Rex Lake South is near the southern plutonic domain (syn to post-tectonic and potassic granitoids)(1). The domain is host to pegmatite-related strategic metal systems. Felsic gneiss and undifferentiated metasedimentary rocks along with foliated tonalites host lithium and uranium mineralization in pegmatites. Numerous pegmatite occurrences outcrop within property limits.
Lithium companies(1) in the vicinity* are working to narrow the margin of costs to mine Li by conducting feasibility studies regarding construction of conversion (spodumene and petalite concentrates to lithium sulphate) on site or nearby, mimicking Australia operations such as Greenbushes. By-products (aluminum silicates) are also suitable for applications in cement or ceramics industries.
In October of 2022, EMX announced the execution of an option agreement for the Rex Lake South project to Double O Seven Resources Ltd. (Double O), a private British Columbia company. The Agreement provides EMX with cash payments and work commitments during Double O’s earn-in period, and upon earn-in, a retained 2% net smelter return royalty interest and annual advance royalty payments.
*The nearby mines and deposits provide geologic context for EMX’s Properties, but this is not necessarily indicative that the Properties host similar mineralization.