Grounded Lithium Corp. has issued a spring operational update for 2026, detailing the latest developments in its oil and gas operations and the progress of the Kindersley lithium project, which is being advanced in partnership with Denison Mines Corp.
The company is maintaining stable petroleum output while moving its lithium venture closer to commercial production.
Regarding its oil and gas business, the company reported a May 2026 oil sales production rate of 114 barrels per day, consistent with April's output.
The operating partner is currently focused on optimizing production from two wells to enhance the quality of marketable crude oil and address infrastructure bottlenecks limiting daily output.
Following relatively straightforward facility upgrades, the company anticipates initial production could surpass 150 barrels per day, after which a period of gradual, multi-year decline is expected.
Encouraged by these prospects, the company and its partners are advancing plans for additional development wells.
As the operator, the company receives a share of revenue and recovers management fees.
For the Kindersley lithium project, the company and its partner Denison Mines Corp are working to finalize the prefeasibility study.
This study is currently under review and will serve as a key document for advancing the Kindersley project toward commercialization.
According to the company's updated 2023 preliminary economic assessment, the project's Phase 1 post-tax net present value is estimated at $1.0 billion, with a post-tax internal rate of return of 48.5%.
In terms of resources, the company holds approximately 1.0 million tonnes of lithium carbonate equivalent in indicated mineral resources and about 3.2 million tonnes in inferred resources in southwestern Saskatchewan.
Under an agreement signed with Denison Mines Corp in January 2024, Denison can earn up to a 75% working interest in the Kindersley lithium project by funding up to C$15.15 million, comprising a C$3.15 million cash payment and C$12.0 million in project expenditures.
Grounded Lithium is a publicly traded lithium brine exploration and development company.
Its business model encompasses resource consolidation, delineation, development, and eventual production, with the goal of becoming a Canadian lithium producer supporting the global energy transition.
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