Alpha Lithium to offer warrant exercise program
Alpha Lithium Corp. has determined it is in the best interest of shareholders to raise additional capital to finance its business plans. The company does not, however, wish to dilute its current shareholders any further than is absolutely necessary. Accordingly, the company has determined to implement an early warrant exercise program as more particularly described below for eligible outstanding warrants. The essential elements of the incentive program are that the company will issue additional warrants to current eligible warrantholders in consideration of the early exercise of outstanding eligible warrants. The company notes the implementation of the incentive program is subject to TSX Venture Exchange approval.Read More
Warrants issued pursuant to the company’s Sept. 2, 2020, prospectus offering, each exercisable for a period of two years at a price of 80 cents, will be subject to the incentive program.
A total of 8,796,153 existing warrants are available to be exercised during the incentive period under the incentive program. No compensation warrants are eligible to participate in the incentive program.
Under the incentive program, one common share of the company and one incentive warrant will be issued to existing warrantholders for each existing warrant exercised on or before the day that is 60 days from the date the TSX Venture Exchange approves the incentive program. The exercise price of each existing warrant will remain the same as set out in its original terms. Each incentive warrant will be exercisable to acquire one common share of the company at a price of $1.10 per share for a period of two years from the last day of the incentive period.
Any existing warrant holder who holds his/her/its existing warrants in uncertificated form through a brokerage firm or other intermediary must contact the brokerage firm or intermediary to arrange for exercise.
Ynvisible appoints Robinson as CEO
Ynvisible Interactive Inc. has appointed Michael Robinson as its new chief executive officer. Jani-Mikael Kuusisto is appointed as senior vice-president, ventures, and continues as vice-chairman of the board of directors.Read More
With its latest successful round of financing, Ynvisible is now implementing its plans to focus on speed to market for customer products and sustainable financial growth through a 2023 transformation and growth strategy led by Mr. Robinson. Mr. Kuusisto will help reduce the risk and uncertainty of emerging technologies and provide a new growth arena for Ynvisible through a 2025 venture partnership strategy.
“As chief operating officer, Michael brought the organizational tools and leadership style essential to transforming Ynvisible from a start-up to a growth-stage company. As CEO, he now focuses our strong multidisciplinary team on near-term business opportunities with current technology and manufacturing capabilities. The aim is to accelerate time to revenue and profitability,” commented Mr. Kuusisto, who was Ynvisible’s chief executive officer from its reverse takeover (RTO) in January, 2018, and now takes on the role of senior vice-president, ventures, responsible for strategic partnerships and future growth opportunities.
“Our Ynvisible team has everything it needs to be successful through 2023 and beyond; I am honoured to help lead the team, set the playing field for our growth and to support our customers with exceptional electrochromic display products. Our continued success comes from our obsession with making it easy for our customers to develop, adopt, and plug and play our unique display technology to drive breakthrough product experiences for end-users,” added Mr. Robinson.
Mr. Kuusisto continued: “Ynvisible’s vision is to bring everyday objects and surfaces to life, benefiting people in a smart and connected world. There are vast blue ocean opportunities for printed electrochromic displays and systems based on printed electronics. Michael leads our operations to ensure customer success in near-term business opportunities and gears our business for sustainable growth. As senior VP, ventures, I will engage with strategic partners and investors to chart the path into the future, to establish Ynvisible as a global leader in printed electronics.”
Mr. Robinson first engaged with Ynvisible as a client. He served the company as an independent director from November, 2019, to November, 2020, and most recently as Ynvisible’s COO, starting September, 2020. Before joining Ynvisible Interactive Inc., Mr. Robinson worked for over 15 years in fast-moving consumer goods and luxury goods companies: Hasbro Toys, Bliss World LLC, Colgate-Palmolive and, most recently, L’Oreal USA. As operations business development and open innovation lead for L’Oreal USA, his role centred on breakthrough and transformational technology scouting and strategy, business development, and blending business, design, and technology to accelerate and launch new packaging, products and experiences.
Highgold drills 11 m of 8.6% Zn at Johnson Tract
Highgold Mining Inc. has released new assay results from the 2020 exploration drilling program at its flagship Johnson Tract polymetallic gold project in south-central Alaska. Results reported today include drill intersections that continue to expand the down-plunge and up-plunge extents of the JT deposit (JT) and also demonstrate the continuity of the deeper footwall copper-silver zone (FCZ).Read More
- JT expansion down plunge — 11.0 metres at 8.6 per cent zinc and 0.4 per cent copper (5.9 grams per tonne gold equivalent), including 5.0 metres at 12.0 per cent Zn and 0.3 per cent Cu (7.9 g/t AuEq) in hole JT20-120;
- JT expansion up plunge — 18.3 metres at 5.9 per cent Zn, 64 g/t Ag and 0.1 per cent Cu (5.2 g/t AuEq), including 4.0 metres at 9.5 per cent Zn, 278 grams per tonne silver and 0.2 per cent Cu (10.0 g/t AuEq) in hole JT20-121;
- Footwall copper-silver zone expansion — 12 metres at 2.8 per cent Cu and 51 g/t Ag (5.0 g/t Au/Eq), within 58.6 metres at 1.0 per cent Cu and 21 g/t Ag (2.2 g/t AuEq) in hole JT20-110.
“We continue to be encouraged by the continuation and strength of the JT deposit mineral system at depth and by the emergence of the footwall copper-silver zone, a new area of copper-silver-rich mineralization with resource potential that contributes to the overall metal endowment at Johnson,” commented president and chief executive officer Darwin Green. “The current batch of drill results are base metal dominant and highlight the presence of copper- and zinc-rich domains within the polymetallic gold-rich JT deposit.
“Drilling in 2020 significantly expanded the JT deposit footprint with stepouts from the indicated mineral resource of 750,000 ounces AuEq (417,000 ounces Au plus Zn, Cu, lead [and] Ag) at a grade of 10.9 g/t AuEq (6.1 g/t Au) over true thickness of 20 to 50 m. As new data is received, Highgold’s geological and structural model continues to evolve. Based on the new data, it appears that a significant portion of the mineral system is open to expansion down plunge and is not cut off at depth as interpreted by previous operators. With approximately $18-million in the treasury, the company is fully funded to further test the limits of these zones and other targets in 2021.”
Drill program discussion
The 2020 drill program totalled 16,418 metres in 32 completed drill holes. Assays remain outstanding for 12 drill holes and will be released in batches as they are received and evaluated. The Au-Cu-Zn-Ag-Pb mineralization associated with the JT deposit has now been intersected over a strike length of 325 metres and a down-plunge distance of 400 metres and remains open for expansion along strike to the northeast and southwest, and at depth. A complete list of significant assays is presented in the associated table.
JT deposit targets
Drill holes JT20-108 and JT20-110 were drilled on the same cross-section, approximately 100 metres apart, to test the area 25 metres to 50 metres along strike from previously released stepout drill holes along the northeast, down-plunge edge of the JT deposit. The results from hole JT20-110 were particularly encouraging with a broad 58.3-metre intersection of copper-silver-dominant mineralization representing the footwall copper zone. The FCZ is a newly defined subzone of the JT deposit and has now been intersected in six holes. Holes JT20-115 and JT20-113, drilled as 50-metre stepouts above and below these two holes, are still pending receipt of assays.
Drill hole JT20-120 was a 75-metre stepout to the northeast from the JT20-108/JT20-110 cross-section and intersected an upper six-metre gold-zinc zone and lower 11-metre zinc-copper zone corresponding to the JT deposit. Hole JT20-120 has now extended the limit of mineralization 100 metres beyond the modelled resource outline and the zone remains open along strike to the northeast and down plunge.
Drill hole JT20-121 was designed to test the shallow southwest strike extension of the JT deposit, 25 metres outside the defined mineral resource and within 50 metres of surface. The hole intersected 18.3 metres of encouraging zinc-gold-silver mineralization and the zone remains open in this direction. Assays for hole JT20-122, a 25-metre step-out to the southwest, are pending.
The potential to continue expanding the mineralized zones at the JT deposit is considered excellent.
JOHNSON TRACT PROJECT --SIGNIFICANT NEW JT DEPOSIT AREA DRILL INTERSECTIONS Drill hole From To Length Au Ag Cu Pb Zn AuEq (metres) (metres) (metres) (g/t) (g/t) (%) (%) (%) (g/t) JT20-108 237.6 239.6 2.0 0.74 94.4 1.58 0.14 0.63 4.6 including 237.6 238.1 0.5 0.72 246.0 4.10 0.25 1.75 10.7 JT20-110 305.6 313.0 7.4 0.05 18.5 1.29 0.12 0.09 2.2 and 334.9 393.5 58.6 0.22 20.6 1.04 0.09 0.39 2.2 including 334.9 336.2 1.3 2.02 44.0 3.14 0.12 6.32 10.9 and 351.9 363.9 12.0 0.17 50.5 2.83 0.09 0.21 5.0 and 359.4 363.9 4.5 0.18 88.4 4.75 0.17 0.21 8.2 and 389.4 390.9 1.5 0.04 83.8 3.96 0.30 0.25 7.0 JT20-120 237.6 243.6 6.0 1.07 7.7 0.10 0.37 0.88 2.0 including 237.6 238.6 1.0 6.13 30.3 0.32 0.99 1.04 8.1 and 306.0 317.0 11.0 0.17 2.0 0.35 0.04 8.59 5.9 including 312.0 317.0 5.0 0.11 1.6 0.31 0.08 12.01 7.9 JT20-121 98.7 117.0 18.3 0.56 63.5 0.11 0.12 5.92 5.2 including 111.0 115.0 4.0 0.56 278.0 0.24 0.02 9.50 10.0 Notes Estimated true thickness is from 60 per cent to 90 per centt of drilled length for JT intersections and unknown for FCZ intersections. Length-weighted intervals are uncapped and calculated based on a two g/t gold equivalent cut-off. The broader interval in hole JT20-110 was calculated based on a one g/t gold equivalent cut-off for geological continuity. Gold equivalent (AuEq) is calculated by the same formula and assumptions used to report the JT deposit National Instrument 43-101 resource (effective date April 29, 2020) with metal prices of $1,350 per ounce oz gold, $16/oz silver, $2.80 per pound copper, $1.20/lb zinc and $1/lb lead and does not consider metal recoveries. COMPILATION OF SIGNIFICANT FOOTWALL COPPER-SILVER ZONE INTERSECTIONS DRILLED TO DATE Drill From To Length Cu Ag Au Pb Zn CuEq AuEq hole (metres) (metres) (metres) (%) (g/t) (g/t) (%) (%) (g/t) (g/t) JT19-089 355.2 389.1 33.9 1.59 21.6 0.14 0.14 3.44 3.4 4.8 including 364 384.7 20.7 2.38 31.9 0.18 0.10 4.86 4.9 7.0 including 366 373 7.0 4.67 66.3 0.08 0.08 9.69 9.5 13.5 JT20-096 311.1 350.2 39.1 1.64 26.3 0.19 0.15 0.69 2.3 3.3 including 311.1 323 11.9 1.79 38.3 0.31 0.36 0.9 2.8 4.0 and 329.1 343.3 14.2 2.66 34.2 0.14 0.11 1.01 3.5 5.0 including 335.2 342.3 7.1 4.42 58.8 0.17 0.22 1.92 5.9 8.4 JT20-098 391.6 395.4 3.8 2.05 41.6 0.06 0 0.02 2.5 3.5 including 391.6 392.7 1.1 5.44 110.0 0.08 0.01 0.02 6.4 9.1 JT20-100 285.5 294.5 9.0 1.44 6.9 0.1 0.16 2.77 2.8 4.0 including 285.5 287.5 2.0 3.37 11.3 0.08 0.56 4.92 5.8 8.3 JT20-103 298 304 6.0 0.94 22.9 0.07 0.04 4.47 3.1 4.4 including 301 302 1.0 2.28 67.4 0.06 0.01 18.55 10.8 15.4 and 341.8 348 6.2 1.13 14.7 0.76 0.01 0.62 2.1 2.9 JT20-110 305.6 313 7.4 1.29 18.5 0.05 0.12 0.09 1.5 2.2 and 334.9 393.5 58.6 1.04 20.6 0.22 0.09 0.39 1.5 2.2 including 334.9 336.2 1.3 3.14 44.0 2.02 0.12 6.32 7.7 10.9 and 351.9 363.9 12.0 2.83 50.5 0.17 0.09 0.21 3.5 5.0 and 359.4 363.9 4.5 4.75 88.4 0.18 0.17 0.21 5.8 8.2 and 389.4 390.9 1.5 3.96 83.8 0.04 0.3 0.25 4.9 7.0 Notes Length-weighted intervals are uncapped. Copper equivalent (CuEq) and gold equivalent (AuEq) are calculated by the same formula and assumptions used to report the JT deposit NI 43-101 resource (effective date April 29, 2020) with metal prices of $1,350/oz gold, $16/oz silver, $2.80/lb copper, $1.20/lb zinc and $1/lb lead and does not consider metal recoveries.
Assay results for an additional three drill holes, JT20-097, JT20-101 and JT20-105, have been received for the Northeast Offset target (NEO), located 500 to 800 metres northeast of the JT deposit. Significant results include 0.7 metre at 31.2 per cent Zn, 0.1 g/t Au, two g/t Ag, less than 0.1 per cent Cu (19.2 g/t AuEq) in JT20-101, and 0.8 metre at 3.0 g/t Au, seven g/t Ag, 2.0 per cent Cu, 3.1 per cent Zn (7.9 g/t AuEq) in JT20-105. Assay results for an additional four holes remain outstanding for NEO.
The narrow intercepts reported to date for NEO are interpreted as distal-type mineralization similar to that found peripheral to the main JT deposit. Taken together with historic results and geological observations of the nine holes completed this year at NEO, the company currently interprets less offset along the Dacite fault than was originally estimated. Large gaps in drilling exist between the JT deposit and the NEO target and these areas will be a focus for drill planning in 2021 to target fault-displaced extensions of the JT deposit.
At the North trend target, results have been received for three drill holes: JT20-099, JT20-104, and JT20-107. Anomalous gold values were intersected in JT20-099, including 6.0 metres at 0.7 g/t Au, eight g/t Ag, 0.2 per cent Cu and 0.4 per cent Zn (1.5 g/t AuEq). No significant mineralized intervals were intersected in holes JT20-104 or JT20-107.
About the Johnson Tract gold project
Johnson Tract is a polymetallic (gold, copper, zinc, silver and lead) project located near tidewater, 125 miles (200 kilometres) southwest of Anchorage, Alaska. The 21,000-acre property includes the high-grade Johnson Tract deposit and at least nine other mineral prospects over a 12-kilometre strike length. Highgold acquired the project through a lease agreement with Cook Inlet Region Inc. (CIRI), one of 12 land-based Alaska native regional corporations created by the Alaska Native Claims Settlement Act of 1971. CIRI is owned by more than 9,100 shareholders who are primarily of Alaska native descent.
Mineralization at Johnson Tract occurs in Jurassic-age intermediate volcaniclastic rocks and is characterized as epithermal-type with submarine volcanogenic attributes. The JT deposit is a thick, steeply dipping silicified body (20 m to 50 m average true thickness) that contains a stockwork of quartz-sulphide veinlets and brecciation, cutting through and surrounded by a widespread zone of anhydrite alteration. The Footwall copper zone is located structurally and stratigraphically below the JT deposit and is characterized by copper-silver rich mineralization.
The JT deposit hosts an indicated resource of 2.14 million tonnes grading 10.93 g/t gold equivalent (AuEq) comprising 6.07 g/t Au, 5.8 g/t Ag, 0.57 per cent Cu, 0.80 per cent Pb and 5.85 per cent Zn. The inferred resource of 580,000 tonnes grading 7.16 g/t AuEq comprises 2.05 g/t Au, 8.7 g/t Ag, 0.54 per cent Cu, 0.33 per cent Pb and 6.67 per cent Zn. For additional details see technical report titled “Initial Mineral Resource Estimate for the Johnson Tract Project, Alaska,” dated June 15, 2020. Gold equivalent is based on assumed metal prices and 100-per-cent recovery and payabilities for Au, Ag, Cu, Pb and Zn. Assumed metal prices are $1,350 (U.S.) per ounce for gold (Au), $16 (U.S.)/oz for silver (Ag), $2.80 (U.S.) per pound for copper (Cu), $1 (U.S.)/lb for lead (Pb) and $1.20 (U.S.)/lb for zinc (Zn) and are based on nominal three-year trailing averages as of April 1, 2020. Historical metallurgical testing on drill core samples has indicated that good gold and base metal recoveries and marketable concentrates can be expected, with concentrates that are low in deleterious elements.
Prior to Highgold, the project was last explored in the mid-1990s by a mid-tier mining company that evaluated direct shipping material from Johnson to the Premier mill near Stewart, B.C.
QMX suitor Eldorado offers $132M in cash, shares
Eldorado Gold Corp. and QMX Gold Corp. have entered into a definitive arrangement agreement pursuant to which Eldorado will acquire all of the outstanding shares of QMX (not already owned by Eldorado) for total consideration of approximately $132-million on a 100-per-cent and fully diluted basis or 30 cents per QMX share. Eldorado currently owns 68,125,000 shares of QMX, or approximately 17 per cent of QMX shares outstanding, which it purchased at six cents per share in a private placement on Dec. 30, 2019.Read More
Under the terms of the arrangement, each holder of QMX shares will receive, for each QMX share held, (i) 7.5 cents in cash and (ii) 0.01523 of an Eldorado common share, for total consideration of 30 cents per QMX share (based on Eldorado’s closing price on Jan. 20, 2021). The arrangement consideration represents a 39.5-per-cent premium to the closing price of QMX shares on the TSX Venture Exchange on Jan. 20, 2021.
Following the completion of the arrangement, QMX shareholders will own approximately 2.8 per cent of the issued and outstanding shares of Eldorado.
Benefits to QMX shareholders
- Attractive premium of 39.5 per cent to the closing price of the QMX shares on the TSX-V on Jan. 20, 2021;
- Continuing exposure to QMX’s land package and subsequent value creation opportunities through a broader consolidated operating camp in the eastern Abitibi;
- Exposure to Eldorado’s portfolio of high-quality mines and development projects;
- Access to Eldorado’s technical, project development and operating capabilities, as well as financial resources;
- Potential for value accretion through a revaluation in Eldorado’s share price as Eldorado continues to deliver and derisk its combined asset portfolio.
Brad Humphrey, president and chief executive officer of QMX, commented: “In 2016, we set to refocus QMX into a premier exploration company to maximize the value of our Val d’Or property. I am proud to say that this transaction is a testament to all the hard work and effort that the QMX team has put in over the years, and in particular, a testament to the success and strength of the QMX exploration team in Val d’Or. In addition, QMX could not have achieved its success to date without a number of supportive stakeholders.
“After evaluating the terms of the transaction, management and the board of directors of QMX view this transaction as beneficial for all shareholders as it provides immediate value for their support and the opportunity to continue to benefit as part of an established and well financed gold producer.”
Strategic rationale for Eldorado
- Significantly increases Eldorado’s footprint and landholdings in the Abitibi greenstone belt by approximately 550 per cent, consistent with its strategy to invest in world-class mining jurisdictions where it currently operates;
- Adds a pipeline of additional organic opportunities proximal to Lamaque, which can be exploited by leveraging existing infrastructure and the company’s strong operational, exploration and stakeholder expertise;
- Enhances Eldorado’s overall risk profile through the addition of future growth prospects in one of the top mining jurisdictions in the world;
- Underscores Eldorado’s long-term commitment to Quebec and Canada as a core jurisdiction.
“This transaction expands our position in the Abitibi camp and is consistent with our strategy of pursuing growth at Lamaque in Quebec, a high-quality existing jurisdiction,” said George Burns, Eldorado’s president and chief executive officer. “QMX’s highly prospective land package is ideally located immediately adjacent to our current Lamaque operation and associated exploration projects in the heart of the Val d’Or gold district. Eldorado’s growing financial flexibility will enable us to continue to identify and secure opportunities for prudent growth within our operating footprint.”
Transaction conditions and timing
QMX intends to call a meeting of shareholders to be held in March, 2021, to seek shareholder approval for the arrangement. The transaction will be effected by way of a court-approved plan of arrangement under Section 182 of the Business Corporations Act (Ontario) and will require:
- Approval of at least 66-2/3rds per cent of the votes cast by QMX shareholders;
- A simple majority of the votes cast by QMX shareholders, excluding votes from certain shareholders, including Eldorado, as required under Multilateral Instrument 61-101.
The completion of the transaction is also subject to the receipt of court, stock exchange and any other required regulatory approvals, and is subject to certain customary closing conditions for transactions of this nature. The arrangement does not require the approval of the shareholders of Eldorado.
The agreement provides for, among other things, non-solicitation covenants, with fiduciary out provisions that allow QMX to consider and accept a superior proposal, subject to a right to match period in favour of Eldorado. The agreement also provides for a termination fee of $6.6-million to be paid by QMX to Eldorado if the agreement is terminated in certain specified circumstances.
The directors and senior officers of QMX, holding in aggregate over 1 per cent of the issued and outstanding common shares of QMX, have entered into voting support agreements with Eldorado, pursuant to which they have agreed to vote their shares in favour of the transaction. Together with shares already owned or held by Eldorado, approximately 18 per cent of QMX’s issued and outstanding shares would be voted in support of the arrangement.
The companies are working toward closing the transaction in late March/early April, 2021.
Board approval and recommendation
The special committee of independent directors of QMX has received an opinion from Canaccord Genuity Corp. that, based upon and subject to the limitations, assumptions and qualifications of and other matters considered in connection with the preparation of such opinion, the consideration to be received by QMX shareholders (other than Eldorado) pursuant to the arrangement is fair, from a financial point of view, to the QMX shareholders (other than Eldorado).
Following its review and in consideration of, amongst other things, the fairness opinion, the special committee has unanimously recommended that the board of directors of QMX approve the arrangement. The QMX board, following the receipt and review of recommendations from the special committee, has approved the agreement and the arrangement and has determined that the arrangement is fair to shareholders of QMX (other than Eldorado) and is in the best interests of QMX, and recommends to shareholders that they vote in favour of the arrangement.
The agreement has also been unanimously approved by the board of directors of Eldorado.
Warrants and options
Pursuant to the arrangement, each QMX stock option outstanding immediately prior to the effective time of the arrangement shall automatically vest and be immediately cancelled in exchange for a cash payment equal to the excess, if any, of: (i) the product of the number of QMX shares underlying such QMX option and 30 cents; over (ii) the applicable aggregate exercise price of such QMX options. All QMX warrants outstanding immediately prior to the effective time will remain outstanding and, following the effective time, shall entitle the holder thereof to receive, upon the subsequent exercise of such holder’s QMX warrant in accordance with its terms, in lieu of each QMX share to which such holder was theretofore entitled upon such exercise but for the same aggregate consideration payable therefor, the arrangement consideration.
Advisers and counsel
Eldorado has engaged Trinity Advisors Corp. as its financial adviser and Fasken Martineau DuMoulin LLP as its legal adviser in connection with the transaction.
Canaccord Genuity Corp. is acting as financial adviser to the QMX special committee and Wildeboer Dellelce LLP is acting as legal adviser to QMX and the special committee in connection with the transaction.
Full details of the arrangement are set out in the agreement, which will be filed by QMX under its profile on SEDAR. In addition, further information regarding the arrangement will be contained in a management information circular to be prepared in connection with the meeting and filed on SEDAR at the time that it is mailed to shareholders. All shareholders are urged to read the management information circular once it becomes available as it will contain additional important information concerning the arrangement.
About Eldorado Gold Corp.
Eldorado is a gold and base metals producer with mining, development and exploration operations in Turkey, Canada, Greece, Romania and Brazil. The company has a highly skilled and dedicated work force, safe and responsible operations, a portfolio of high-quality assets, and long-term partnerships with local communities. Eldorado’s common shares trade on the Toronto Stock Exchange and the New York Stock Exchange.
About QMX Gold Corp.
QMX Gold is a Canadian-based resource company traded on the TSX Venture Exchange under the symbol QMX. QMX is systematically exploring its extensive property position in the Val d’Or mining camp in the Abitibi district of Quebec. QMX is currently drilling in the Val d’Or East portion of its land package focused on the Bonnefond deposit and in the Bourlamaque batholith. In addition to its extensive land package QMX owns the strategically located Aurbel gold mill and tailings facility.
GR Silver Mining appoints Catchpole as exploration VP
GR Silver Mining Ltd. has appointed Dr. Honza Catchpole as vice-president of exploration, effective Jan. 20, 2021.Read More
Dr. Catchpole has extensive experience working in Mexico, USA, Canada, Andean South America and Europe, mainly with porphyry Cu, skarn (Zn-Pb-Ag-Cu), epithermal precious (Au-Ag) and base metal (Ag-Zn-Pb-Cu) deposits. Dr. Catchpole has worked in project generation, exploration and project evaluation of precious metal and porphyry Cu projects for Teck Resources Limited (“Teck”), Vale Exploration Canada and Sumitomo Metal Mining Canada. Dr. Catchpole has been directly involved in designing, planning and executing drill programs, as well as managing greenfield and reconnaissance stage projects in Mexico. Dr. Catchpole comes to GR Silver Mining from Teck where he was project manager and geoscience lead at the San Nicolas VHMS deposit in Zacatecas, Mexico, currently at pre-feasibility stage. His background in geologic, alteration and structural mapping (surface and underground) in Andean volcanic arc settings with good understanding of hydrothermal alteration and mineralization is a valuable addition to the GR Silver Mining exploration team.
Honza Catchpole received his Ph.D. in Earth Sciences from the University of Geneva, Switzerland. His research focused on the relationship of zoned epithermal silver and base metal mineralization to porphyry-type mineral deposits at Morococha, central Peru.
Dr. Catchpole is a Professional Geologist (P. Geo) registered with the Association of Professional Engineers and Geoscientists of the Province of British Columbia and a Qualified Person within the meaning of National Instrument 43-101.
GR Silver Mining President and CEO, Marcio Fonseca, commented, “We are very excited to have attracted a highly qualified geoscientist with extensive experience in large polymetallic silver mining districts and all key stages of successful exploration programs to join GR Silver Mining in Mexico. Dr. Catchpole’s knowledge and experience working in Latin America’s world class mining districts is a valuable component for the upcoming exploration program in our projects.”
Concurrent with the appointment of Dr. Catchpole as VP Exploration, Trevor Woolfe is stepping down as VP Exploration and will remain with the Company as VP Corporate Development.
The Company also announces that, pursuant to its 10% rolling stock option plan and in compliance with the policies of the TSX Venture Exchange, it has granted incentive stock options to certain directors, officers, consultants and employees of the Company and its Mexican subsidiaries, to purchase up to an aggregate of 2,405,000 common shares of the Company. These options are exercisable for a period of five years at a price of $0.74 per share. Of these options, 1,450,000 options granted to certain directors and officers of the Company will vest as to 1/3 on the date of grant, and a further 1/3 on each of the 1st and 2nd anniversaries of the date of grant.
The Company has also negotiated a debt settlement with an arm’s-length creditor. Pursuant to the debt settlement agreement and subject to acceptance by the TSX Venture Exchange, the Company has settled debt of US$82,500 (CAD$104,412) in consideration for which it will issue an aggregate of 141,097 common shares at a deemed price of CAD$0.74 per share.
About GR Silver Mining Ltd.
GR Silver Mining Ltd. is a Mexico-focused company engaged in cost-effective silver-gold resource expansion on its key assets which lie on the eastern edge of the Rosario Mining District, Sinaloa, Mexico.
PLOMOSAS SILVER PROJECT
GR Silver Mining owns 100% of the Plomosas Silver Project located near the historic mining village of La Rastra, within the Rosario Mining District. The Project is a past-producing asset where only one mine, the Plomosas silver-gold-lead-zinc underground mine, operated a 600 tpd crush milling flotation circuit from 1986 to 2001, producing approximately 8 million ounces of silver, 73 million pounds of lead and 28 million pounds of zinc.
The Project has an 8,515-hectare property position and is strategically located within 5 km of the Company’s San Marcial Silver Project in the southeast of Sinaloa State, Mexico.
The March 2020 acquisition of the Plomosas Silver Project included 563 historical and recent drill holes from both surface and underground locations. These drill holes represent an extensive database allowing the Company to advance towards resource estimation and potential project development in the near future.
The Company has commenced an 11,900 m drilling program with surface holes focused on expanding known mineralization along strike in two initial areas, the Plomosas Mine Area and the San Juan Area. Underground drilling included in the program will target the extension of recent polymetallic discoveries at the lowest level (775 m RL, or ~250 m below surface) of the Plomosas Mine Area and six low sulfidation epithermal veins at San Juan Area. Both areas will be the subject of NI 43-101 resource estimations following completion of this drill program.
The 100%-owned assets include all facilities and infrastructure including: access roads, surface rights agreement, water use permit, 8,000 m of underground workings, water access, 60 km – 33 KV power line, offices, shops, 120-person camp, infirmary, warehouses and assay lab representing approximately US$30 million of previous capital investments. The previous owners invested approximately US$18 million in exploration, including extensive geophysics and geochemistry programs.
The silver and gold mineralization on this Project display the alteration, textures, mineralogy and deposit geometry characteristics of a low sulfidation epithermal silver-gold-base metal vein/breccia mineralized system. Previous exploration was focused on Pb-Zn-Ag-Au polymetallic shallow mineralization, hosted in NW-SE structures in the vicinity of the Plomosas mine. The E-W portion of the mineralization and extensions for the main N-S Plomosas fault remain under-explored.
In addition to the resource potential at Plomosas, a review of the existing drill hole database, geophysical surveys and geochemical data covering most of the concession, has defined 16 new exploration targets from which 11 have high priority for future exploration programs.
SAN MARCIAL PROJECT
San Marcial is a near-surface, high-grade silver-lead-zinc open pit-amenable project, which contains a 36 Moz AgEq (Indicated) and 11 Moz AgEq (Inferred) NI 43-101 resource estimate. The company recently completed over 320 m of underground development in the San Marcial Resource Area, from which underground drilling is planned to expand the high-grade portions of the resource down dip. The Company recently discovered additional mineralization in the footwall, outside of the existing resource, and will also be drilling this area. GR Silver Mining is the first company to conduct exploration at San Marcial in over 10 years. The NI 43-101 resource estimate (San Marcial Project – Resource Estimation and Technical Report) was completed by WSP Canada Inc. on March 18, 2019 and amended on June 10, 2020.
Recent exploration has identified silver and gold mineralization in areas previously defined as non-mineralized, discovering evidence of pervasively altered rocks with intense silicification, veining and associated wide, silver and gold mineralized zones on the footwall of the NI 43-101 resource.
Plomosas and San Marcial collectively represent a geological setting resembling the multimillion-ounce San Dimas Mining District which has historically produced more than 600 Moz silver and 11 Moz gold over a period of more than 100 years.
GR Silver Mining’s other projects are situated in areas attractive for future discoveries and development in the same vicinity of Plomosas and San Marcial in the Rosario Mining District.
Orea Mining closes $1.4-million financing
Orea Mining Corp. has closed its non-brokered private placement previously announced on Jan. 14, 2021.Read More
The Private Placement was oversubscribed, raising gross proceeds of CAD$1,400,000 through the issuance of 8,235,294 units at a price of CAD$0.17 per unit. Each unit is comprised of one common share of Orea (a “Share”), and a half warrant. Each full warrant entitles the holder, on exercise, to purchase one Share at a price of CAD$0.30 for a period of 18 months from the closing date of the Private Placement. An aggregate of 548,471 units has been paid in finders’ fees. The securities issued in the Private Placement are subject to a hold period expiring on May 22, 2021.
The proceeds of the Private Placement will be used for general working capital purposes.
The securities offered have not been, and will not be, registered under the U.S. Securities Act of 1933, as amended (the “U.S. Securities Act”) or any U.S. state securities laws, and may not be offered or sold in the United States or to, or for the account or benefit of, United States persons absent registration or any applicable exemption from the registration requirements of the U.S. Securities Act and applicable U.S. state securities laws. This press release does not constitute an offer to sell or the solicitation of an offer to buy securities in the United States, nor in any other jurisdiction.
Orea is a leading gold exploration and development company operating in a prospective and underexplored segment of the Guiana Shield, South America. Its mission is to develop gold deposits with a reduced environmental footprint using innovative technologies, upholding the highest international standards for responsible mining. In French Guiana, Orea holds a major interest in the world-class Montagne d’Or mine development project. It is also advancing the Maripa gold exploration project.
American Manganese prepares reactor for production
American Manganese Inc.’s specialized cathode reactor is being prepared to produce its first test batch of cathode precursor materials. American Manganese acquired the specialized reactor for cathode precursor production, which is a valuable input for lithium-ion battery manufacturing. The reactor is capable of producing modern cathode materials such as lithium-nickel-manganese-cobalt oxide (NMC) and lithium-nickel-cobalt-aluminum oxide (NCA), both of which are commonly used in electric vehicle batteries.Read More
To achieve the modern cathode material’s high-quality standards and to ensure testing conditions are not contaminated, American Manganese has prepared a specialized and controlled testing area for the reactor. The reactor will first undergo water testing before introducing the purified NMC and NCA leach solutions that were produced during the RecycLiCo pilot plant’s patented leach stages.
American Manganese will report results of the independent analytical testing performed on the test batch and will also prepare samples of the produced NMC and NCA cathode precursor for independent performance validation by all interested third party organizations.
The National Research Council of Canada industrial research assistance program (NRC IRAP) has provided support and funding for this technical feasibility project, formally known as synthesis of cathode material precursors from recycled battery scrap.
“The production of high-quality cathode precursor material, in a minimal number of steps, lends added value to our recycled product and shows the viability of our closed-loop recycling method,” said Larry Reaugh, president and chief executive officer of American Manganese. “The engineering and process parameter experiments throughout our pilot plant project offer a valuable tool to incorporate into larger commercial projects.”
About American Manganese Inc.
American Manganese is a critical metals company focused on recycling of lithium-ion batteries (RecycLiCo) and the production of electrolytic manganese metal from low-grade United States resources. The recycling process provides high extraction of cathode metals, such as lithium, cobalt, nickel, manganese and aluminum at high purity, with minimal processing steps. American Manganese aims to commercialize its breakthrough RecycLiCo patented process and become an industry leader in recycling cathode materials from lithium-ion battery manufacturing waste.
Cartier Resources begins drilling 30,000 m at Benoist
Cartier Resources Inc. has commenced drilling on the Benoist property, located 65 kilometres northeast of Lebel-sur-Quevillon in the province of Quebec. The program follows the maiden NI 43-101 resource estimate published Dec. 17, 2020. Two drill rigs with directional drilling crews will be employed to complete the four-phase program for a total of roughly 30,000 metres.Read More
- The Pusticamica deposit has the characteristics required for a bulk tonnage approach as evidenced, among other things, by the geometry of the deposit, polymetallic mineralization and the results of the maiden resource estimate on which the drilling program is based;
- The National Instrument 43-101 resource estimate for the Pusticamica gold deposit on the Benoist property was produced using a gold price of $1,610 (U.S.) per ounce and a cut-off grade of 1.5 grams per tonne gold equivalent:
- 1,455,400 tonnes at an average grade of 2.87 g/t AuEq for a total of 134,400 ounces of gold in the indicated resource category; and
- 1,449,600 tonnes at an average grade of 2.30 g/t AuEq for a total of 107,000 ounces of gold in the inferred resource category.
- Drilling aims to expand the resource of the Pusticamica deposit and discover new deposits peripheral to the known mineralization.
Note — The estimate, completed and made available on Dec. 16, 2020, was carried out by Christine Beausoleil, PGeo, and Claude Savard, PGeo, of InnovExplo Inc., independent qualified persons within the meaning of NI 43-101. The full report is expected to be filed on or before Jan. 29, 2021, on SEDAR.
The current controlled directional drilling program consists of four phases totalling approximately 30,000 metres. These phases are as follows:
- Phase one: Delimit by drilling the extension of the mineralization of the Pusticamica deposit between 350-metre and 650-metre depth;
- Phase two: Delimit by drilling the extension of the mineralization of the Pusticamica deposit between 650-metre and 1,300-metre depth;
- Phase three: Explore the potential peripheral to the Pusticamica deposit to discover additional deposits. A total of five potential sectors will be drilled. The targets, located between 150 metres and 450 metres, consist of OreVision IP type anomalies, with a geophysical signature similar to that of the Pusticamica deposit. All of these anomalous sectors are found inside the favourable auriferous corridor known over a strike length of 2,200 metres. Three of these anomalous sectors are directly located in the eastern and western extensions of the Pusticamica deposit; and
- Phase four: Define the upper part (30 metres to 350 metres) of the deposit to increase the resources and collect mineralization aimed at carrying out technical tests to optimize the value of the project from the metallurgical aspects as well as industrial sorting of the mineralization.
” Cartier is making progress on several fronts at the moment and we anticipate positive results on the Chimo mine project as well as the recently launched Benoist drill program. We believe this course of action will reward our shareholders in the coming months,” commented Philippe Cloutier, president and chief executive officer.
Features of the Benoist project
- The Benoist property hosts the Pusticamica gold deposit, which also contains copper and silver concentrations;
- This mineralization has all the typical characteristics sought by Cartier and, as at the Chimo mine project, could rapidly outline high-tonnage mineralization;
- Cartier holds a 100-per-cent interest in the property for which 2.5-per-cent net smelter return royalties have been awarded, of which 2 per cent is redeemable at any time for $2-million;
- The property, which is accessible year-round via forestry road 3,000, is located near the mills of the Langlois and Bachelor mines and the future mill of Osisko Mining’s Windfall project; and
- Work to date on the property consists of 93 drill holes totalling 32,356 metres, resulting in 14,243 samples collected over a sampled length of 14,647 metres.
About Cartier Resources Inc.
Cartier Resources, founded in 2006, is based in Val d’Or, Que. The province has consistently ranked as one of the world’s best mining jurisdictions, primarily because of its favourable geology, attractive fiscal environment and pro-mining government.
- The company has a strong cash position with more than $12.9-million and a significant corporate and institutional endorsement, including Agnico Eagle Mines, Jupiter Asset Management and Quebec investment funds.
- Cartier’s strategy is to focus on gold projects with features that offer the potential for rapid growth.
- The company holds a portfolio of exploration projects in the Abitibi greenstone belt of Quebec, one of the world’s most prolific mining regions.
- The company’s focus is to advance its four key projects through drilling programs. All of the projects were acquired at reasonable costs in recent years and are drill-ready with targets along the geometric extensions of gold deposits.
- Exploration work is currently focused on the Chimo mine and Benoist properties to maximize value for investors. The company is preparing the next phase of exploration work, which will entail drilling programs on Fenton and Wilson properties.
The scientific and technical information in this news release was prepared and reviewed by Gaetan Lavalliere, PGeo, PhD, Cartier’s vice-president, and Ronan Deroff, PGeo, MSc, Cartier’s senior geologist, project manager and geomatician, both qualified persons as defined in NI 43-101. Mr. Lavalliere approved the information contained in this press release.
Greencastle closes $100,000 private placement
Greencastle Resources Ltd. has closed its previously announced non-brokered private placement through the issuance of an aggregate of one million units of the company at a price of 10 cents per unit for gross proceeds of $100,000.Read More
Each Unit is comprised of one common share in the capital of the Company (each a “Common Share”) and one Common Share purchase warrant (each, a “Warrant”). Each Warrant entitles the holder thereof to acquire one Common Share at an exercise price of C$0.15 at any time on or before January 21, 2024. The net proceeds from the Offering will be used for general corporate and working capital purposes. The securities issued in connection with the Offering are subject to a statutory hold period of four months and one day in accordance with applicable securities laws.
The securities offered have not been, and will not be, registered under the United States Securities Act of 1933, as amended (the “U.S. Securities Act”) or any U.S. state securities laws, and may not be offered or sold in the United States or to, or for the account or benefit of, United States persons absent registration or an applicable exemption from the registration requirements of the U.S. Securities Act and applicable U.S. state securities laws. This press release does not constitute an offer to sell or the solicitation of an offer to buy securities in the United States, nor in any other jurisdiction.
Frontier Lithium plans phase IX drilling at PAK
Frontier Lithium Inc. is planning a phase IX diamond drill program on the PAK lithium project, located in the Red Lake area of Northwestern Ontario. The imminent 3,000 metre diamond drill program is driven by recommendations from a pre-economic assessment (PEA) report that is currently under way. The 15-hole program is designed to primarily upgrade the 12.2 million tonnes (MT) of inferred resource on the Spark deposit to indicated and measured categories as well as to step-out on the known resource for potential expansion. The PAK lithium project contains Ontario’s highest-grade and largest lithium resource which is located in an emerging premium lithium mineral district referred to as the “Electric Avenue” that is located in the Great Lakes region of Northern Ontario.Read More
The drill program’s secondary purpose is to collect essential data to finalize geotechnical and geomechanical parameters required for further PAK lithium project feasibility to assess the viability of a vertically integrated lithium mining and chemicals business.
The program will commence in early February, 2021, whereby a minimum of 3,000 metres will be drilled over an estimated 15 diamond drill holes. Drilling operations will cease during spring break up and recommence in May, 2021.
“Since the Spark deposit has a large surface exposure, broad mineralized zones and remains open in all directions we are confident that Spark could surpass the 9.2-million-tonne measured and indicated resource of the PAK deposit,” stated Garth Drever, vice-president of exploration.
Trevor Walker, the company’s president and chief executive officer, stated: “The Frontier Lithium team is proud to have worked relentlessly since the discovery of our PAK lithium deposit in 2013. Two thousand twenty was a transformational year for Frontier despite recent depressed market conditions for the lithium industry. We have advanced and derisked the project on multiple fronts; exploration leading to new discoveries, starting development stage engineering work, early results from our applied research and development work, and enhancements on our corporate development.”
- Spark deposit — Frontier expands its PAK lithium project with a maiden resource estimate for the Spark pegmatite including 3.2 MT in indicated and 12.2 MT in the inferred categories.
- Frontier Lithium awarded 2019 Bernie Schneiders Discovery of the Year from the Northwestern Ontario Prospectors Association (NWOPA) for the Spark discovery.
- Pennock showing — Electric Avenue target 25 kilometres from the PAK and Spark deposits, confirmed by channel sampling 16 metres of 2 per cent Li2O.
- Bolt — Frontier discovers a new spodumene-bearing pegmatite bolt between the PAK and Spark deposits with initial channel sampling that has resulted in 1.5 per cent Li2O over 36.4 m.
Mine development work
- The company initiated a preliminary economic assessment study to demonstrate the project’s full potential by leveraging its high-quality, low-impurity resource to produce premium spodumene concentrates and to introduce Frontier as a future fully integrated, lithium hydroxide supplier to the emerging electric vehicle and lithium battery market.
- Initiated a preliminary engineering study, application for permits for a possible demonstration scale concentrator plant.
Lithium products testwork
- Spodumene concentrate — Frontier Lithium has successfully produced rare 7.2 per cent Li2O technical grade spodumene concentrate samples with life of mine sample from PAK. Samples have been qualified by global industrial premium glass makers.
- Lithium hydroxide (LiOH) — Frontier has successfully produced lithium hydroxide at the bench-scale from the PAK lithium project.
- The company has added Steve J.J. Letwin, an industry veteran, to its board of directors.
Objectives for 2021
In 2021, the focus will be to advance feasibility studies on the PAK lithium project on a fully integrated concept for mine, mill and chemical plant. Concurrently, diamond drilling, mini-piloting of chemicals testwork and demonstration concentrator decision will be made in the year. More specific objectives are as follows:
- Announce PEA results in February and report in March;
- Conduct diamond drilling with minimum of 3,000 metres of diamond drilling winter/spring to upgrade Spark deposit, also targeting a possible increase in size;
- Based on positive PEA scenario and lithium chemicals mini-pilot plant operations results, initiate preliminary feasibility study of fully integrated operations;
- Continue discussions with strategic partners and key players of the lithium market, including users of premium concentrates and chemicals;
- Complete permitting process for advanced exploration sample, conclude engineering study and make construction decision for demonstration scale concentrator at the PAK lithium project;
- To remain an exemplary ESG (environmental, social and governance) positive project with specific focus of the first nations peoples in the project area by increasing their involvement with further development of the project.
All scientific and technical information in this release has been reviewed and approved by Garth Drever, PGeo, the qualified person (QP) under the definitions established by National Instrument 43-101.
About Frontier Lithium Inc.
Frontier Lithium is a Sudbury-based, publicly listed junior mining company with the largest land position in an emerging premium lithium mineral district located in the Great Lakes region of Northern Ontario. The company maintains a 100-per-cent interest in the PAK lithium project, which contains one of North America’s highest-grade, large-tonnage hard-rock lithium resources in the form of a rare low-iron spodumene. The project has significant upside exploration potential. Frontier Lithium is a preproduction business that has recently commenced a preliminary economic assessment study targeting the manufacturing of battery-quality lithium hydroxide in the Great Lakes region to support electric vehicle and battery supply chains in North America. Frontier maintains a tight share structure, with management owning approximately 30 per cent of the company.
About the PAK lithium project
The PAK lithium project encompasses 26,774 hectares at the south end of Ontario’s Electric Avenue, which is the largest land package hosting lithium-bearing pegmatites in Ontario. The project covers 65 kilometres of the Electric Avenue’s length and remains largely unexplored; however, since 2013, the company has delineated two premium spodumene-bearing lithium deposits, located 2.3 kilometres from each other at the southwestern end of the project. Recently, Frontier confirmed the presence of spodumene with the Pennock Lake pegmatite occurrence, which is located 30 kilometres farther along Frontier’s PAK lithium project. Frontier’s premier Great Lakes location is advantaged by favourable geology, proven metallurgy with access to intermodal hubs, infrastructure, power and mining, along with downstream lithium processing expertise and auto OEMs (original equipment manufacturers).
The PAK deposit has a mineral reserve in the proven and probable categories of 5.77 million tonnes averaging 2.06 per cent lithium oxide. The deposit hosts a rare technical/ceramic-grade spodumene with low inherent iron (below 0.1 per cent iron oxide). The Spark deposit has a mineral resource estimate of 3.2 million tonnes averaging 1.59 per cent Li2O (indicated) and 12.2 million tonnes averaging 1.36 per cent Li2O (inferred), as per the NI 43-101 technical report titled “PAK prefeasibility study, Spark resource estimation,” by WSP Canada Inc. and Nordmin Engineering Ltd., updated on March 23, 2020. The company recently initiated a preliminary economic assessment study for a fully integrated project producing lithium hydroxide from the PAK lithium project.
Eloro Resources prospectus offering
Effective Dec. 30, 2020, the company’s final short form prospectus dated Dec. 29, 2020, qualifying the distribution of up to 3,548,400 units of the company, excluding underwriters’ overallotment option, was filed with and accepted by the TSX Venture Exchange, and filed with and receipted by the Ontario Securities Commission as principal regulator. Under Multilateral Instrument 11-102, Passport System, the prospectus is deemed to have been filed with and receipted by each of the British Columbia, Alberta, Saskatchewan, Manitoba, New Brunswick, Nova Scotia, Prince Edward Island, and Newfoundland and Labrador securities commissions.Read More
The exchange has been advised that closing occurred on Jan. 5, 2021, for aggregate gross proceeds of $6,325,023 (including the underwriters’ overallotment option, which was exercised in full).
Offering: 4,080,660 units (including 532,260 units under the underwriters’ overallotment option) (Each unit consists of one common share and one-half of one common share purchase warrant, with each whole warrant being exercisable into one common share at $2 for a 24-month period.)
Unit price: $1.55 per unit
Underwriters: Haywood Securities Inc. and Echelon Wealth Partners Inc.
Underwriters’ commissions: an aggregate of $442,751.61 in cash and 285,646 non-transferable broker warrants (Each broker warrant entitles the holder to acquire one common share at $1.55 for a 24-month period.)
For further details, please refer to the company’s short form prospectus dated Dec. 29, 2020, and news releases dated Dec. 9, 2020, Dec. 30, 2020, and Jan. 5, 2021.
Critical Elements arranges $10-million financing
Critical Elements Lithium Corp. has entered into an agreement with Paradigm Capital Inc. and Cantor Fitzgerald Canada Corp. (the co-lead underwriters), on behalf of a syndicate of underwriters, in connection with a bought deal private placement offering of 9,091,000 units of the corporation to be issued at $1.10 per unit for gross proceeds of $10,000,100.Read More
Each unit of the corporation will consist of one common share in the capital of the corporation and one-half of one common share purchase warrant. Each whole warrant will entitle the holder thereof to purchase one common share at a price of $1.75 for a period of two years following the closing date.
In addition, the underwriters have been granted an option to purchase up to 2,272,750 additional units at the issue price.
The net proceeds from the offering will be primarily used for exploration and development, and general working capital purposes.
The offering is expected to close on or about Feb. 11, 2021, and is subject to certain closing conditions, including, but not limited to, the receipt of all necessary approvals, including the conditional listing approval of the TSX Venture Exchange. The securities issued under the offering will be subject to a hold period in Canada expiring four months and one day from the closing date of the offering. The offering is subject to final acceptance of the TSX-V.
About Critical Elements Lithium Corp.
Primero Group recently completed the first phase of its early contractor involvement agreement with the corporation and provided a guaranteed maximum price for the engineering, procurement and construction of the wholly owned Rose lithium-tantalum project on a lump-sum turnkey basis that is in line with the project feasibility study published Nov. 29, 2017. The project feasibility study is based on price forecasts of $750 (U.S.) per tonne for chemical-grade lithium concentrate (5 per cent Li2O), $1,500 (U.S.) per tonne for technical-grade lithium concentrate (6 per cent Li2O) and $130 (U.S.) per kilogram for Ta2O5 in tantalite concentrate, and an exchange rate of 75 U.S. cents to $1 (Canadian). The internal rate of return (IRR) for the project is estimated at 34.9 per cent after tax and the net present value (NPV) is estimated at $726-million (Canadian) at a discount rate of 8 per cent. The estimated payback period is 2.8 years. The pretax IRR for the project is estimated at 48.2 per cent and the pretax NPV at $1,257-million (Canadian) at a discount rate of 8 per cent (see news release dated Sept. 6, 2017). The financial analysis is based on the indicated mineral resource. An indicated mineral resource is that part of a mineral resource for which quantity, grade or quality, densities, shape, and physical characteristics can be estimated with a level of confidence sufficient to allow the appropriate application of technical and economic parameters, to support mine planning and evaluation of the economic viability of the deposit. The life-of-mine (LOM) plan provides for the extraction of 26.8 million tonnes of ore, 182.4 million tonnes of waste and 11.0 million tonnes of overburden for a total of 220.2 million tonnes of material. The average stripping ratio is 7.2 tonnes per tonne of ore. The nominal production rate is estimated at 4,600 tonnes per day, with 350 operating days per year. The open-pit mining schedule allows for a 17-year mine life. The mine will produce a total of 26.8 million tonnes of ore grading an average of 0.85 per cent Li2O and 133 parts per million Ta2O5, including dilution. The mill will process 1.61 million tonnes of ore per year to produce an annual average of 236,532 tonnes of technical-grade and chemical-grade spodumene concentrate and 429 tonnes of tantalite concentrate.
GoviEX closes $8-million private placement
GoviEX Uranium Inc. has completed a non-brokered private placement with the issue of 32 million units at a price of 25 cents per unit for gross proceeds of $8-million.Read More
Each unit consists of one Class A common share in the capital of the company and one transferable share purchase warrant. Each warrant will entitle the holder to acquire on exercise one common share until Jan. 21, 2023, at a price of 30 U.S. cents per warrant share, subject to applicable adjustments.
All securities issued under the private placement are subject to a four-month hold period and may not be traded before May 22, 2021.
The net proceeds from the private placement will be used to finance continued exploration and development activities on the company’s assets, for working capital, and for general corporate purposes.
The company paid cash finders’ fees of approximately $433,391 in relation to the private placement.
The private placement remains subject to the final exchange acceptance.
About GoviEX Uranium Inc.
GoviEX is a mineral resource company focused on the exploration and development of uranium properties in Africa. GoviEX’s principal objective is to become a significant uranium producer through the continued exploration and development of its flagship mine-permitted Madaouela project in Niger, its mine-permitted Mutanga project in Zambia and its multielement Falea project in Mali.
Power Metals, Exiro Minerals property agreement amended
The TSX Venture Exchange has accepted for filing a fifth amending agreement dated Oct. 30, 2020, between Power Metals Corp. and Exiro Minerals Corp. (the vendor), amending an agreement dated May 1, 2017, and subsequently amended Aug. 23, 2017, April 25, 2018, April 10, 2019, and May 1, 2020. In lieu of $75,000 cash and 384,621 shares due, the company will issue 920,000 common shares.
For additional details, please see the company’s news release dated Dec. 24, 2020.