Welcome to a roundup of some of our financing, exploration, and development stories on Theassay.com over the last week. To keep up to date with all the latest headlines, subscribe to our weekly newsletter.
Financing and M&A
Over the last seven days, Hot Chili Limited (ASX: HCH |TSXV: HCH) has unveiled the results of the preliminary economic assessment (PEA) for its Costa Fuego Copper-Gold Project in Chile.
The PEA has provided positive economic outcomes for Costa Fuego, which Hot Chili believes can be further optimized in the company’s planned PFS, due for completion by H2 2024.
Managing director Christian Easterday said “The Costa Fuego PEA cements Hot Chili’s position as the largest copper developer listed on the ASX by both resource size and potential scale of copper production.”
Also, the company has executed a binding US$15M investment agreement with Osisko Gold Royalties Ltd for a 1.0% net smelter return (NSR) royalty on copper and a 3% NSR royalty on gold across the company’s Costa Fuego Copper-Gold Project.
Completion of the investment is expected within coming weeks, subject to satisfaction of customary conditions, with Hot Chili to receive US$15M at closing.
North Arrow Minerals Inc. (TSXV: NAR) has settled an agreement with Arctic Canadian Diamond Company under which the Lac de Gras joint venture has been terminated, and the company has acquired Arctic’s joint venture interest in the Lac de Gras Property, Northwest Territories (NWT).
As a result, North Arrow holds a 100% interest in the Lac de Gras property, including responsibility for the fully permitted exploration camp on the property.
In the near-term, North Arrow intends to evaluate the lithium potential of the property, particularly in two spodumene pegmatite showings noted by Geological Survey of Canada mappers in the 1940’s.
New exploration and development
Galan Lithium Limited (ASX: GLN) has announced the results of its phase 1 definitive feasibility study for its wholly-owned Hombre Muerto West Project in Catamarca Province, Argentina.
Galan’s managing director Juan Pablo Vargas de la Vega commented: “We are delighted by the compelling economics produced from just the first phase of the HMW DFS. The re-evaluation of the DFS process and long-term production strategy will now deliver a high-quality lithium chloride product into the market which will provide Galan with strong early cash-flows.”
The DFS phase 1 has delivered an annual production rate of 5,367 recoverable tonnes of lithium carbonate equivalent, contained in a concentrated lithium chloride product for a period of 40 years.
Additionally, Galileo Mining Ltd (ASX: GAL) has commenced a RC exploration drill campaign at the Jimberlana and Mission Sill prospects within the company’s wholly-owned Norseman project in Western Australia.
The 4,000m RC drill campaign is expected to take around one month to complete. The Mission Sill is a mafic-ultramafic intrusion with similar geology to the host rock at the Callisto discovery and is located approximately 6km to the southeast of Callisto and has multiple anomalous drilling results over a 10km strike length.
Drilling results
Cannindah Resources Limited (ASX: CAE) has received laboratory results which confirm earlier observations of a significant zone of copper, gold, and silver bearing hydrothermal breccia intersected in CAE hole #19 at Mt Cannindah.
These are the latest developments from the drilling programme currently underway at Mt Cannindah, south of Gladstone and nearby Monto in central Queensland.
A major IP survey is also underway across the width of the CAE Cannindah tenements, meaning logistical considerations have to be taken into account to ensure that there is little to no disruption to the smooth running of both the drilling and geophysical operations.
American West Metals Limited (ASX: AW1 | OTCQB: AWMLF) has provided an update on the exploration and drilling activities at the Storm Copper Project on Somerset Island, Nunavut.
Dave O’Neill, managing director of American West Metals commented: “The 4100N Zone has grown into a significant copper story. The results from the latest batch of assays, along with geophysical interpretation, shows that the copper mineralization is now over 1.3km long, 300m wide and open laterally in every direction. Additional extension and resource drilling will be completed to expand the footprint further,”
“We are also pleased to announce that diamond drilling will begin shortly to test the geophysical targets below the known near-surface copper deposits. These new targets are an important breakthrough in the exploration of the sediment-hosted copper system that is interpreted to be the potential source of the high-grade copper discovered at surface.”
Other company news
Finally, Century Lithium Corp. (TSXV: LCE | OTCQX: CYDVF) has announced that Mr. Bryan Disher, non-executive director, and chair of the audit committee, will become chair of the board of directors upon the departure of Ms. Cassandra Joseph, who has stepped down in order to focus her attention on her new role as general counsel of Ivanhoe Electric.
President and CEO, Bill Willoughby said, “On behalf of the Century Lithium team we welcome Bryan to his new position and look forward to continue working with him in our efforts to build significant value for our shareholders.”
Additionally, the company has appointed Todd S. Fayram to the position of senior VP metallurgy. Mr. Fayram is a 43-101 qualified engineer with a designation in metallurgical engineering.
He holds a Bachelor of Science in mineral processing engineering and a Masters of Science in metallurgical engineering from Montana College of Mines and Technology.
