Venari Minerals Adds Strontium to Nevada Lithium Resource, a First for the US
Key Takeaways
- Red Mountain is now the only US Mineral Resource Estimate to include strontium, with 2.67Mt of contained SCE at 0.53% alongside 12.0Mt of magnesium.
- The lithium inventory is unchanged at 3.03Mt contained LCE across 500Mt, all in the Inferred category, so economic viability remains unproven.
- The US is 100% net import reliant for strontium and faces a 2028 domestic sourcing mandate for defence-related chemicals, giving the by-product a policy tailwind.
- Venari says the by-products won't justify mining alone, and no economics, offtake or funding have been disclosed.
- Key catalysts are infill drilling for an Indicated upgrade, an Exploration Plan of Operations by end-2026 and a Scoping Study by the end of Q1 2027.
Red Mountain resource gains strontium and magnesium, the only US MRE to include strontium
Venari Minerals has added strontium and magnesium by-products to the Mineral Resource Estimate (MRE) for its 100%-owned Red Mountain Lithium and Strategic Metals Project in Nevada. The lithium component of the 3.03Mt contained lithium carbonate equivalent (LCE) Inferred resource is unchanged.
The updated Red Mountain MRE comprises 500Mt, with the headline figures set out below.
- 0.61% LCE (1,139ppm Li) for 3.03Mt contained LCE
- 0.53% Strontium Carbonate Equivalent (SCE) for 2.67Mt contained SCE
- 2.40% Mg for 12.0Mt contained magnesium
The company says Red Mountain is now the only MRE containing strontium in the USA. It states that it has not identified any publicly available JORC, NI 43-101 or SEC S-K 1300 Mineral Resource Estimate containing strontium in the United States of America or Canada.
What does that mean for you as an investor? It adds a strategic angle to an already large lithium project, and the company says the by-products provide additional revenue optionality as part of future technical studies. No economics, offtake or funding have been disclosed.
Resource breakdown by area
The table below shows the Inferred MRE at the preferred reporting cut-off grade of 700ppm Li, as presented by the company.
| Area | Tonnes (Mt) | LCE (Mt) | SCE (kt) | Mg (kt) |
|---|---|---|---|---|
| North | 91.6 | 0.79 | 446 | 3,330 |
| Central | 408 | 2.24 | 2,230 | 8,660 |
| Total | 500 | 3.03 | 2,670 | 12,000 |
The North area stands out on grade, at 0.86% LCE, 0.49% SCE and 3.63% Mg over 91.6Mt. The Central area holds 408Mt.
These are Inferred resources, the lowest confidence category, and economic viability has not been demonstrated. The by-products are only reported within the 500ppm Li wireframes and are not expected to justify mining and processing on their own. The company says they are considered to have potential to be extracted economically as part of an operation justified by lithium.
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Why strontium and magnesium matter to the investment case
Strontium, a strategic defence material
Strontium is a specialty metal used in defence applications such as tracers in ordnance and flares, as well as in other pyrotechnics, alloys, ceramics, glasses and nuclear batteries. It is listed as a Strategic Material by the US Department of War (DoW).
The United States is 100% net import reliant for strontium. The National Defense Authorisation Act 2023 mandates domestic US (or select ally country) sourcing of defence-related chemicals, including strontium compounds, by 2028.
Strontium carbonate, the common processed form, typically commands about US$2,000 per tonne landed in the US. The company reports strontium in SCE because it is the commonly traded form, in alignment with reporting lithium as LCE.
Magnesium, a US Department of Energy Critical Mineral
Magnesium is listed on the current US Department of Energy Critical Minerals list, and the US currently imports 59% of its magnesium compounds, mainly from China. The magnesium sulfate market is 2.7Mt annually.
Epsomite prices in the US have ranged from US$370-430/t in the past year. The company notes that crystallising lithium carbonate from a sulfuric acid leach solution necessitates upfront magnesium removal, which it says gives it an incentive to investigate this potentially valuable by-product.
Chairman view
Executive Chairman Tony Leibowitz framed the update as a shift in the project’s positioning.
Tony Leibowitz, Executive Chairman
“Adding significant quantities of strontium and magnesium to the Red Mountain Mineral Resource gives this already substantial lithium project a unique strategic dimension for a US domiciled critical minerals project…”
He also said Red Mountain is “rapidly evolving from a major new US lithium discovery into a broader strategic minerals opportunity…”
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Metallurgy, drilling and the path to the Scoping Study
A comprehensive metallurgical test-work campaign is evaluating several lithium extraction methods: sulfuric acid leach, hydrochloric acid leach, oxalic acid leach and roasting. Test-work for leaching and recovering by-products is either underway or scheduled for later in 2026.
Earlier lithium results showed up to 98% lithium leachability. In June 2026 the company announced the successful crystallisation of a 99.5% battery-grade lithium carbonate product.
An infill drilling campaign is underway, designed with a view to upgrading the Mineral Resource category from Inferred to Indicated in the higher-grade northern part of the project. Results are to feed into an MRE upgrade including strontium and magnesium. The Scoping Study is expected to be completed by the end of Q1 2027.
The next steps outlined by the company are:
- Metallurgical results, which will form the basis for a processing flow sheet for the Scoping Study.
- Infill drilling and an MRE upgrade.
- An Exploration Plan of Operations (EPO) expected to be in effect by the end of 2026, which, once approved and the environmental bond is lodged, would lift the disturbance allowance from 5 to 35 acres in the first instance.
- A Scoping Study expected by the end of Q1 2027.
- Registration to be eligible to apply for Federal Grant funding, including applications to join the Defense Industrial Base Consortium (DIBC) and Cornerstone Consortium.
The grant registration is a process of becoming eligible to apply. No grant funding has been secured.
Growth upside beyond the MRE
The company also reports a JORC Exploration Target for the Project, summarised below.
| Area | Tonnage (Mt) | Grade (ppm Li) | Grade (% LCE) | LCE (Mt) |
|---|---|---|---|---|
| Red Mtn Ext. | 816-1,090 | 1,000-1,300 | 0.53-0.65% | 4.35-7.53 |
| Project | 2,020-2,690 | 1,000-1,300 | 0.53-0.69% | 10.7-18.6 |
The Project total of 2,020-2,690Mt at 1,000-1,300ppm Li for 10.7-18.6Mt LCE includes the Red Mtn Ext. line as a component. The Exploration Target is conceptual in nature. There has been insufficient exploration to date to estimate a Mineral Resource, and it is uncertain if further exploration will result in the estimation of a Mineral Resource.
Project background points from the announcement include:
- 30 of 32 drill holes intersected lithium mineralisation.
- Discovery hole RMRC001 intersected 59.4m @ 1,300ppm Li.
- The project is immediately adjacent to the transcontinental Route 6.
- It is 20km west of the 525kV ‘One Nevada’ high-voltage transmission line.
- The company secured a 113-acre private property with substantial annual water rights.
Ready to Learn More About the Red Mountain Lithium and Strategic Metals Project?
Venari Minerals has added strontium and magnesium to the Red Mountain MRE, making it the only US resource to include strontium alongside a 3.03Mt contained LCE lithium inventory. With infill drilling underway and a Scoping Study targeted for the end of Q1 2027, the project is advancing on several fronts.
Explore the Venari Minerals company profile on Discovery Alert to see the latest updates and the investment potential at Red Mountain.