Power Metal Resources plc has negotiated early completion of the earn-in to a 100% interest at the Authier North lithium project in Quebec.
CASH AND EQUITY
The agreement from July 2021 is for Authier North and Duval East in the Val d’Or mining camp approximately 45km northwest of the city of Val d’Or.
The company said it had to date satisfied cash and equity payments of the original agreement and the following year’s payments and year one exploration spend commitment.
Power Metal has agreed with vendor Eagle Ridge Mining Ltd that all further commitments to secure the 100% earn-in will be satisfied in full, with the balance of C$25,000 cash and C$75,000 of shares equal to 6,225,392 new Power Metal ordinary shares of 0.1p.
Years two and three exploration commitments of C$50,000 and C$100,000 have been waived.
ION BATTERY
Once administration of the earn-in is complete, the properties will be held through Power Metal’s UK subsidiary, ION Battery Resources Ltd established in January this year and its local operating subsidiary in Canada.
Power Metal will also settle £65,000 professional fees, not specifically related to the earn-in, with 9,208,951 new ordinary shares of 0.1p at an issue price of 0.705835p.
On admission of the 6,225,392 acquisition shares and 9,208,951 fee shares, the company’s issued share capital will comprise 2,080,106,256 ordinary shares of 0.1p each.