92 Resources shares up 13.5% ahead of drilling at Quebec lithium project

Share this article

A spodumene outcrop on the 92 Resources Corvette property in Quebec. Spodumene is the hard rock mineral of lithium. Source: 92 Resources Corp.

92 Resources Corp. [NTY-TSXV, RGDCF-OTC] said Monday January 29 that it is gearing up to drill its Corvette lithium property in the James Bay Region of Quebec.

Investors reacted positively to the news, sending 92 Resources shares up 13.5% or $0.015 to 12.5 cents on the TSX Venture Exchange. The 52-week range is 26.5 cents and $0.07.

The moves comes after a 2017 exploration program returned high-grade spodumene mineralization from surface grab samples, at the CVI pegmatite, of up to 3.48% and 7.32% lithium dioxide (Li20).  The company has initiated the permitting and notification for an approximate 1,000-metre winter drill program.

92 Resources is positioning itself as a modern energy solutions company with a focus on acquiring and advancing strategic and prospective modern energy-related projects. The company holds six properties in Canada. Its flagship projects are the Hidden Lake lithium property located in Canada’s Northwest Territories, the Corvette Lithium property in Quebec, and Golden Frac Sand project in British Columbia.

The Corvette property was acquired as part of a three-property land package agreement in September, 2017. It covers 76 claims for a total of 3,891 hectares and was acquired for its lithium potential as a complementary asset to the Hidden Lake Project.

In 2006, Virginia Gold Mines discovered a spodumene-bearing outcrop while conducting gold exploration within the belt at what is now the Corvette property. No sample was collected at the time and no follow-up work was completed to gauge the lithium potential of the outcrop.

Three samples were collected from the larger pegmatite, with dimensions of approximately 150 metres in length and up to 30 metres across. Management notes that the samples were select grab samples and may not be considered representative of the entire pegmatite.

There is no ready market for lithium. Lithium prices are determined by the purity and chemistry of the material as well as the length of the contract between buyer and seller. Brines (in salt ponds) and spodumene (hard rock) represent the two main sources of commercial lithium production. Lithium supply is highly concentrated among eight producing countries, of which three – Argentina, Australia and Chile – account for 85% of global output.

Aside from lithium, the Corvette property is also considered prospective for gold, with high-grade occurrences located on adjacent properties along the same geological trend. Although not the focus of exploration, the potential for gold occurrences on the Corvette property will also be assessed during the regional prospecting.

Meanwhile, 92 Resources said it is in the process of organizing an airborne magnetic and electromagnetic (MAG-EM) survey for its Pontax Property, which is also located in the James Bay region. It covers the southwestern portion of an approximately 100-km long belt of meta-volcanics, considered part of the Eastmain River Volcanic Belt.


Share this article

Leave a Reply

Your email address will not be published. Required fields are marked *

×