Capital Mining eyes another lithium acquisition

JOHANNESBURG (miningweekly.com) – ASX-listed Capital Mining was in “advanced stage” negotiations about a lithium acquisition, the company revealed on Wednesday.

Capital Mining, which earlier this month announced a sales and purchase agreement to buy Shaw River Lithium and its 13 prospecting licences in the Pilbara, said it was pursuing lithium project acquisition opportunities in Argentina, Chile and Canada.

“The company can advise that it is currently in advanced stage negotiations in respect of material acquisition(s), and hopes to be in a position to formally update the market on this in the near future,” Capital Mining reported in an announcement to the ASX.

The company also reported that it would start its first stage field programme at the Shaw River assets to refine priority targets and assist in exploration planning.

Spurred by strong demand and a forecast shortfall in global supply, the company announcement page of the ASX is filling up with lithium-related news.

Earlier this week, Andrew Forrest-backed Poseidon Nickel announced that it would step up its exploration work in lithium after the company discovered high-grade lithium bearing pegmatites at its Lake Johnston nickel tenement, in Western Australia. Poseidon would remain focused on developing its nickel assets, but said that the discovery of lithium provided diversification during the nickel market downturn.

Auroch Minerals, which used to own the Manica gold mine in Mozambique, also reported that it would turn into a lithium explorer, announcing the acquisition of a project in Tanzania, while Caeneus Minerals reported that it was proceeding with the acquisition of two projects in the US and that it was evaluating the acquisition of more properties.

Dakota Minerals, a copper and gold miner turned lithium explorer, has announced that the next phase of drilling would start at its Lynas Find project, in the Pilgangoora region of Western Australia, with the aim of defining a major resource.