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92 Resources expands lithium portfolio with three new Quebec properties

The firm has bought three prospective hardrock lithium properties in the James Bay region..
92 Resources expands lithium portfolio with three new Quebec properties
Pictured is the firm's Hidden Lake property

Energy solutions group 92 Resources Corp (CVE:NYT) has enhanced its lithium portfolio, with three new properties in Quebec.

The firm has bought three prospective hardrock lithium properties in the James Bay region -  Corvette, Eastmain, and Lac du Beryl - comprising a total of 115 mineral claims over 14,710 acres.

Under the terms of the acquisition agreement, in order to acquire a 100% interest in the Corvette, Eastmain and Lac du Beryl properties, the company is required to make total cash payments of C$45,000 and issue a total of 1.5 million warrants, exercisable into common shares of the company, at a price of 15 cents per share for a period of five years. The vendor will retain a 2% net smelter returns royalty on the properties.

"As we continue to aggressively advance our flagship Hidden Lake Lithium Project in NWT, we feel it is critical to maintain a pipeline of additional high-quality, early-staged, lithium pegmatite projects, each with potential as stand-alone opportunities," said Adrian Lamoureux, the chief executive of 92 Resources.

"We are very excited by these new additions to the company's already high-quality portfolio of assets."

Eastmain consists of 21 claims and is highlighted by a large pegmatite outcrop around 7km east to southeast and interpreted to be along-strike from the James Bay (Cyr) deposit of Galaxy Resources Ltd.

The James Bay deposit contains indicated resources of 11.75 million tonnes (mt) grading at 1.30% Li2O (lithium oxide) and inferred resources of 10.47 mt grading at 1.20% Li2O.

Meanwhile, in 2006, Virginia Gold Mines discovered a spodumene-bearing outcrop within what is now the Corvette Property.

No sample was collected at the time, and no follow-up work completed on the lithium. During 92 Resources' 2017 site visit, an outcrop measuring around 150 m by 30 m was discovered, and found to contain abundant coarse-grained spodumene crystals up to 1 metre in length.

The Lac du Beryl site consists of 18 claims and lies less than 16km from an existing powerline associated with one of the hydroelectric power generation stations of the James Bay region.

The project is highlighted by several prominent pegmatite outcrops, many of which display characteristic pathfinder minerals commonly associated with spodumene pegmatites.

--- adds financial details of the deal ---

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