Wildcat Resources' (ASX:WC8) Bolt Cutter lithium discovery in Western Australia has the potential to host between 15 million and 20 million tonnes at 1% lithium oxide and become a satellite operation to the Tabba Tabba project, Euroz Hartleys said in a Wednesday note.

The company recently reported results from a further 20 reverse circulation drill holes, expanding mineralization within the Harry and Hermoine pegmatites to over 1,400 meters in strike and 800 meters width. Seventeen holes intercepted mineralization, prompting continued drilling.

Diamond drilling will begin next year, the note said.

Euroz Hartleys said Wildcat Resources is development-ready for the current cycle and is well-funded with AU$51 million in cash.

The investment firm maintained its speculative buy recommendation on the company with a AU$0.51 price target.

Wildcat Resources' shares fell past 3% in afternoon trade Thursday but earlier hit a 52-week high.