Infinity Stone Ventures Corp (CSE:GEMS) told investors it has optioned the 38,441-hectare Sugar Loaf and Little Dipper lithium projects in the Brazilian states of Minas Gerais and Ceará, which have both become regions of interest for hard rock lithium exploration.
The company said the Sugar Loaf project is located 15 kilometres (km) from both Sigma Lithium Resources' Grota do Cirilo project and Lithium Ionic Inc's Itinga project in Minas Gerais. The Little Dipper project is located in Ceará, approximately 10 km from Oceana Lithium Ltd's Solonopole Lithium project. Sugar Loaf comprises 13 exploration permits, while Little Dipper comprises nine, it added.
Infinity Stone said the projects were optioned based on perceived geological potential from known mineralized trends, adding that a number of early and later-stage exploration companies are active in the region, as well as companies much closer to production such as Sigma Lithium.
“Brazil has been recognized as one of the world's major high-grade lithium producers,” Infinity Stone said in a statement. “For example, LG Energy Solutions recently secured a six-year offtake agreement with Sigma's subsidiary Brazilian Sigma Mineração SA. LG is a battery supplier to multiple EV companies, including Tesla Inc.”
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Infinity Stone noted that Sigma's properties are located in the municipalities of Araçuaí and Itinga, in Brazil's mining-friendly Minas Gerais State, approximately 450 km northeast of the state capital of Belo Horizonte. Sigma holds 27 mineral rights in four properties spread over 191 square kilometres (19,100 hectares), which include nine past-producing lithium mines.
The company said it plans to conduct a satellite imagery-based spectral analysis to determine areas of interest for targeted exploration. Following this, it intends to mobilise an exploration team immediately to the projects to conduct initial groundwork, including grab and channel sampling, trenching, and mapping. There will be a focus on identifying pegmatites across the claim blocks that have the potential for lithium-cesium-tantalum (LCT) mineralization, it added.
It cautioned that mineralization hosted on adjacent and/or nearby and/or geologically similar properties is not necessarily indicative of the mineralization hosted on its properties.
Option terms
Under the option agreement dated February 2, 2023, with Talisman Venture Partners, Infinity Stone said it has been granted an option to acquire the projects upon payment of $50,000 on execution, which it has already paid, $100,000 within 30 days of execution and $150,000 within 180 days of execution.
It will also issue 4,000,000 class A subordinate voting shares within 30 days of execution and a further 4,000,000 shares within 180 days of execution.
Upon the company earning in under the option agreement, it said Talisman will retain a 1% net smelter royalty over the projects, half of which may be repurchased by Infinity Stone for $1,000,000 within 90 days of the public filing of a bankable feasibility study for the projects.
Infinity Stone also announced it has retained Machai Capital Inc to provide digital marketing services in compliance with the policies and guidelines of the Canadian Securities Exchange and other applicable legislation.
The engagement has an initial term of six months and Machai will receive $80,000 in cash plus applicable taxes and be issued 400,000 stock options at an exercisable price of $0.25 for a five-year term, it added.
Infinity Stone’s mission is to be a diversified, single-source supplier of the critical energy metals being used in the clean energy revolution, alongside its established Software-as-a-Service (SaaS) solution portfolio. The company is meeting the demand from battery and wind turbine manufacturers, nuclear and hydrogen energy producers, and energy metals speculators by acquiring 100% interest in critical mineral deposits and occurrences in stable mining-friendly jurisdictions, close to final use destinations in North American manufacturing hubs.
Contact the author at stephen.gunnion@proactiveinvestors.com