Electric Royalties Ltd (TSX-V:ELEC, OTC:ELECF) said it is encouraged by the sharp increase in lithium prices over the last year, which serves its green energy-focused portfolio of projects.
Lithium assets make up 40% of the Vancouver-based company’s royalty portfolio, CEO Brendan Yurik noted.
“(We) are tremendously encouraged by the 350% increase in lithium prices over the past 12 months. In the last quarter alone, more than $200 million has been raised for the advancement of these assets,” Yurik said in a statement.
READ: Electric Royalties says lithium assets making good progress in portfolio update
The firm provided a few development highlights from its portfolio over the past month, starting with the Authier lithium project, where Electric holds a 0.5% gross metal royalty.
Project operators Sayona Mining Limited plans to combine mineralized material produced from Authier with mineralized material at the nearby North American Lithium (NAL) site, with a goal to facilitate improvement in plant performance and economics, according to the company.
A pre-feasibility study on NAL integrates Authier with NAL's operations into Sayona's Abitibi lithium hub. A pre-feasibility study for NAL-Authier is underway.
Electric Royalties also updated on its Cancet lithium project, where it holds a 1% net smelter royalty.
Drilling at Cancet by Winsome Resources has intersected two zones of lithium and tantalum mineralization, Electric said, which will be incorporated into a planned initial JORC-compliant mineral resource estimate soon.
Finally, baseline surveys are underway at Seymour Lake, the company said, citing Australia’s Green Technology Metals Limited. Electric Royalties holds a 1.5% net smelter royalty on the northwestern Ontario project.
Authier set to be the first asset to begin production
“Not only has there been encouraging results announced at the Cancet and Seymour Lake lithium projects, but of paramount importance is the progress at the Authier project,” Electric Royalties CEO Yurik told investors.
“Sayona Mining's North American Lithium operation, which is expected to integrate Authier, is fully financed to restart production and to develop Authier, and has completed 30% of the plant and equipment upgrades. We expect Authier to be the first of our lithium assets (royalties) to enter production."
Electric Royalties has a current portfolio of 19 royalties, including one royalty that is now generating revenue.
Contact Angela at angela@proactiveinvestors.com
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