Altamin Limited (ASX: AZI) has received a report that confirms the potential for both power production and lithium extraction for the company’s two initial licence areas in the Lazio Region near Rome.
The project area is near Cesano approximately 50km north of Rome in an area well known for its geothermal energy, with permits adjacent to the Italian assets of Vulcan Energy.
The company has received a detailed study from expert independent Italian geothermal consultants STEAM Srl, which provides a geological model for the entire prospective district. The study reports a positive reservoir assessment of potential energy and lithium content contained within the boundaries of the existing Campagnano and Galeria Els.
Following this positive assessment Altamin has applied to increase the EL application area by over 500% (from two to six ELs) to cover a significant portion of the remaining geothermal reservoir, defined by deep drilling in the 1970s. The new permit application areas are known as Melazza, Sabazia, Sacrofano and Cassia.
All new applications have received positive environmental decrees (first stage of EL grant process) and are now being reviewed by the regional government of Lazio (final stage of EL granting).
STEAM’s assessment utilises a data package based on the extensive investigation of the geothermal reservoir undertaken by ENEL (Italy’s national utility for distributing electricity and gas) in the 1970s and 80s. The historical data sources include the results of ground geophysics, drilling logs, brine analyses and data from a geothermal pilot plant commissioned to extract brines, generate geothermal power and re-inject spent brines.
The STEAM report authors include geoscientists who worked on ENEL’s initial project and have firsthand knowledge of the geological data and the technical aspects of the historical work.
Our work with STEAM has uncovered a valuable body of data on the Cesano brines and the reservoir potential, with context and further insights being gained from the direct link with senior personnel who helped implement this work in the 70s and 80s,” Managing Director, Geraint Harris, said.
“STEAM’s assessment has given us the strong justification to dramatically enlarge our ELs and the data provided has allowed us to engage Watercycle to commence DLECTM testing. We are aiming to rapidly advance these projects at a time when the EU and Italy are focused on developing critical resources of domestic lithium supply.”
The geological model prepared by STEAM is developed from the historical geophysical and borehole data which indicates the presence of a deep (~1500m to 2000m below surface) and continuous reservoir of geothermal fluids under the entire area of Altamin’s ELs.
Brines from the boreholes were sampled multiple times by ENEL between the 1970s and 80s. The brine analyses compiled in STEAM’s report show significant levels of lithium in multiple holes sampled.
Using this information Altamin applied for new EL areas designed to maximise coverage of the deep reservoir and to encompass many of the historical boreholes, including the production well C1 which had lithium values recorded up to 250 mg/l, and the injection well C5. If granted, this EL package will give Altamin the majority land position in the Cesano geothermal field.
In addition to extending over the deep reservoir, the ELs cover several volcanic pipes, identified by drilling. It is interpreted that these act as traps allowing brines to re-circulate, resulting in higher grades of contained minerals. An interpreted N-S cross section of the geological model is shown in Figure 3. It is believed that there is reasonable potential to discover additional pipes through exploration, which may add areas of enhanced mineral enrichment.