SUMMARY
During the Quarter, iTech Minerals announced that one of the world’s largest lithium chemicals producers, Sociedad Química y Minera de Chile (SQM), entered a binding Memorandum of Understanding to partner with the Company in developing the Reynolds Range Lithium Project in the Northern Territory.
- Subject to a short due diligence period, SQM can earn into the lithium mineral rights on the Reynolds Range Lithium Project (iTech retains 100% of the rights to all other minerals including copper and gold).
- SQM can earn an immediate 30% interest in the lithium rights by paying an initial fee of A$2 million upon completion of due diligence.
- SQM has the option to earn up to 51% in the lithium rights by spending A$7 million on exploration, within 4.5 years of the commencement date, with a minimum spend of A$2 million within the first 1.5 years.
- SQM has the option to earn up to 70% in the lithium rights by paying an additional A$3 million to iTech and defining a JORC (2012) compliant Mineral Resource Estimate exceeding 50Mt @ 1.0% Li2O or equivalent or spending an additional A$15 million on exploration.
- Payment of a one-off success fee will be payable by SQM upon completion of a definitive feasibility study and a decision to mine. The fee will be calculated based on the lithium oxide content in the resource.
- SQM will operate the project during the earn-in period.
Latest significant results from rock chip sampling at the Reynolds Range Project include:
- RR24-167 – 11.4g/t Au, 10.4g/t Ag, 4.3% Pb and 2.5% Sb o RR24-166 – 9.4g/t Au
- RR24-171 – 3.4g/t Au, 130.0g/t Ag, 2.0% Pb and 1.1% Sb o RR24-172 – 1.0 g/t Au, 2.1% Pb and 0.8% Sb
- RR24-173 – 735.0 g/t Ag and 14.0% Pb o RR24-174 – 60g/t Ag
• Ongoing field work at the Reynolds Range Project has expanded gold- silver-antimony mineralisation within the Lander Rock Formation at the Sabre-Falchion-Lander 1 Prospects
• The prospective horizon occurs on the western extent of the Scimitar and Reward volcanogenic massive sulphide (VMS) prospective horizon (ASX: ITM 26 September 2024) and may represent a transition to an epithermal gold-silver-antimony mineralisation style
• Mineralisation occurs across three main prospects at Sabre, Falchion and Lander 1 which cover a combined strike of over 2.6km
• Historical regional lag soil sampling defines a more extensive zone of anomalous geochemistry with antimony elevated over 6.3km by 2.5km
