By: Tomas Ronolski - AllPennyStocks.com News

Tuesday, September 20, 2016

In a report on the outlook for the global lithium market, Goldman Sachs noted that there are mega-trends driving the market. The demand is being driven by the Communication & Mobility industry. There is also demand from the Energy & Natural Resources sectors due to concepts such as renewable energy, smart grid and energy storage and fewer chemicals and simpler processes. However, Goldman Sachs notes in its report that the Lithium-Ion Battery market, which is one of the biggest drivers of demand is yet to reach maturity and continues to find applications. Given the increasing use of electric cars, this market is expected to take off in the coming decade. Goldman Sachs noted in its report that transportation/battery demand is going to be a potential game changer for the lithium market.

The outlook certainly augurs well for Durango Resources Inc. (TSX-Venture:DGO). Based in Vancouver, British Columbia, Durango is a natural resources company engaged in the acquisition and exploration of mineral properties. The Company has a 100% interest in the Mayner’s Fortune and Smith Island limestone properties in northwest British Columbia, the Découverte and Trove gold properties in the Abitibi Region of Quebec, and certain lithium properties near the Whabouchi project, the Buckshot graphite property near the Miller Mine in Québec, the Dianna Lake silver project in northern Saskatchewan, the Whitney Northwest property near the Lake Shore Gold and Goldcorp joint venture in Ontario, as well as three sets of claims in the Labrador nickel corridor.

Earlier today, Durango announced that lithium bearing pegmatites were discovered on its property that is adjacent to Nemaska Lithium Inc.’s (TSX:NMX) Whabouchi Project. The company said that the anomalous lithium assays were grabbed from surface exposed pegmatites outcrops identified by high definition satellite imagery. No trenching or blasting was completed on the first phase reconnaissance program which took place in August 2016, as the scope of the program was limited to identifying pegmatites and sampling for lithium values.

Durango has discovered anomalous lithium bearing pegmatites sampled by a simple grab sample. From all the pegmatites discovered and sampled, 25 returned anomalous lithium values ranging from 50 to 320 ppm or 0.032%Li.

Marcy Kiesman, CEO at Durango Resources, said that the company is highly encouraged by the geological discovery of the lithium-bearing pegmatites so proximal to the Whabouchi project and the discovery has greatly increased the Company’s odds of hosting a LCT (Lithium, Cesium, Tantalum) type deposit adjacent to Nemaska Lithium Inc.

The news though failed to boost Durango shares in trading today. At last check, the stock was down 12.50% to $0.0700 on volume of 1.47 million, well above the daily average volume of 96,118.

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