Rare earth element (REE) exploration company Mt Monger Resources (MTM) has exercised an option agreement to acquire the Pomme Rare Earth Element-Niobium (REE-Nb) Project in Quebec, Canada.
The company says it has exercised its option agreement to acquire Critical Elements Exploration which in turn has exercised its exclusive option agreement with Geomega Resources (CVE:GMA) to acquire the claims that comprise the project.
Mt Monger reports relevant cash consideration and share-based payment have been made to shareholders of Critical Elements and Geomega as specified in the option agreements.
Under the option agreements to acquire Pomme, the company will be required to pay an aggregate consideration of $1.05 million in cash and shares to complete the acquisition.
The company reports $350,000 of this consideration has been paid. Mt Monger says it has a $2 million exploration expenditure commitment on the Pomme project over the next 3 years.
Mt Monger also reports it has successfully secured commitments for $3 million of additional capital in order to support the forthcoming maiden diamond drilling and REE exploration program.
The company says this placement was ‘strongly’ supported by new and existing professional and sophisticated shareholders. The first tranche of capital has been received, and the second tranche will be received after shareholder approval in an upcoming general meeting.
Exploration plans at Pomme are anticipated to begin in the northern summer.
Exploration plans at Pomme are anticipated to begin in the northern summer
Mt Monger Resources is an exploration company focused on searching for REE, gold, lithium, nickel, and base metals across Western Australia and Canada.
The company’s portfolio includes the East Laverton Gold, Mt Monger Gold, and Ravensthorpe REE projects in Western Australia, as well as the Pomme REE-Nb Project in Quebec, Canada.
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