RCS - Panther Metals PLC - Fulcrum Metals: Option for Gold Tailings Project

Panther MetalsAnnouncement

10/04/2024 07:15

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RNS Number : 9341J  Panther Metals PLC  10 April 2024

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 FOR IMMEDIATE RELEASE

PANTHER METALS PLC

("Panther" or the "Company")

(Incorporated in the Isle of Man with company number 009753V)

10 April 2024

Fulcrum Metals: Option Agreement to Acquire Gold Tailings Project

Panther Metals PLC (LSE:PALM) the company focused on developing Canada's next
VMS camp and graphite deposit, is pleased to note the Fulcrum Metals PLC
("Fulcrum", LON: FMET) announcement that it has entered into an option
agreement to acquire a 100% interest in the Syvanite Gold Tailings Project
which is strategically located 3km from their existing Tech-Hughes Gold
Tailings Project, in Ontario, Canada. The option agreement offers the
potential to substantially increase Fulcrum's footprint within the Kirkland
Lake gold camp.

Panther currently holds a total of 9,971,839 ordinary shares in Fulcrum
representing a 19.99% interest in the entire issued share capital of Fulcrum,
plus 714,286 warrants exercisable at 17.5p with a two-year life from 14
February 2023 and a further 476,190 warrants exercisable at 26.25p with a
three-year life. Panther also retains a 2% net smelter return ("NSR") royalty
over the Big Bear Project.

CEO, Darren Hazelwood, commented:

"Fulcrum's ability to secure access to a second gold tailings project within
such close proximity to their Tech-Hughes gold tailing project is a
significant win for the company given the potential economic returns available
through tailings reprocessing and mine waste management opportunities.  The
close proximity of the two projects offers added potential for increased
economies of scale.

As Fulcrum looks to develop near term cash-flow from these gold projects, the
wider provincial scale potential for tailings reprocessing opportunities
utilising the Extrakt technology in Ontario is likely to become increasingly
apparent both to the company and to Panther as a significant shareholder."

 

Fulcrum Announcement Highlights

 

·    Fulcrum signed option to acquire 100% of the Sylvanite Gold Tailings
Project, at the ex-producing Sylvanite mine.  Sylvanite was the fourth
largest gold producing mine in the Kirkland Lake gold camp having milled 4.58
million tonnes of ore and produced 1.67 million ounces between 1927 and 1961.

 

·    Non-compliant historical tailings resource estimate of up to 67,051
ounces of gold in tailings cannot be currently classified in accordance with
NI 43-101.*

 

·    Based on recovery test work undertaken in 2008 it was suggested that
a combination of gravity, grinding and flotation techniques might be able to
boost the recovery of gold from tailings to 70%.

 

·    Larger scale pilot plant tests were performed in 2010 and 2012 using
up to 850kg of sample material which recovered approximately 65-72% of gold to
a rougher concentrate.*

 

·    Based on these results, the October 2012 continuous pilot plant
campaign (undertaken by Advanced Reclaim Inc) was considered successful with
the primary objectives of:

o  demonstrating a viable and scalable non-chemical mineral processing
approach to recovering a saleable gold concentrate; and

o  leaving reprocessed tailings with properties suitable for use as a subsoil
when restoring vegetation cover on the former tailings area.

 

·    Sylvanite is less than 3km from the Teck Hughes gold tailings project
which represents an opportunity for Fulcrum to optimise resources and leverage
synergies across both projects.

 

·    Sylvanite and Teck-Hughes provide Fulcrum with the potential to
become cash generative using the Extrakt Process Solution tailings technology.

 

 

*See disclosures in Fulcrum announcement.

 

Ryan Mee, Chief Executive Office of Fulcrum Metals plc, commented:

 

"We are thrilled to sign our second gold tailings agreement and add Sylvanite
to our project portfolio. Sylvanite is less than 3km from our first gold
tailings investment, Teck-Hughes. This not only enhances our presence in the
Kirkland Lake gold camp, one of the most productive gold camps in Canada, but
provides us with an opportunity to create a tailings hub and, therefore,
economies of scale.

 

Historic results confirm that Sylvanite has the potential to become a viable
project, particularly in light of the current gold spot price hovering around
USD$2,200 per ounce, whilst our estimated acquisition cost is less than
USD$3.80 per ounce. Investing in these tailings projects presents an exciting
opportunity for Fulcrum as it brings low discovery risk assets in established
mining camps into our portfolio which are less capital-intensive to advance to
production and cash flow. This approach not only conserves cash resources but
offers significant upside potential to Fulcrum shareholders.

 

Sampling at Sylvanite and test work with Extrakt Process Solutions will follow
once the current test work programme at Teck-Hughes is completed. I look
forward to updating the market on our progress as we seek to evolve into a
significant exploration and development company".

 

 

Further information and the terms of the option agreement are available in the
full Fulcrum RNS announcement which is available at:
https://fulcrummetals.com/news/ (https://fulcrummetals.com/news/)

 

For further information please contact:

 

 

Panther Metals PLC:

Darren Hazelwood, Chief Executive Officer:            +44(0) 1462
429 743

 
+44(0) 7971 957 685

Brokers:

Tavira Financial Limited

Christopher James Kipling
         +44(0) 203 833 3743

SI Capital Limited

Nick Emerson
                         +44(0) 1438 416 500

Axis Capital Markets Limited

Ben Tadd

Lewis
Jones
+44 (0)20 3026 0449

 

Notes to Editors

Panther Metals PLC is an exploration company listed on the main market of the
London Stock Exchange. Panther is focussed on the discovery of commercially
viable mineral deposits. The Company's operational focus is on established
mining jurisdictions with the capacity for project scalability. Drill targets
are assessed rapidly utilising a combination of advanced technologies and
extensive geological data to decipher potential commercial viability and act
accordingly. Panther's current geological portfolio comprises of three highly
prospective properties in Ontario, Canada while the developing investment wing
focuses on the targeting of nickel and gold in Australia.

Obonga Project

Panther Metals acquired the Obonga Greenstone Belt in July 2021 and have
already identified five prospective primary targets: Wishbone, Awkward,
Survey, Ottertooth and Silver Rim. A successful Phase 1 drilling campaign at
Wishbone in Autumn 2021 revealed the presence of significant VMS-style
mineralised systems on the property - the first such discovery across the
entire greenstone belt. Intercepts include 27.3m of massive sulphide in hole
one, and 51m of sulphide-dominated mineralisation in hole two. Both drill
holes contained multiple lenses. Anomalous high-grade copper in lake sediment
close to the target area has also been identified, increasing confidence in
the prospectivity of the location.

Awkward is a highly anomalous magnetic target, interpreted to be a layered
mafic intrusion and magmatic conduit based on mapped geology and airborne
geophysics. Historic sampling in the area returned anomalous platinum and
palladium (Pt, Pd) values, while historic drilling on the periphery of the
target intersected non-assayed massive sulphide and copper (assumed to be
chalcopyrite), non-assayed disseminated pyrite and chalcopyrite in coarse
gabbro, and non-assayed 'marble cake' gabbro (matching the description of the
Lac des Iles Mine varitexture gabbro ore zone).

Two additional named targets, Survey and Ottertooth, both displays further
coincident magnetic and electromagnetic anomalies and are adjacent to the
contact between intrusive and extrusive mafic rocks. Historic drilling at
Survey intersected several meters of massive sulphides in multiple
intersections (main parts of the anomaly remain untested) while Ottertooth
remains untested in its entirety.

Dotted Lake Project

Panther Metals acquired the Dotted Lake Project in July 2020, it is situated
approximately 16km from Barrick Gold's renowned Hemlo Gold Mine. An extensive
soil programme conducted in 2021 identified numerous gold and base metal
targets, all within the same geological footprint. Following the installation
of a new trail providing direct access to the target location, an initial
drilling programme in Autumn 2021 confirmed the presence of gold
mineralisation within this system with anomalous gold continuing along strike
and present within the surrounding area.

Manitou Lakes Project

The Manitou Lakes gold project is located approximately 300km's east of
Thunder Bay, Ontario and covers a total area of around 98sq km's.

There are over 200 known gold occurrences on the Manitou Lakes project area
with the wider Eagle/Manitou Lakes greenstone belt hosting numerous historic
gold producers and is prospective for Archean age orogenic gold and associated
base metal deposits.

Exploration work conducted by Shear Gold on the Project to date has identified
numerous gold bearing structures and favourable geological host rocks through
early-stage mapping and surface sampling. The work has focussed on two target
areas, being the West Limb Gold Property and the Glass Reef Gold Property,
both of which host historic gold mines which have never been systematically
explored using modern techniques or drill tested

Fulcrum Metals Plc

Fulcrum Metals PLC (LON: FMET) is an AIM listed exploration company which
finances and manages exploration projects focused on Canada, widely recognised
as a top mining jurisdiction.

 

FMET currently holds a beneficial 100% interest in highly prospective gold and
base metals projects in Ontario and Uranium projects in Saskatchewan.

 

Fulcrum's strategy is to focus on discovery and commercialisation of its
Projects through targeted exploration programmes. The primary focus is to make
an economic discovery on the flagship Schreiber-Hemlo Properties and
establishing the prospectivity of its wider Ontario and Saskatchewan portfolio
with a view to securing potential joint venture and/or acquisition interest.

 

Panther Metals Plc own 20% of the issued share capital of Fulcrum Metals Plc
and a 2% NSR on the Big Bear project.

Panther Metals Australia

Following the listing of Panther Metals' Australian assets on the Australian
Securities Exchange ("ASX") in December 2021. The ASX listing has provided the
Australian projects with the necessary capital to advance drill-ready targets
focused on nickel and gold (within the Tier 1 Mining Districts of Laverton WA
and in the NT). Through this spin-out Panther holds an attractive investment
prospect, without any disruption to the Company's capital structure and
without any financial obligations.

Conclusion

Panther Metals understand that the commercial realities of building an
exploration company requires expertise in geology, finance, and the markets
within which they operate. The Company's extensive network of industry leaders
allows it to meet these objectives. Ultimately however, drilling success is
the only route to discovery: the fundamental objective of any exploration
company. Once Panther's world-class geological team identify the anomalies,
they work hard to get drilling. The drill hole is the only place where
substantial and sustained capital growth originates and it's with that
operational focus Panther Metals will continue to advance.

 

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