- Resource Base (RBX) enters an option agreement to acquire two lithium projects in the James Bay district of Quebec, Canada
- RBX will pay project vendor Noranda Royalties C$50,000 (A$54,213) for the right to acquire the mineral claims that make up the Wali and Ernst Lake projects
- The option can be exercised within 45-days from signing the term sheet, upon which RBX will pay C$300,000 plus shares and performance rights
- During the 45-day period, RBX plans to review the Quebec Resource Ministry database to identify targets for a maiden exploration program in early June
- Shares in RBX are up 19.23 per cent to 15.5 cents at 11:49 am AEDT
Resource Base (RBX) has entered an option agreement to acquire two lithium projects in the James Bay district of Canada.
Through a binding term sheet, RBX will pay project vendor Noranda Royalties C$50,000 (A$54,213) for the exclusive right to acquire 100 per cent of the mineral claims that make up the Wali and Ernst Lake projects.
The Wali project comprises 100 mineral claims totalling 5112 hectares and lies 16 kilometres east of Patriot Battery Metals’ (PMT) Corvette prospect.
The property sits along a volcanic belt and encompasses various intrusive suites, including the lithium pegmatite prospective source rocks of the Vieux Comptoir Granitic Suite.
The Ernst Lake project comprises 109 mineral claims totalling 5631.72 hectares, directly along the Trieste formation like recent lithium discoveries made by Winsome Resources (WR1) on its Adina project.
Resource Base Non-Executive Chairman Maurice Feilich said securing an exclusive option over two highly prospective lithium projects in the James Bay area was an “exciting” opportunity for the company.
Under the terms of the option agreement, RBX will have 45 days to exercise its right to buy the projects. The company said during this time, it would undertake a detailed technical compilation and review of the Quebec Resource Ministry database to identify and prioritise prospective targets for a maiden exploration program in early June.
Subject to shareholder approval, settlement will occur five days after RBX exercises the option, following which the company will be required to pay a further C$300,000 in cash and six million shares.
Additionally, Resource Base will provide eight million performance rights, convertible to shares, upon the achievement of diamond drill results with at least a 20-metre intercept at one per cent lithium at either of the projects by the end of 2024.
The vendor will also receive a two per cent gross revenue royalty on all minerals recovered.
Shares in RBX were up 19.23 per cent to 15.5 cents at 11:49 am AEDT.