First Class Metals plc (FCM) has signed an exclusive agreement for a lithium earn-in project in northwest Ontario, Canada.
PROJECT
The company has 60 days exclusivity on a “highly prospective, strategically located project”.
The deal, covered by an non-disclosure agreement, is for a project less than 100km from Armstrong and in a district “proved to be prospective for hard rock, pegmatite hosted lithium”.
“A structure of over 800m has been identified and is wholly contained within the claim block, the lithium-tantalum mineralisation is pegmatite-hosted with significant rubidium and caesium mineralisation also reported,” said FCM.
MINERALISATION
Previous work identified Li2O (lithium oxide) and Ta2O5 (tantalum oxide) mineralisation along the entire length of the showing from sampling at surface, grading up to 1.68% Li2O over 7.9m and 0.168% Ta2O5 over 2.54m in separate channels samples.
Several shallow historic drill holes returned “significant” intersections, including one grading 1.08% Li2O over 6.1m and a separate intersection of 399.8ppm Ta2O5 over 2.92m.
Both intersections were less than 20m down hole.
FUNDRAISE
The company also announced a premium fundraising from a single private subscription of £300,000 to one single high net worth resource sector investor at 16p per share.
“FCM is very encouraged with the opportunity to negotiate entry into this very prospective early-stage lithium prospect and in doing so will significantly augment the portfolio of critical minerals in our exploration focus,” added chief executive Marc Sale.
The company also noted that the Canadian Government had identified all the minerals as critical and within the country’s critical minerals strategy published this month.