MetalsTech to Capitalise on Booming Battery Metals Sector
11 March 2021
Highlights
- MTC currently assessing commercialisation strategy to enable the Company to advance its high grade lithium assets in Quebec in response to burgeoning battery metals sector and recent strong interest in its lithium assets, enabling it to focus on developing its world class Sturec Gold Mine
- Independent JORC Exploration Target# of 15-25Mt @ 1-2% Li2O + 100-250ppm Ta2O5 at 100% owned Cancet Lithium Project (refer to ASX announcement dated 9 November 2017 and titled “Significant Exploration Target at the Cancet Lithium Project”)
# The Company notes that this Exploration Target is reported in accordance with the Australasian Code for Reporting of Exploration Results, Mineral Resource and Ore Reserves (2012 Edition). The potential quantity and grade of this Exploration Target is therefore conceptual in nature. There has been insufficient work to estimate a Mineral Resource and it is uncertain if further exploration will result in the estimation of a Mineral Resource.
- Recent spodumene supply shortage is expected to increase exponentially over the next few years
- Several recent major corporate transactions in the North American lithium space highlight strong demand for future North American and European lithium chemicals converters
- MTC appoints lithium industry veteran Mr Chris Evans as “Executive – Lithium Operations” to deliver commercialisation strategy – further details on the form of the commercialisation strategy will be provided to shareholders as soon as possible
- Focus will be on extracting value from the lithium assets, including the Cancet Project which boasts:
- High grade near surface spodumene mineralisation identified with potential significant Tanatalum credits;
- Excellent power, water and road infrastructure
- Excellent indicative metallurgy meeting or exceeding grade requirements for the battery market (refer to ASX announcement dated 18 July 2017 and titled “Exceptional Results from HLS Metallurgical Testing at Cancet”)
- High grade drilling results at Cancet by the Company include:
- MTC17-015 assayed 18.00m @ 3.71% Li2O and 301 ppm Ta2O5 from 8m depth, including:
- 5.00m @ 4.10% Li2O and 114 ppm Ta2O5 from 12m; and
- 8.00m @ 3.59% Li2O and 489 ppm Ta2O5 from 18m
- MTC17-021 – 21.46 m @ 2.24% Li2O and 310 ppm Ta2O5 from 5 m depth, including:
- 11.46 m @ 3.23% Li2O (15.00 m to 26.46 m); and
- 3.01 m @ 4.82% Li2O (16.99 m to 20.00 m)
- MTC17-002 assayed 5.08m @ 2.67% Li2O and 323 ppm Ta2O5 from 9m depth, including:
- 2.08m @ 4.78% Li2O and 614 ppm Ta2O5 from 12m
- MTC17-013 – 15.88 m @ 1.82% Li2O and 171 ppm Ta2O5 from 18.12 m depth, including:
- 5.00 m @ 2.88% Li2O and 126 ppm Ta2O5 (25.00 m to 30.00 m); and
- MTC17-014 – 10.00 m @ 2.67% Li2O and 333 ppm Ta2O5 from 21 m depth
- MTC17-020 – 6.25 m @ 3.58% Li2O and 332 ppm Ta2O5
- MTC17-022 – 17.00 m @ 2.06% Li2O and 327 ppm Ta2O5 from 6 m depth, including:
- 8.15 m @ 3.44% Li2O and 558 ppm Ta2O5 (6.00 to 14.15 m); and
- 4.00 m @ 4.72% Li2O (9.02 m to 13.02 m);
- MTC17-025 – 11.02 m @ 2.93% Li2O and 317 ppm Ta2O5
- MTC17-040 – 5.00 m @ 2.56% Li2O and 92 ppm Ta2O5
- MTC17-044 – 5.00m @ 1.83% Li2O from 8.00m depth
- MTC17-049 – 14.96m @ 1.43% Li2O from 1.54m depth, including:
- 7.96m @ 2.55% Li2O (1.54 to 8.50m)
- MTC17-050 – 4.35m @ 1.79% Li2O from 18.29m depth
- MTC17-053 – 3.59m @ 1.23% Li2O (11.34m to 14.93m)
(refer to Annual Report for the year ended 30 June 2017; pages 12-13 and ASX Announcement dated 19 December 2017 and titled “MetalsTech Hits Additional High-Grade Intersections at Cancet Lithium Project”)
Commenting on the lithium development strategy, MetalsTech Chairman, Russell Moran stated:
“We are firmly focused on growing our one million ounce plus resource at our world class Sturec gold mine and we firmly believe in the strong outlook for gold. It is rare for a company to boast ownership of such a large resource with clear growth potential, as highlighted in the interim results of our current drilling campaign. We are also very fortunate to own a portfolio of very prospective hard rock lithium assets. Market sentiment towards lithium has surged and we are positioning our company to take advantage of this renewed interest. Cancet in particular is an exceptional high grade near surface lithium exploration opportunity and now is the time to strike.
To deliver maximum shareholder value, we are considering a range of commercialisation strategies designed to enable the Company to focus its efforts on the continued development of the Sturec Gold Mine whilst also allowing the lithium assets to be developed in the most efficient manner. We have also been approached by several parties interested in acquiring Cancet outright so naturally the Company is reviewing all optionsin order to achieve the optimum outcome. We have brought Chris Evans on board to help facilitate this process. As former Chief Operating Officer, Chris delivered the Pilgangoora Lithium Mine into production, a mine recently acquired by Pilbara Minerals (ASX:PLS) for more than $200 million. He has excellent project delivery experience and deep contacts in the lithium sector, which compliments the experience of our own director and lithium market expert and lithium trader, Dr Qingtao Zeng. We therefore look forward to delivering value to shareholders from both our gold and lithium assets in 2021.”
MetalsTech Limited (ASX: MTC) (MTC or the Company) is pleased to provide stakeholders with an update on its plans to deliver shareholder value through the monetisation of its high grade lithium assets in Quebec, Canada.
Given the Company’s clear focus on developing the Sturec Gold Mine in Slovakia, it is currently assessing several options to deliver shareholder value.
Key Appointment - Chris Evans
The Company is pleased to announce that it has appointed lithium industry veteran Chris Evans as “Executive – Lithium Operations”, initially on a consultancy basis, to help drive the Company’s lithium strategy with a view to expanding the role should a spinout strategy proceed.
Mr Evans is an experienced project delivery and operational management expert who as Chief Operating Officer, was responsible for building and bringing into operation the Pilgangoora lithium mine and processing facility which was recently acquired by Pilbara Minerals (ASX:PLS) in a deal valued at more than $200 million. In this role and in his subsequent role as Managing Director of an ASX Listed lithium developer, Mr Evans was also involved in establishing and maintaining key relationships with project finance and off-take partners.
Mr Evans has a Civil Engineering background with close to 20 years demonstrated success in managing large scale construction and mining development projects and operations across various commodities.
Mr Evans holds a Master of Engineering Science, Construction Management, (University of New South Wales), a Bachelor of Engineering (Hons), Civil (University of New South Wales), and is a Graduate of the Australian Institute of Company Directors.
Cancet Lithium Project (100%)
Cancet is the Company’s most advanced lithium asset in the portfolio, comprising of 395 claims for a total area of in excess of 20,000 ha. It is located 155 km east of Radisson, within a favourable geological setting with well-mineralized spodumene-bearing pegmatite. The project is not presently geologically constrained, offering further exploration potential.
Cancet has been defined by a current JORC (2012) compliant Exploration Target of 15-25Mt @ 1-2% Li2O + 100-250ppm Ta2O5 (refer to ASX announcement dated 9 November 2017 and titled “Significant Exploration Target at the Cancet Lithium Project”).
The Company notes that this Exploration Target is reported in accordance with the Australasian Code for Reporting of Exploration Results, Mineral Resource and Ore Reserves (2012 Edition). The potential quantity and grade of this Exploration Target is therefore conceptual in nature. There has been insufficient work to estimate a Mineral Resource and it is uncertain if further exploration will result in the estimation of a Mineral Resource.
Drilling Results
Since acquiring the Cancet project, MTC has completed a total of 59 drill holes for 5,216 m of diamond drilling. Significant intersections encountered included MTC 17-015 which intersected 3.71% Li2O and 301 ppm Ta2O5 over 18.00m, including 4.10% Li2O and 114 ppm Ta2O5 over 5.0m and drill hole MTC 17-021 which intersected 2.24% Li2O and 310 ppm Ta2O5 over 21.46m, including 3.50% Li2O and 746 ppm Ta2O5 over 8.46m (refer to ASX Announcement dated 9 May 2017 for additional details).
Note: This announcement is authorised by the executive board on behalf of the Company.
Link to the full report: https://cdn-api.markitdigital.com/apiman-gateway/ASX/asx-research/1.0/file/2924-02352432-6A1024073?access_token=83ff96335c2d45a094df02a206a39ff4
For further information on the Company’s Quebec Lithium assets, please contact:
Chris Evans
Executive – Lithium Operations
M +61 419 883 904
For general Company information please contact:
Russell Moran
Chairman
M +61 415 493 993
Nathan Ryan
Investor Relations
M +61 420 582 887
Gino D’Anna
Director
M +61 400 408 878
Caution Regarding Forward-Looking Information
This document contains forward-looking statements concerning MetalsTech. Forward-looking statements are not statements of historical fact and actual events and results may differ materially from those described in the forward-looking statements as a result of a variety of risks, uncertainties and other factors. Forward-looking statements are inherently subject to business, economic, competitive, political and social uncertainties and contingencies. Many factors could cause the Company’s actual results to differ materially from those expressed or implied in any forward-looking information provided by the Company, or on behalf of, the Company. Such factors include, among other things, risks relating to additional funding requirements, metal prices, exploration, development and operating risks, competition, production risks, regulatory restrictions, including environmental regulation and liability and potential title disputes.
Forward looking statements in this document are based on the company’s beliefs, opinions and estimates of MetalsTech as of the dates the forward-looking statements are made, and no obligation is assumed to update forward looking statements if these beliefs, opinions and estimates should change or to reflect other future developments.
