Rincon has been estimated to contain an inferred 207,957 tonnes of lithium carbonate equivalent, with the company claiming the resource has exceeded its expectations and has "excellent" potential to be further expanded.

Last quarter Argosy began scoping work on a commercial scale development with the company looking at defining and proving a chemical process solution for production of battery grade LCE product.

A staged development anticipates producing up to 1500t per annum before heading to full commercial operations - of as yet unidentified output.

Earlier this month Argosy concerned the marked when it said the first LCE product produced in testwork was not battery grade.

However this was suggested to be a function of timing, with the company's test plant awaiting natural gas supply in order to generate the high heat required for full processing.

Earlier this week Argosy said the mains gas supply had now been officially authorised and was being switched on.

Argosy started the current quarter with over A$14 million cash.

At 28c, shares in Argosy are now back around levels they were at before the non-battery grade LCE was reported.

Argosy was capitalised this week at $257 million.