Monger Gold (ASX:MMG) continues lithium quest with Québec project option, shares up ~32%

Highlights

• Monger Gold Limited (ASX:MMG) has executed an exclusive option to wholly acquire the Brisk Lithium Project located in Canada.
• The Company plans to execute a maiden field program at the project to confirm and test several targets for their potential to host lithium.
• The acquisition indicates MMG’s intent to move into the highly prospective grounds of the James Bay Lithium District in Canada.

In a transformational move, Monger Gold Limited (ASX:MMG) is boosting its North American lithium project portfolio with the acquisition of 100% interest in the Brisk Lithium Project.

This project is a host to several known pegmatite outcrops and is located in the prolific James Bay Lithium District in west-central Québec, Canada.

To acquire the project, MMG has entered into a partnership with the well-recognised and in-country Dahrouge Group.

The latest development gives a leg up to the Company’s strategy to become a major lithium supplier to the North American battery metals industry.

Subsequent to the announcement, MMG shares jumped by over 33% on 18 August. The shares were trading at AU$0.400 midday on 19 August 2022.

Project Location (Source: MMG Announcement)

Option agreement to acquire Brisk Lithium Project

MMG has entered into an exclusive option agreement for the acquisition of the project. The agreement comprises a 45-day Option Period; wherein MMG looks to execute a maiden field program, aimed at confirming and testing multiple targets for their potential to host lithium.

DG Resource Management Ltd., which is presently the project vendor, has also delivered the potentially world-class Corvette Lithium Project owned by Patriot Battery Metals. Dahrouge Geological, recognised for a number of major discoveries across several commodities, will take care of the exploration work.

MMG has inked a binding term sheet with Jody Dahrouge in relation to the acquisition of 100% of the Mineral Claims or the project.

Highlights from the key terms of the acquisition are as follows: 

Source: © 2022 Kalkine Media® | Data Source: MMG

Several target areas identified and confirmed

MMG believes that the insights from Dahrouge Geological regarding the Brisk Lithium Project must not be underestimated. The domestic in-country geological support is critical to its success.

Moreover, the deal structure indicates long-term and continuing commitment from its new partner. The targeting method of Dahrouge has helped in identifying several target areas, which have been confirmed through aerial imagery.

Home to numerous world-class Lithium Projects, the James Bay Lithium District in Québec indicates the following attractions:

Source: © 2022 Kalkine Media® | Data Source: MMG

Targets yet to be tested at Brisk Lithium Project

The Brisk Lithium Project includes six prospects extending over 192 mineral claims totalling 98.5 km².

Notably, the project was identified as a result of its prospective nature for containing hard-rock, pegmatite-hosted lithium mineralisation using the proprietary targeting method of Dahrouge. This comprised the review of pegmatite occurrences across the James Bay region.

Although multiple known pegmatite outcrops are said to exist at the project, no lithium-focused work has been executed across the project. Therefore, any lithium-bearing occurrences have not been observed at the project to date.

Besides this acquisition, MMG has also recently acquired the Scotty Lithium Project, wherein an extensive auger soils program has been completed. The company seeks to emerge as a leading supplier of lithium in the North American battery space via the exploration and development of its highly prospective projects.