Lancaster Resources has received approval from the United States Department of the Interior Bureau of Land Management (BLM) for the Plan of Operations for the Alkali Flat Lithium Brine Phase 1 drill program. This follows the permit approval granted by the New Mexico Mining and Minerals Division (MMD) on April 30, 2024.
Andrew Watson, Lancaster’s VP of Engineering & Operations, stated, “The BLM approval of our Plan of Operations application supports Lancaster’s commitment to providing sustainable and minimal impact critical minerals for the energy transition. We are rapidly progressing to drilling our maiden exploration well at Alkali Flat, showcasing the significant potential of the lithium brine deposit identified by our 2023 geophysics program.”
The Plan of Operations, submitted to the BLM in September 2023, has been approved under BLM regulations 43 CFR 3715. This approval allows for drilling up to three wells on the playa, enabling an expedited regulatory process pending the results of the maiden well in Q2 2024. The approval includes conditions for access, safety, and environmental protection, which Lancaster intends to meet or exceed to ensure the safety and protection of the environment and all stakeholders.
Lancaster must submit a financial assurance instrument, such as a letter of credit, for USD $63,783 to be jointly held by the BLM and MMD. Once this financial assurance and approval from the New Mexico Office of the State Engineer are received, Lancaster will be able to access and drill on the playa.
The Alkali Flat Lithium Project targets a closed-basin brine deposit in a playa lake setting. The project is located near a major rail line and interstate highway, providing excellent access. The drill permit area is about 8 miles north of the 15MW Lightning Dock Known Geothermal Resource Area (KGRA).
Closed basin brine deposits contain an estimated 58% of the world’s lithium resources. The only active lithium production in the United States is the brine operation at Clayton Valley, Nevada. 
