MGX Minerals Updates Exploration Programs at Ontario Hard Rock Lithium JV Properties
May 23 2018 - 2:56PM
MGX Minerals Inc. (“MGX” or the “Company”)
(CSE:XMG) (OTCQB:MGXMF) (FSE:1MG) is pleased to announce
that joint-venture partner Power Metals Corp. (“Power Metals”) has
reported and commenced a geological mapping program at the Paterson
Lake lithium property (“Patterson Lake”) located 60 km north of
Kenora, Ontario. The geological mapping program at Paterson Lake
will be followed by a similar program at the Gullwing-Tot Lakes
property (“Gullwing-Tot Lakes”) located 30 km northeast of Dryden,
Ontario. The purpose of the mapping programs is to confirm known
locations of spodumene/petalite pegmatite dyke outcrops, locate
additional lithium mineralization, and identify historic drill
collars for future drill programs.
Paterson LakeThe Paterson Lake property is
located in Paterson Lake and Treelined Lake Areas, 60 km north of
Kenora, NW Ontario close to the Ontario-Manitoba border. The
property resides within the Separation Rapids Greenstone Belt and
hosts multiple petalite-bearing pegmatite dykes. Patterson Lake is
located just 1.2 km from Avalon Advanced Material’s Separation
Rapids Lithium Project.
Highlights of the Paterson Lake Property include:
- 7 named petalite pegmatite dykes on the Property and up to 50
unnamed pegmatite occurrences that require investigation
- 11 historic drill holes were drilled by Tanco on the Property,
the majority of which were not assayed for lithium (Li)
- 11 historic lithogeochemical anomalies based on Li+Rb+Cs
contents identified, but only 3 anomalies have been partially
tested with individual drill holes
- 7 historic enzyme leach B-horizon soil anomalies identified,
but only a few of the anomalies have been partially tested with
individual drill holes
Gullwing-Tot LakesThe Gullwing-Tot Lakes
property is located in Drope and Webb townships, 30 km northeast of
Dryden, NW Ontario with excellent road access. The Gullwing and Tot
Lakes pegmatites contain spodumene. The Property is located 5.5 km
northeast of the Mavis Lake spodumene pegmatite field.
Highlights of the Gullwing-Tot Lakes Property include:
- Property has been underexplored with limited historic drill
programs not looking for lithium even though spodumene is present
in the drill core.
- The Tot Lake pegmatite contains spodumene blades up to 38 cm
long and make up to 78 vol% of the spodumene-rich zone.
- Tot Lake pegmatite is one of the five pollucite-bearing
pegmatites in Ontario.
- Tot Lake pegmatite has three potential commodities: lithium
(Li), tantalum (Ta) and pollucite (Cs).
- Gullwing pegmatite contains two lithium minerals: spodumene and
lepidolite
Case LakeThe Case Lake property (“Case Lake”)
is located in Steele and Case townships, 80 km east of Cochrane, NE
Ontario close to the Ontario-Quebec border. Power Metals has
announced its intention to conduct an 8,000 metre drill program at
Case Lake this Spring/Summer followed by an additional 7,000 metre
drill program this Fall. To date Power Metals has completed 8,400
meters of drilling. Substantial spodumene mineralization
intersections have included:
- PWM-17-34: 1.81 % Li2O over 17.0 m
- PWM-17-33: 2.11 % Li2O over 11.0 m
- PWM-17-10: 1.74 % Li2O over 15.06 m
- PWM-17-08: 1.94 % Li2O over 26.0 m
Thermochemical Extraction ProcessMGX, Orion
Laboratories, LLC (“Orion”) and Light Metals International Inc.
(“LMI”) have begun testing a new process for extracting lithium
from spodumene (see press release dated March 8, 2018). Initial
bench-scale laboratory testing has been completed and results are
expected shortly. In the next phase, a 10 kilogram sample of
spodumene-rich rock originating from the Case Lake lithium project
in Ontario will be tested. The mineralized material will be used to
further test the process and applicability of the process for use
at Case Lake.
Terms of the Joint-VentureMGX currently has a
paid 20% working interest in five lithium hard rock properties in
Ontario controlled by Power Metals as well as any additional
properties acquired by Power Metals prior to August 2020. MGX also
maintains the right to acquire an additional 15% working interest,
for a total of 35%, in each of the hard rock lithium properties by
making a one-time payment of $10M prior to August 2020. MGX
currently holds an option to acquire 10,000,000 shares of Power
Metals at $0.65 (see press release dated August 2, 2017).
Qualified PersonThe technical portions of this
press release were reviewed by Andris Kikauka (P. Geo.), Vice
President of Exploration for MGX Minerals. Mr. Kikauka is a
non-independent Qualified Person within the meaning of National
Instrument 43-101 Standards.
About MGX MineralsMGX Minerals is a diversified
Canadian resource company with interests in advanced material and
energy assets throughout North America. Learn more at
www.mgxminerals.com.
Neither the Canadian Securities Exchange nor its Regulation
Services Provider (as that term is defined in the policies of the
Canadian Securities Exchange) accepts responsibility for the
adequacy or accuracy of this release.
Forward-Looking Statements
This press release contains forward-looking information or
forward-looking statements (collectively "forward-looking
information") within the meaning of applicable securities laws.
Forward-looking information is typically identified by words such
as: "believe", "expect", "anticipate", "intend", "estimate",
"potentially" and similar expressions, or are those, which, by
their nature, refer to future events. The Company cautions
investors that any forward-looking information provided by the
Company is not a guarantee of future results or performance, and
that actual results may differ materially from those in
forward-looking information as a result of various factors. The
reader is referred to the Company's public filings for a more
complete discussion of such risk factors and their potential
effects which may be accessed through the Company's profile on
SEDAR at www.sedar.com.
Contact Information
Jared Lazerson
President and CEO
Telephone: 1.604.681.7735
Web: www.mgxminerals.com