Alchemy Resources (ASX:ALY) has discovered lithium mineralisation at the surface of the Karonie project in Western Australia with assay results of 2,723ppm of lithium concentrate.

The company said its identified multiple pegmatite targets and large gravity lows in the area that extend from the south to the north of the project.

The findings add to Alchemy Resources' regional exploration plans for 2023, and CEO James Wilson said the positive results demonstrate a significant lithium-bearing pegmatite system:

"This is clearly a huge pegmatite system with outcropping lithium mineral confirmed for the first time. The area remains open to the west and south within our 100% owned tenure and is completely untested by drilling."