Boadicea Resources Ltd (ASX:BOA) has entered a one-month exclusivity agreement to perform due diligence at the Two Tanks Lithium Project at Mt Ida in Western Australia with the aim of potentially acquiring a majority interest in the project.

Proactive Investors reports the area around Two Tanks is emerging as a new lithium province with significant developments along a prospective zone with a strike length of about 35 kilometres.

The regional lithium prospectivity at Two Tanks is interpreted to be associated with the large Copperfield Granite which may be a source of the lithium-caesium-tantalum (LCT) pegmatites.

A prospective LCT corridor is interpreted between the contact with the Copperfield Granite in the east and the Ida Fault in the west.

Historic exploration at Two Tanks has identified numerous sub-vertical pegmatite dykes which will be the focus of Boadicea’s due diligence.

Highly prospective region

Boadicea managing director Jon Reynolds said: “Successful completion of the due diligence on this highly prospective tenement will provide the potential to add a project with known lithium-bearing pegmatites in a highly prospective region.

“On the basis it proceeds, Two Tanks will complement our growing lithium portfolio with a more advanced project for exploration.

“We aim to fast-track the due diligence on Two Tanks and look forward to updating the market as we advance to the next phase.”

Agreement summary

Key terms of the agreement include a $5,000 up-front exclusivity fee for a 30-day due diligence period.

During this period, Boadicea will have access to all historical data and commit to a site visit to assess the potential of known pegmatites within the tenement.

After the exclusivity agreement, Boadicea will have the option to enter exclusive negotiations for the potential acquisition of a majority stake in Two Tanks.

Boadicea lithium strategy

Boadicea is developing a portfolio of quality lithium exploration tenements that include:

• Bald Hill East Lithium Project, Western Australia;
• Ant Hill Lithium-Nickel Project, Western Australia; and
• Hanns Gully Lithium-Tin-Tantalum Project, Queensland.

Subject to the successful completion of the due diligence and entering into an agreement with the vendor, Two Tanks has significant potential to add a major new lithium prospect that has known lithium-bearing pegmatites.