Global Energy Metals Corporation (CVE:GEMC) (OTCMKTS:GBLEF) announced a series of new initiatives at its Lovelock and Treasure Box projects in Nevada designed to unlock value from the battery mineral properties.
The explorer is planning an inaugural drill program at the past-producing Lovelock mine to test the extent of mineralization, it told shareholders on Wednesday.
Producing a property-wide geological interpretation and model of the structures and mineralization is “integral to a 2020 drill program", GEMC said in a statement.
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A new geological model will allow for reinterpretation of historic data and give the company a better understanding of the ability to tap into the cobalt, nickel and copper potential at GEMC’s Nevada projects.
The Lovelock property currently consists of 70 unpatented lode claims in the Cottonwood Canyon area of the Stillwater Range totaling nearly 1,400 acres of land. Treasure Box hosts mine workings from limited copper production, which occurred until early into the 20th century.
GEMC has a good incentive to explore and unlock value at the two projects. In January 2019, the energy metals group inked a definitive agreement to acquire an 85% interest in the Lovelock cobalt mine and Treasure Box project, which lie around 150 kilometres east of the giant Tesla Inc (NASDAQ:TSLA) Gigafactory, which churns out electric batteries to make cars.
Over the past summer a bulk sample taken by Canada Cobalt Works from waste rock in the historic dumps in front of the mine openings had undergone initial analysis resulting in assays of 0.2% cobalt, 0.2% nickel and 2.8% copper.
"Results from the initial program in 2019 at the battery minerals project in Nevada confirmed the prospective potential of the overall land package and indicate considerable promise,” said Mitchell Smith, GEMC’s CEO.
“Given the scale and prospective nature of this battery minerals discovery, unlocking value from Lovelock and Treasure Box will now form as the primary focus of the company's 2020 exploration plan."
The company told shareholders that advancing the projects and earning its 85% interest in the assets provides it with high-potential, growth-stage exploration projects in an established mining district. GEMC also said that it “provides a path forward” to develop a domestic supply of battery metals critical to national and economic security.
The Vancouver-based explorer’s mineral portfolio also includes the Millennium cobalt project in Queensland, Australia and the Werner Lake cobalt project in Ontario, Canada.
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