Red Mountain Mining (ASX:RMX) has picked up two niobium exploration licences within Quebec’s Grenville Province, Canada.
Red Mountain’s new wholly owned projects, referred to as the Pacho and Quasi projects, hold potential carbonatite targets within a district that hosts a niobium mine and an undeveloped niobium deposit.
The company’s two niobium deposits are the Saint Honore Carbonatite (also known as the Niobec Mine), which has an N43-101 measured and indicated resources of 640 million tonnes with a grade of 0.41% Nb2O5.
It also includes the Crevier Carbonatite deposit, which contains an indicated N43-101 indicated resource of 25.4Mt @ 0.196% Nb2O5 and an inferred resource of 15.42Mt @ 0.162% Nb2O5.
The company is assembling a Canadian exploration team to undertake a sampling program.
Subject to personnel availability, the company expects sampling to begin in the coming weeks. Sampling will be funded via a partially underwritten entitlement issue.
Shares under the entitlement issue will be issued to shareholders for $0.001 per share together with one new option for every two shares applied for and issued to raise up to about $891,192.
Perth investment and corporate advisory Still Capital has committed $750,000 as part of the offer. Xcel Capital was retained as lead manager of the offer.
The board of Red Mountain on 17 April 2024 opted to extend the closing date for its offer by two weeks to 6 May 2024.
Red Mountain Mining is a mineral explorer and developer focused on its portfolio of critical minerals including lithium, rare earths, and gold in the US and Australia.
Write to Adam Drought at Mining.com.au
Images: Red Mountain
