took a dive at 5 cents and reached a bottom 4 months later at 2.5 cents. After a recent financing at 3 cents for the next round of exploration, the stock currently trades at 5 cents again. With management and insiders taking the lion's share of that financing, this may give confidence that they still believe to hit it big time with the next round of drilling.
And today, Belmont made a striking announcement that could be the missing piece of a puzzle for the question of where to drill the next couple of holes on its large property to finally discover high grades of lithium in the aquifer pay zone.
The full report can be accessed with the following links:
English (web version): http://rockstone-research.com/index.php/en/research-reports/3950-The-Missing-Puzzle-Piece-to-Discover-Lithium-Aquifers-in-the-Kibby-Basin-of-Nevada
English (PDF): http://rockstone-research.com/images/PDF/Belmont7en.pdf
German (PDF): http://rockstone-research.com/images/PDF/Belmont7de.pdf
German (web version): http://rockstone-research.com/index.php/de/research-reports/3951-Das-fehlende-Puzzle-Stueck-zur-Entdeckung-von-Lithium-Aquifer-in-Nevadas-Kibby-Basin
Disclaimer: Please read the full disclaimer within the full research report as a PDF as fundamental risks and conflicts of interest exist.
SOURCE: Rockstone Research
