by Greg Klein | January 23, 2018
High-grade sampling and positive Phase I metallurgy have drawn tangible interest to a Northwest Territories hard rock Lithium property. In a deal announced January 23, Far Resources CSE:FAT may earn up to 90% of 92 Resources’ (TSXV:NTY) Hidden Lake project 40 kilometres east of Yellowknife. The full 90% would cost Far $50,000, $1.45 million in shares and $2.3 million in spending. 92 would get the cash and $500,000 of the shares on closing, while Far would put $500,000 into the project during the first year to earn an initial 60%. Far would act as project operator.
Grab and channel samples from outcropping
pegmatite reveal Hidden Lake’s high lithium grades.
92 stated it would “benefit from bringing in a financially and technically strong partner to further develop the project and, in the process, will become a substantial shareholder of Far Resources with the ability to share in the project’s success.”
With seven known pegmatites, the 1,849-hectare Hidden Lake property has shown grab sample grades up to 1.86% Li2O. Channel sample results include 1.58% Li2O over 8.78 metres, 2.57% Li2O over 0.75 metres and 233 ppm Ta2O5 over 1 metre.
Phase I metallurgy conducted for 92 used conventional methods to produce a high-grade concentrate of 6% to 6.5% Li2O, with recovery rates between 80% and 85%.
The earn-in leaves 92 free to pursue other projects and acquisitions. Its current portfolio includes the Golden frac sand project in eastern British Columbia, adjacent to Heemskirk Canada’s Moberly frac sand development, as well as three recently acquired lithium properties in Quebec. A brief site visit to one of them scored a 7.32% Li2O grab sample.
92 closed an oversubscribed private placement of $1.14 million earlier this month.
Read Isabel Belger’s interview with 92 Resources CEO Adrian Lamoureux.
