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Corcel PLC on Wednesday said that it has signed an exclusive option with Huntsman Exploration Inc to acquire the lithium rights of the Canegrass Lithium project in Western Australia. Corcel is a London-based mining and mineral resource development company with interests in flexible energy storage and production. It manages operations in Papua New Guinea, Canada, Australia, and the UK. Huntsman Exploration is a Vancouver, Canada-based exploration stage company. The option is for 30 days and gives Corcel the rights to the Canegrass project, which covers an area extending over part of the Windimurra Igneous Complex in Australia. Corcel has agreed to pay the vendor during this period a non-refundable option payment of £20,000. If it chooses to exercise the option, it will issue 50.0 million ordinary shares at 0.4 pence each, equating to £200,000 in total. This represents a 34% premium to the closing price on February 21. ‘We are delighted to rapidly follow our recent acquisition and subsequent farm out of Mount Weld, with an option to acquire a second-high quality Australian battery metals asset,’ said Chief Executive Officer Scott Kaintz. ‘The Canegrass Lithium project, which sits next to (and could be an extension of) Aldoro’s existing pegmatite project, has generated rock chip sample grades of up to 2% lithium oxide and rubidium grades of up to 1.8% and is ripe for near term high impact drill activity. Meanwhile, the market for lithium market remains buoyant with prices well above multi-decade historical norms,’ he added. Corcel shares were trading 9.8% lower at 0.26 pence each in London on Wednesday morning. Copyright 2023 Alliance News Ltd. All Rights Reserved.
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