Electric Royalties Ltd. [TSXV-ELEC; OTCQB-ELECF] has provided an update on the proposed transaction to acquire a portfolio of 126 lithium properties (Ontario lithium projects (OLP)) in Eastern Canada.
Brendan Yurik, CEO of Electric Royalties, commented: “We are progressing our due diligence on the OLP, an opportunity to participate in one of the most exciting early-stage exploration areas in North America, at a time when Canadian-sourced lithium is increasingly prized for shortening supply chains for U.S. battery plants.”
In Ontario, access to sustainable power, abundant water, and skilled personnel makes mine development and permitting easier, and it is one of the compelling reasons for Electric Royalties’ interest in the OLP acquisition. The properties cover a collective area of over 1 million acres and are adjacent to some of the most prominent lithium exploration and development plays in North America.
One of the most advanced and high-grade lithium projects in Ontario is Frontier Lithium’s PAK and Spark deposits on which a positive pre-feasibility study was recently announced. Electric Royalties’ proposed OLP acquisition includes two large unexplored, optioned claim groupings located less than 10 km from the Frontier projects and adjacent to terrane hosting geologically favourable two-mica granitic rocks.
The OLP includes the largest land position in the Georgia Lake lithium district. One of the properties is 20 km east of the Rock Tech pegmatites. The Arrel Lithium Property is underlain by a muscovite-bearing peraluminous granite and is in contact with metasediments which make excellent hosts for pegmatites.
Completion of the proposed transaction remains subject to a number of conditions, including: the satisfactory completion of due diligence; board approval; the receipt of any required regulatory approvals; and the negotiation of definitive documentation.
Electric Royalties is a royalty company established to take advantage of the demand for a wide range of commodities (lithium, vanadium, manganese, tin, graphite, cobalt, nickel, zinc and copper) that will benefit from the drive toward electrification of a variety of consumer products: cars, rechargeable batteries, large scale energy storage, renewable energy generation and other applications.
Electric Royalties has a growing portfolio of 22 royalties. The company is focused predominantly on acquiring royalties on advanced stage and operating projects to build a diversified portfolio located in jurisdictions with low geopolitical risk, which offers investors exposure to the clean energy transition via the underlying commodities required to rebuild the global infrastructure over the next several decades toward a decarbonized global economy.
