Montero Mining & Exploration has entered a Letter of Intent with Namibian national Mr Esegiel Xamseb to acquire an 80% interest in the wholly-owned Exclusive Prospecting License 6162, for exploration of lithium, base, rare and precious metals.
The agreement provides Montero Mining & Exploration (Montero Mining) three months to complete legal and technical due diligence to its satisfaction and is also subject to regulatory approval.
Under the terms of the Letter of Intent, Montero immediately earns an 80% interest in the property by committing to spend C$1 million in three years.
“The acquisition of a lithium exclusive prospecting license, located on the Omaruru Lineament, has favourable geology to host Lithium-Caesium-Tantalum mineralisation,” comments Montero Mining president and CEO Dr. Tony Harwood.
“The license has not previously been explored for lithium and is located in close proximity to existing lithium producers.
“The demand for lithium is being driven by the need for clean energy storage devices in the auto and technology sectors and a focus for Montero,” he continues.
The project is located in central Namibia, 20 km north of the town of Karibib, which is 211 km from Walvis Bay, Namibia’s largest commercial deep-water port and is connected by dirt and asphalt roads to the port.
Exclusive Prospecting License 6162 (EPL6162) hosts metasedimentary units of the Damara Mobile Belt, the northeast-trending branch of the Neo-Proterozoic, Pan African Damara Orogen in Namibia.
It is located in one of the four belts of Lithium-Cesium-Tantalum Type (LCT-Type) pegmatite fields previously mined for lithium-tantalum-tin.
The area has never been investigated for lithium and has good potential for LCT-Type pegmatites in favorable Karibib marbles.
There is known petalite mineralisation in the area and the EPL is located 40 km north of a major lithium producer.
The target lithium mineral is petalite and spodumene and the initial phases of exploration will involve reconnaissance geological mapping and sampling to identify the size and extent of the pegmatite intrusions.
More detailed work will follow to delineate and quantify any possible lithium, tantalum and tin mineralisation and also any gold or copper mineralisation on the license.
Recent field investigations revealed the license has lithium, gold and copper potential.
The Navachab gold mine located 20 km south of EPL6162 was the first gold producer in Namibia.
As of 31 December 2012, the Navachab gold mine quoted a total inclusive Mineral Resource of 4.41 Moz and a total Ore Reserve of 2.01 Moz.
The marble-hosted gold skarn mineralisation is related to multi-stage mineralisation and pink Nosib formation quartzites and arkose occur on the eastern edge of the EPL.
Further confirmatory geological work is planned as part of the due diligence.