Quebec, Canada – Lepidico earning up to 75%
The Lemare Property is located in the James Bay region of Quebec, which is home to numerous large lithium deposits. Lemare comprises one block totaling 158 claims covering an area of 7,806.82 hectares and has a lateral extent of over 20 kilometers in a southwest-northeast direction.
Figure: Location of Lemare Property and surrounding lithium projects
Lepidico has a farm-in agreement with Critical Elements as described below to earn up to a 75% interest in the Project.
- Lepidico to spend $800,000 by December 31, 2016 in exploration expenses
- Lepidico to spend additional $1,200,000 by December 31, 2017 in exploration expenses
- Lepidico to deliver a Joint Ore Reserves Committee (“JORC”) Code compliant resource by December 31, 2017 at which point it will earn a 50% interest in Lemare
- Completion of definitive feasibility study and environmental study on Lemare by June 30, 2020 and payment of $2,500,000 (cash or shares) will earn an additional 25% Project interest for a total of 75%
- Additional terms include a 2% Net Smelter Royalty payable to Critical Elements – with rights for Lepidico to buy back 1% of the NSR for $2,000,000 – and a payment of $1,500,000 in cash or shares for delineation of a JORC compliant Mineral Resource in excess of 20.0Mt at a cut-off grade of 0.6% Li2O
Spodumene was discovered on the Lemare tenements in 2012 and the host pegmatite was subsequently confirmed by channel sampling to extend over 200m in strike with an average width of more than 10m. There is considerable scope for additional pegmatite discoveries on the property as pegmatites rarely occur in isolation, but rather in ‘swarms.’
The results of channel sampling undertaken in 2012 are detailed below:
|Channel||Grade Li2O %||Length (metres)|
Lepidico has recently completed an initial drilling program at the project with drill core currently at the labs for assaying.
Figure: Spodumene Mineralisation at Lemare