Patriot Lithium (ASX:PAT) has temporarily suspended its 2024 drilling program at the Gorman Project in Ontario after it was advised from the Sandy Lake First Nation community that it does not have authorisation to proceed with the planned work.
The company says it is respectful of First Nation land access protocols and Treaty 5 and has halted the drill program until further community engagement has been conducted.
Shares dipped nearly 22% to an intra-day low of $0.061.
Patriot said in early May it had received approval to drill at more than 15 locations and complete 1,500m of reverse circulation drilling at the 355km2 Gorman Project.
The company says it has all other relevant government approvals to start drilling, including the three-year Ontario exploration permit.
The goal of the program is to test for lithium mineralisation to depths of up to 150m over 1.5km of a 5.2km-long spodumene-bearing lithium-caesium-tantalum pegmatite trend.
The junior explorer, which has a market capitalisation of $9 million, is now seeking follow-up meetings with the Sandy Lake First Nation community to understand and address the issues that have caused concern.
Patriot says the timing of the decision is unfortunate because it had already mobilised the drilling crew and air support in preparation for the start of drilling.
“Patriot is disappointed to have to delay the program, as the timing was designed to be carried out early in the season to reduce the risk of disruption by wildfire, and be completed in less than one month to reduce any impact on local fauna.”
The company adds that since it started work on the Gorman Project it has been actively reaching out to communities to share project updates, request feedback and address any concerns.
Patriot has also submitted an application to the Ontario Junior Exploration Program for funding up to C$200,000 towards the exploration campaign.
Write to Angela East at Mining.com.au
Images: Patriot Lithium
