ASX-listed Ardiden Limited has secured a $500,000 improvement in the terms of its divestment of up to 80 per cent of its hard-rock lithium projects in north-west Ontario, Canada, to ASX hopeful Green Technology Metals. The duo will form a joint venture partnership that will see Green Technology Metals buy the stake under a staged-payment structure that puts $9.2 million in Ardiden’s coffers.
Ardiden is set to pocket at least $3.25m cash under the new agreement while retaining a free-carried interest in the lithium assets through to delivery of a positive definitive feasibility study or a decision to mine, whichever comes first.
Payment timelines have also been brought forward to fall within 18 months of shareholder approval for the new deal.
Green Technology Metals, previously known as Great Northern Lithium, intends to list on the ASX in the second half of this year via an initial public offering. Ardiden says it has agreed to new terms to expedite Green Technology’s proposed listing.
Management reports that the capital injection will enable Ardiden to prioritise exploration works at its wholly-owned Pickle Lake gold project, also in north-west Ontario, while retaining exposure to the flourishing lithium sector.
The agreement provides an opportunity to accelerate exploration and development of the lithium assets and capitalise on the burgeoning battery metals industry, according to the company.
The joint venture’s lithium portfolio consists of three high-grade, hard-rock spodumene projects – Seymour Lake, Root Lake and Wisa Lake – taking in about 95 square kilometres of tenure north-west of Thunder Bay.
Seymour Lake hosts the North Aubry and South Aubry deposits which together combine for a 4.8 million tonne resource grading 1.25 per cent lithium oxide.
Green Technology Metals says Wisa Lake hosts five drill-ready targets including a non-compliant historical resource of 330,000 tonnes at 1.15 per cent lithium oxide.
Root Lake lies close to Pickle Lake and reportedly hosts historical resources and multiple outcrops with walk-up drill targets.
Ardiden is focusing its exploration efforts on its 870 sq.km “district-scale” Pickle Lake project where it has identified 22 gold deposits and prospects, including the Kasagiminnis deposit that boasts a 110,000-ounce gold resource.
The company aspires to build a significant high-grade resource base at Pickle Lake where it is currently targeting 50km of strike of the Bear Head fault zone the “Western Hub” of the project.
A maiden drilling campaign is on the cards at the Esker prospect in the Western Hub area once the required First Nation Agreements are secured.
Past drilling at Esker returned solid hits along a 3km under-explored structure associated with the Bear Head fault zone, including 12.03m at 3.2 grams per tonne gold and 5.35m at 3.1 g/t gold.
Barrick Gold’s historical Golden Patricia mine, which produced more than 600,000 ounces of gold at an eye-catching 15.2 g/t, lies about 4km away.
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By Matt Birney
