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The Markets
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Mining

Clean Air Metals announces departure of CEO; updates on mineral resources at Thunder Bay North

Clean Air Metals Inc has announced the departure of chief executive officer and director, Abraham Drost, effective immediately, and the appointment of Jim Gallagher as interim CEO.

The search for a permanent CEO will start in due course.

Gallagher has served as executive chair since Clean Air Metals began to trade on the TSX Venture Exchange in early 2020. A mining engineer, Gallagher was most recently CEO of North American Palladium, assuming the role in 2015 as the company emerged from a Companies' Creditors Arrangement Act process and subsequently led an operational and financial turnaround of the company, culminating in the sale to Impala Platinum of South Africa for just under C$1 billion.

Mineral Resources

The company also said it is near completion on validating metallurgical recoveries and potential smelter offtake terms after its updated Mineral Resource Estimate for the wholly owned Thunder Bay North Critical Minerals project.

The technical evaluation of mining options, production rates and site infrastructure will be ongoing over the next several months and the company will continue to advance environmental studies towards future permit applications, it added.

"I would like to thank Abraham for his efforts while leading the company and wish him all the best in his future endeavors. The new mineral resource estimate and new leadership bring the company to its next stage of development. Technical studies of a selective, higher grade, underground mining plan are commencing for these two near surface deposits. The next phase of exploration will investigate down plunge targets. Once the exploration plan is finalized and permits and sufficient funding are secured, we will look to execute the program in 2024 and beyond,” Jim Gallagher, the interim CEO and executive chair, said in a statement.

He noted that the company is well funded with just under $10 million in cash available to meet its commitments well into 2024.

“Given the difficult markets and our low share price we do not anticipate raising any additional funds at least until 2024, avoiding unnecessary dilution of the stock. We intend to prudently manage our cash until market conditions improve,” he said further.

Contact the author at jon.hopkins@proactiveinvestors.com

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