SYDNEY, AUSTRALIA: Winsome Resource Limited (ASX:WR1) has agreed to acquire shares in TSX-V listed Power Metals Corp (TSX-V:PWM) that are currently owned by Hong Kong-based Sinomine Rare Metals Resources Co Ltd.
Under this agreement, Winsome Resource has additionally agreed to buy Sinomine’s offtake rights for the lithium, caesium and tantalum from the extremely potential Case Lake Project, located in Ontario, Canada.
The Project is owned by Power Metals and hosts high-grade deposits of caesium, lithium and tantalum. All three minerals are included on the newest US and Canadian critical minerals lists.
Located in north-eastern Ontario area roughly 100km north of Kirkland Lake, the Project is accessible year-round via the Translimit Road which connects Ontario and Quebec.
As a Chinese-owned entity, Sinomine is required by recent changes to Canadian law to divest its pursuits inside the Project.
Under the phrases of the agreement, for a complete money consideration of CAD$2,000,000 (AUD$2.211m) Winsome will buy Sinomine’s total pursuits in Power Metals and the Case Lake Project, including:
• 7,500,000 common shares (representing 5.72% of PWM’s issued capital); and
• 7,500,000 share buy warrants, which can be transformed into shares on a one-forone foundation at CAD$0.40 per Share, expiring on 17 March 2025,
Winsome Resources Managing Director Chris Evans said: “This is an thrilling alternative for Winsome to expand its pursuits inside the Canadian critical minerals space and to enter the established mining province of Ontario, which neighbours Quebec.
“The Case Lake Project is found in comparatively shut proximity to a variety of our assets, in particular Mazerac and Decelles, with similar geological traits and strong drill outcomes showing highgrade caesium, lithium and tantalum mineralisation.
“The minerals are all in excessive demand inside North America and the rights to the offtake settlement are one other positive step inside the Winsome journey. We look ahead to working with Power Metals to help in developing this spectacular project”.
“However, it’s important to notice our present plans are for this to stay a passive funding with potential to generate longer time period returns. The Company’s immediate focus is to proceed exploration and development of our flagship Cancet and Adina projects.”