Under the deal, the company said it may earn in a 100% interest in the Authier North and Duval East properties located in the prolific Val D’Or mining camp in Quebec.
The Authier North property is adjacent to Sayona Mining’s (ASX: SYA) flagship Authier lithium project, which has reported JORC reserves of 12.1mln tonnes at 1% Lithium Oxide, while Duval East is immediately adjacent and east of a northwest-southeast trending lithium pegmatite dyke which was drilled in 1955.
“Today’s announcement brings a focussed and high-impact lithium opportunity into the Power Metal Canada business. We believe that lithium is an important strategic commodity to have within our portfolio. However, as an exploration and development company what matters most is the quality of opportunity, which we think we have with these two earn-in properties”, Power Metal chief executive Paul Johnson said in a statement.
“One property is situated adjacent to a major lithium reserve that offers significant exploration potential and the second property is interpreted to host the open eastward extension of a historical lithium deposit delineated in the 1950s, which holds potential subject to further drilling”, he added.