Kenorland Minerals Ltd. (TSX.V: KLD) has officially confirmed that it has struck a deal with Targa Exploration Corp. (CSE: TEX), a British Columbia company, for the sale of the Opinaca Lithium Project situated in the James Bay region of northern Quebec. The project is comprised of 844 mining claims, as well as rights to two mineral exploration license applications that cover numerous lithium-bearing pegmatite occurrences in eastern Manitoba.
Spanning 43,595 hectares and 40 kilometers of strike length, the Opinaca Project is located in the Opinaca sub-province of the James Bay region in northern Quebec. Surveying has revealed a collection of remarkable geochemical anomalies containing lithium and cesium, which could be indicative of Li-Cs-Ta pegmatite mineralization. There is no previous exploration history for the project area.
The Superior Project is situated in eastern Manitoba and is made up of two mineral exploration license applications, which, together, add up to 19,029 hectares. It contains the Red Sucker Lake and Red Cross Lake pegmatite deposits with lithium-bearing properties. At Red Cross Lake, there is a set of 17 parallel dykes, each up to 4 meters in width, inside a 50-meter-wide corridor. Data from previous excavation and drilling operations show Li2O and Cs2O levels of up to 1.25% and 2.86%, respectively. Samples from the Western display have reached a maximum of 2.97% Li2O. The SQ dyke at Red Sucker Lake has yielded Li2O levels of up to 3.4%, and the Tin Bar showing has had samples with Li2O concentrations of up to 1.72%.
In exchange for the projects, Targa will provide Kenorland with 4,377,375 common shares of Targa, a 3% net smelter royalty over the projects, and $100,000 in cash after the sale in January 2023. Additionally, Kenorland will be allowed to acquire 9.9% of the common shares or other equity securities that Targa issues in the future until Targa has raised a total of $5,000,000.