Mandrake Reports 3.3Mt LCE Resource and $13.3M Cash Position
Mandrake Resources reports progress on its Utah Lithium Project, highlighting a 3.3Mt inferred lithium resource and new brine flow modelling to target high-grade zones. The company maintains a strong cash position while exploring strategic growth opportunities.
- 3.3Mt Lithium Carbonate Equivalent inferred resource at Utah Lithium Project
- Initiation of comprehensive brine flow model to identify high lithium concentration zones
- Permitting progress for new wells including ‘MAN A’ with strategic location advantages
- Cash reserves of $13.3 million with no debt, supporting ongoing exploration
- Exploration of precious and base metals assets for potential inorganic growth
A Top-Tier US Lithium Asset
Mandrake Resources Limited continues to build momentum at its flagship Utah Lithium Project, a sprawling 93,755-acre asset in the Paradox Basin of southeastern Utah. The project boasts an inferred mineral resource estimate of 3.3 million tonnes of lithium carbonate equivalent (LCE), positioning it as a leading lithium brine asset domiciled in the United States. This scale is significant given the growing strategic importance of domestic lithium supply chains amid global demand for electric vehicle batteries and energy storage.
Innovating with Brine Flow Modelling
During the June 2025 quarter, Mandrake initiated a comprehensive brine flow modelling program designed to better understand lithium distribution within the Leadville Formation. By integrating core porosity and permeability data, 3D seismic fault geometries, regional brine chemistry, and potentiometric surface mapping, the model aims to pinpoint zones with the highest lithium concentrations. This data-driven approach is expected to optimize future drilling and well re-entry efforts, enhancing the efficiency and economics of lithium extraction.
Permitting and Strategic Well Placement
Progress on permitting is a key highlight, with a Notice of Intent filed for a new well, ‘MAN A’, strategically located near existing infrastructure including access roads and a high-voltage power line on state-administered land. Additional permit applications are underway for wells adjacent to historically lithium-rich sites, reflecting a methodical approach to resource development. Mandrake currently holds permits for well re-entry and new drilling, subject to bond payments, positioning the company to ramp up activity when market conditions improve.
Financial Strength and Growth Prospects
Mandrake’s financial position remains robust with $13.3 million in cash and no debt, providing a solid foundation to advance low-cost preparatory work while deferring capital-intensive drilling until lithium market sentiment strengthens. The company is also actively evaluating precious and base metal opportunities both in the US and globally, signaling a strategic intent to diversify and unlock shareholder value through inorganic growth avenues.
Looking Ahead
While the company has paused major drilling activities, the groundwork laid through brine flow modelling and permitting sets the stage for accelerated development once market conditions are favourable. Mandrake’s focus on data integration and strategic project management underscores its commitment to becoming a key player in the US lithium sector, aligned with national priorities for critical mineral supply.
Bottom Line?
Mandrake’s methodical progress and strong cash reserves position it well to capitalize on improving lithium market dynamics and strategic growth opportunities.
Questions in the middle?
- How will the brine flow model influence the timing and scale of future drilling campaigns?
- What are the prospects and timelines for securing final permits and bond payments for new wells?
- How might Mandrake’s exploration of precious and base metals assets impact its core lithium focus?
