Usha Resources Makes Discovery at the White Willow Project, Prepares for Drilling at the Southern Arm Copper-Gold VMS Property
Highlights:
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Jackpot Lake Lithium Brine property: Entered into a Letter of Intent (LOI) with
(MCStardust Power , Inc.US$600M , NASDAQ:SDST) where it has been paidUS$75,000 for exclusivity pursuant to the LOI granting the right to earn up to a 90% interest for total consideration of up toUS$26,025,000 over five years. - White Willow LCT Pegmatite property: Newly discovered spodumene. This milestone validates the Company's thesis that it has developed over the past 15 months, successfully expanding the project from its initial roots with a high-grade tantalite assaying 120,000 ppm tantalum to a system with a strike length of ~44 kilometres.
- Southern Arm Copper-Gold project: Entered into 2 year option agreement to acquire 100% of the property from Abitibi Metals Corp. (AMQ.CN), fieldwork initiated to de-risk maiden drill program in Fall 2024.
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Strong Balance Sheet: The Company has working capital of approximately
$2 million putting it in a strong position to execute aggressively throughout the Fall at its exploration projects.
With over 10 priority drill targets identified, the Company is now in a position to complete its maiden drill program or partner with a Company similarly to its decision with the
The full details of the LOI are included in Usha's press release dated
The Company's focus for this fall will be on its recently optioned Southern Arm project, where it has begun preparations for drilling and will shortly commence a biogeochemical survey to identify additional priority targets prospective for high-grade gold and copper mineralization that will be included in the Company's maiden drill program.
Located in the prolific
Southern Arm is prospective for polymetallic VMS-style mineralization and has multiple drill targets already identified including "
The milestone discovery of spodumene in the Maple Leaf pegmatite validates the Company's thesis that it has developed over the past 15 months, successfully expanding the project from its initial roots with a single high-grade tantalite showing (up to 14.6% Ta2O5) to a spodumene-bearing LCT pegmatite field with a strike length of ~44 km (Fig. 1). The Bingo pegmatite swarm, ~23 km west of the newly discovered spodumene at the Maple Leaf dyke, is host to beryl and Nb-Ta oxides and has also returned geochemical characteristics suggestive of spodumene-type degrees of fractionation in whole-rock, muscovite and K-feldspar grab samples. The highly fractionated Bingo and Maple Leaf pegmatite groups are separated by prospective ground comprising metasedimentary rocks of the
Spodumene was identified using Fourier-Transform Infra-Red spectroscopy for mineral identification (FTIR-MIN), a proprietary technique offered by ALS laboratories, which confirmed the source of lithium anomalies to be fine-grained spodumene not visible in hand sample. FTIR-MIN is a powerful analytical technique that can be used to identify and characterize minerals in a rapid and cost-effective manner. In FTIR-MIN, a sample is illuminated with infrared radiation, and the minerals within the sample absorb certain frequencies of light that are characteristic of its chemical composition and crystal structure. A machine-learning algorithm then compares these absorption spectra to a database of thousands of samples to quantify the mineralogy of the sample. In the case of the Maple Leaf pegmatite, spodumene was identified in two samples.
The Company is also pleased to announce that is has received approval from the TSX Venture (the "Exchange") to proceed with the first issuance of common shares (the "Shares") in the capital of the Company under the option it has executed (the "Option" or "Option Agreement") with Abitibi Metals Corp. ("Abitibi" or the "Optionor") for the right to purchase an undivided 100% interest in the Southern Arm property. The Company completed the first issuance of 2,500,000 Shares to the Optionor on
Pursuant to the Option Agreement, the Company may acquire a 100% interest in the Southern Arm property by issuing an aggregate of 5,000,000 Shares in the capital of the Company and completing
Payment |
Shares |
Work Commitment |
Signing |
2,500,0001 |
- |
1st Anniversary |
2,500,000 |
- |
2nd Anniversary |
- |
2,000,0002 |
Total |
5,000,000 |
|
Notes |
|
The Company has granted the Optionor a 2% net-smelter returns royalty (the "NSR"). The Company may purchase two-thirds of the NSR at any time for consideration of
The Company is also pleased to announce that, subject to the final approval of the Exchange, the Company has closed the first tranche of its non-brokered private placement raising gross proceeds of
Proceeds of the Private Placement will be used to conduct further exploration on the Company's mineral properties. The Company issued 280,000 non-transferable finders' warrants exercisable for a period of 24 months at an exercise price of
All securities issued are subject to the Exchange Hold Period and a four-month and one day hold period pursuant to securities laws in
Quality Assurance/Quality Control
All collected rock samples were put in sturdy plastic bags, tagged, and sealed at site. Sample bags were then put in rice bags and kept securely before being sent by road transport or delivered by the crew supervisor to either
Qualified person
The technical content of this news release has been reviewed and approved by Mr.
About
For more information, please call 778-899-1780, email info@usharesources.com or visit www.usharesources.com.
Neither
Forward-looking statements:
This news release may include "forward-looking information" under applicable Canadian securities legislation. Such forward-looking information reflects management's current beliefs and are based on a number of estimates and/or assumptions made by and information currently available to the Company that, while considered reasonable, are subject to known and unknown risks, uncertainties, and other factors that may cause the actual results and future events to differ materially from those expressed or implied by such forward-looking information. Readers are cautioned that such forward-looking information are neither promises nor guarantees and are subject to known and unknown risks and uncertainties including, but not limited to, general business, economic, competitive, political and social uncertainties, uncertain and volatile equity and capital markets, lack of available capital, actual results of exploration activities, environmental risks, future prices of base and other metals, operating risks, accidents, labour issues, delays in obtaining governmental approvals and permits, and other risks in the mining industry.
The Company is presently an exploration stage company. Exploration is highly speculative in nature, involves many risks, requires substantial expenditures, and may not result in the discovery of mineral deposits that can be mined profitably. Furthermore, the Company currently has no reserves on any of its properties. As a result, there can be no assurance that such forward-looking statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements.
The securities referred to in this news release have not been, nor will they be, registered under the United States Securities Act of 1933, as amended, and may not be offered or sold within
This news release does not constitute an offer for sale of securities for sale, nor a solicitation for offers to buy any securities. Any public offering of securities in
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