Battery Age Minerals (ASX:BM8) has consolidated its Falcon Main and Falcon North properties after executing an option agreement with Ombabika Group to earn 100% of the Falcon Extension property in Ontario, Canada.
Battery Age, which has a $25.65 million market capitalisation, says this acquisition adds 20km-square of ‘highly prospective’ exploration ground to its Falcon Lake Project and offers ‘outstanding’ potential to make new proximal discoveries.
The acquisition ‘strategically’ expands the exploration potential at Falcon Lake, ensuring the Falcon Main and Falcon North properties are contiguous and form one major land package totalling 51km-square — a 69% increase in its Falcon Main landholding.
The company reports that this new ground sits on the already proven ‘highly fertile’ Caribou O’Sullivan greenstone belt, which has returned drilling results of 31.75m @ 1.45% lithium oxide (Li2O) as part of a maiden drilling program.
Under the terms of the agreement, Battery Age will acquire an initial 40% interest through a cash payment of C$100,000 and by issuing Ombabika 250,000 BM8 shares at a deemed issue price of $0.40 per share.
Battery Age can bump its interest up to 80% through a second cash payment of C$75,000 and issuing another 250,000 shares within the first year of the deal.
Finally, Battery Age can acquire a 100% interest in the property by making a $15,000 cash payment and issuing another 250,000 shares to Ombabika by the second anniversary of the deal.
Speaking on the acquisition, Battery Age Minerals Managing Director Gerard O’Donovan says expanding the project after delivering ‘excellent’ results from summer exploration adds another ‘exciting’ dimension to potential discoveries at Falcon Lake.
“This is an outstanding acquisition opportunity for us to expand the scale of the Falcon Lake Project. Building on the excellent results generated by our summer fieldwork program — both through drilling and from our regional prospecting — this adds another exciting dimension to the discovery opportunity at Falcon Lake.
To add 69% more land in an extremely fertile area strategically positions us to further explore this highly prospective asset and continue to add to the scale of Falcon Lake.
“Building on the excellent results generated by our summer fieldwork program … this adds another exciting dimension to the discovery opportunity at Falcon Lake”
We now have a continuous project that extends over an area of 50km-square in a tier-one jurisdiction, and we have proven through drilling that we have thick mineralised intercepts from shallow depths. We are ideally placed to continue to prove up a fantastic project.
This acquisition aligns with our strategy to grow our land holding in Ontario, and the best place to start is adjacent to your existing mineralised asset.”
Battery Age Minerals is a battery mineral-focused explorer actively working to grow its primary Falcon Lake project in Ontario Canada.
The project is located about 325km north-northeast of Thunder Bay, which is the closest port of Lake Superior for seaboard access, and 7km northeast of the township of Armstrong.
Battery Age Minerals had $3.2 million cash and cash equivalents at hand as of 30 June 2023, although it raised an additional $6.4 million in August.
Write to Adam Drought at Mining.com.au
Images: Battery Age Minerals
