Pursuit Minerals Wins Dual Permits Unlocking Pilot Plant and Drilling at Rio Grande
Key Takeaways
- Pursuit Minerals has received two separate environmental approvals from the Secretaría de Minería of Salta, clearing the way for pilot plant infrastructure establishment and a 500-metre diamond drill hole to advance simultaneously at Rio Grande Sur.
- The pilot plant approval authorises construction of eight 100m x 100m pilot ponds across a 10-hectare area, an 812m² equipment storage facility, and transport of 76 equipment items from Salta Capital to the Sal Río II property.
- The Company has previously demonstrated 99.5% lithium carbonate purity at pilot scale, and the relocated plant will enable ongoing process optimisation using actual Rio Grande Sur brine under site conditions.
- A commercial-scale evaporation pond system application targeting the planned 5,000 tpa operation has been submitted to the Secretaría de Minería and is currently under assessment, adding a third concurrent permitting workstream.
- Drilling at Demasía (DDH-4) targets expansion of the existing 1.264 Mt LCE JORC Mineral Resource, following completion of DDH-3 at Mito which reached approximately 560 metres depth.
Environmental approvals unlock parallel development and drilling at Rio Grande Sur
Pursuit Minerals (ASX: PUR) has secured two separate environmental approvals from the Secretaría de Minería of the Province of Salta for its Rio Grande Sur Lithium Project in Argentina, clearing the way for pilot plant infrastructure establishment and advanced exploration drilling to progress simultaneously.
The first approval covers key on-site infrastructure for the pilot plant relocation to the Sal Río II property. The second, a separate Environmental Impact Declaration, authorises a 500-metre diamond drill hole at the Río Grande I and Demasía properties. In parallel, the Company has submitted its environmental approval application for the commercial-scale evaporation pond system required for the planned 5,000 tpa operation, advancing the permitting pathway toward commercial development.
Together, the two approvals and the pending commercial pond application position development and exploration to advance in parallel, compressing the timeline across multiple project fronts. The Company holds an existing 1.264 Mt LCE JORC Mineral Resource (see ASX announcement, 2 February 2026).
Aaron Revelle, Managing Director & CEO
“These approvals represent another important step in de-risking Rio Grande Sur and advancing the Project toward production. Relocating the pilot plant to site allows us to build directly on the successful production of 99.5% lithium carbonate, further optimise the flowsheet using Rio Grande Sur brine under site operating conditions and continue building the technical and operational knowledge required for commercial production.
Our intention is to produce lithium carbonate and lithium chloride at site, with the pilot plant providing an important bridge between our successful pilot program and the planned 5,000tpa operation. The ability to undertake ongoing R&D and process optimisation at Rio Grande Sur will support commissioning and ramp-up, while further de-risking the transition to commercial scale production…”
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What the pilot plant approval means in practice
Approved pilot plant infrastructure at Sal Río II
The resolution from the Salta Mining Secretary approves an addendum to the Environmental and Social Impact Report covering infrastructure and activities associated with the pilot plant relocation. Three specific activities are authorised:
- Construction and preliminary preparation of eight pilot ponds, each approximately 100 m x 100 m, across an approximately 10-hectare development area
- Construction of an approximately 812 m² equipment storage facility to support relocation and protection of pilot plant equipment
- Transport and storage of 76 items of equipment and components from Salta Capital to the Sal Río II property
With approval secured, the Company can now advance the physical relocation and establishment of pilot plant infrastructure at the project site. Engineering layout diagrams (Figures 1 to 3 from the announcement) illustrate the approved pond layout and site infrastructure design.
The pathway from pilot scale to 5,000 tpa commercial production
The pilot plant relocation is positioned as a bridge, not a destination. The Company has previously demonstrated 99.5% lithium carbonate purity at pilot scale, and the relocated plant is intended to build on that outcome by enabling ongoing process optimisation using Rio Grande Sur brine under actual site operating conditions.
The next permitting milestone to watch is the commercial-scale evaporation pond system application, which has been submitted to the Secretaría de Minería and is currently under assessment. Separately, the Company is also nearing completion of feasibility study addendums evaluating expanded lithium carbonate and lithium chloride development pathways, incorporating the latest technical, wellfield, and process engineering work. These addendums are expected to provide an updated development framework for potential expansion beyond the initial 5,000 tpa operation.
| Regulatory Action | Scope | Status |
|---|---|---|
| Pilot plant relocation approval | 8 pilot ponds, storage facility, 76 equipment items | Approved |
| Demasía drilling approval | 500m diamond drill hole + drill pad | Approved |
| Commercial pond system application | 5,000 tpa evaporation pond system | Submitted / Under assessment |
What is environmental permitting for a lithium project, and why does it matter?
Environmental approvals are not administrative box-ticking. In Argentine mining provinces, they are issued by the provincial mining secretariat (in this case, the Secretaría de Minería, Salta) on a project-specific basis, and they confer the legal right to construct and operate defined infrastructure. Without them, no physical works can proceed.
For investors, securing these approvals is a genuine de-risking milestone. Each approval removes one of the key hurdles separating an exploration-stage asset from a development-stage one. That shift in classification matters when evaluating risk-adjusted value: a project with regulatory clearance to build is measurably less speculative than one still waiting for permission. The submission of the commercial pond application adds a third front to that progression, indicating the permitting process is now advancing across multiple concurrent workstreams.
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Demasía drilling and the resource expansion story
The Demasía Environmental Impact Declaration authorises a 500-metre diamond drill hole (DDH-4) and associated drill pad construction at the Río Grande I and Demasía properties. DDH-4 is planned to commence following completion of DDH-3 at Mito, which is now complete after successful drilling and packer testing to approximately 560 metres.
Drill collar coordinates for both holes, drawn from Table 1 of the announcement, are as follows:
- DDH-3: 25°0’43.16″S, 68°10’29.29″W, 4,050m ASL
- DDH-4: 25°0’41.93″S, 68°11’51.56″W, 3,665m ASL
The drilling program targets a potential expansion of the existing 1.264 Mt LCE JORC Mineral Resource and further definition of the scale and continuity of the lithium-bearing salar system. Results from both DDH-3 and DDH-4 will be incorporated into the Company’s geological and hydrogeological model. On a separate front, the Sascha Marcelina Gold Project is also advancing, with six initial drill holes planned and final interpretation of IP survey data alongside AI and machine-learning datasets underway to refine targets.
The geological and hydrogeological model being built from DDH-3 and DDH-4 results draws on a growing body of subsurface data, and geophysics at Rio Grande Sur has played a central role in defining the scale and structural continuity of the lithium-bearing salar system targeted by the current drill program.
Taken together, the parallel progression across pilot plant relocation, commercial permitting, active drilling, and near-term feasibility addendum completion forms a cohesive de-risking narrative across Rio Grande Sur. Each workstream is distinct, but the combined effect is a project advancing on multiple fronts simultaneously rather than sequentially, which is where the investment case for compression of development risk is building.
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