QX Resources (ASX: QXR) has exercised an option to acquire a 100% interest in the Turner River Lithium Project located in the Pilbara region of Western Australia, and has also added an adjoining tenement.
The company had earlier provided an update on due diligence at the project, with ‘numerous’ pegmatite dykes encountered during an initial field inspection.
Pursuant to the option agreement, QXR will issue vendor Redstone Metals 12 million fully-paid shares for the ELA 45/6042 tenement.
QXR notes that the option was exercised ‘well in advance’ of the 30-day due diligence period lapsing, a reflection of its confidence in the project’s prospectivity following a successful site visit and desktop review.
In addition to Turner River, QXR has picked up exploration licence ELA 45/6065, which adjoins the project to the north for an additional $6,000 cash payment plus reimbursement of costs.
“we have taken the decision to not only exercise the Turner River option early but to expand our tenement holdings in the area by applying for some adjoining ground which looks equally as prospective”
Addressing the news, QX Chairman Maurice Feilich said: “Following the recent site visit and after further reviews of the project’s geology and the surrounding prospects, we have taken the decision to not only exercise the Turner River option early but to expand our tenement holdings in the area by applying for some adjoining ground which looks equally as prospective. Further site visits are planned and we look forward to keeping shareholders updated on progress here and with respect to the ongoing work in Queensland.”
QXR describes Turner River as a ‘highly prospective’ lithium project, which when combined with the ELA 45/6065 licence will cover a total of 84km².
Images: QX Resources Limited