Ironbark Zinc Ltd (ASX:IBG) has acquired 27 tenements in Brazil believed to be prospective for lithium and other critical minerals such as niobium, which are also proximal to existing mines and resources owned by CBL, Sigma Lithium and Latin Resources.
Stretching over approximately 52,000 hectares, the tenements – collectively known as the Perseverance Package – comprise seven projects in the geological extensions of the Lithium Valley within Brazil’s Minas Gerais, a region which hosts multiple mining operations and discoveries.
The acquisition was made through Ironbark’s payment of A$100,000 in cash which facilitated the purchase of Perseverance Lithium Pty Ltd, with Melbourne-based Peak Asset Management helping with the raise.
At the same time, Ironbark announced it has secured a placement to raise A$715,000 through the issue of 178.7 million fully paid ordinary shares priced at $0.004 each, with a 1-for-1 free attaching listed option (ASX:IGBO) also to be issued with the placement shares.
The placement – which will be conducted in two tranches – will involve the issuing of 10 million listed IGBO lead manager options on the same terms, with the A$715,000 total going towards the settlement of Perseverance, and exploration there and at the Mt Isa project.
Managing director Michael Jardine said these developments added to an increasingly positive story for the company.
“The ongoing pivot of Ironbark Zinc continues with the acquisition of the Perseverance project following soon after we secured the Simon-Anderson copper projects in Mt Isa,” he said.
“Perseverance provides the Company with enormous exposure to one of the hottest hard rock lithium neighbourhoods in the world at a very low cost and complements the other
base metal projects in our portfolio.
“Brazil is a very well-established mining jurisdiction and, in my opinion, significantly improves our overall sovereign risk profile: Perseverance is very early stage but we look forward to exploring what’s a vast and promising land holding in Brazil’s Lithium Valley.”
Ironbark has been trading at 0.3 cents.