Sirmac 2018-04-04T14:19:58+00:00

SIRMAC

About Sirmac

The Sirmac Property consists of 24 mining claims having a total area of approximately 1,100 hectares located approximately 180 kilometres North-West of Chibougamau, in the province of Québec. A main forestry road passes next to the property and vehicles can reach the main mineral occurrences on the property using secondary logging roads. In addition, a 700 kV power line runs along its Eastern boundary.

NEMASKA LITHIUM RELATIONSHIP

On December 14, 2017, Vision Lithium announced the signing of a definitive asset purchase agreement for a 100% undivided interest in the Sirmac Lithium Property from Nemaska Lithium Inc.  Vision Lithium issued $250,000 cash payment and 15,000,000 common shares of Vision Lithium to Nemaska Lithium bringing its ownership of Vision Lithium to approximately 19.9% of Vision Lithium shares. In addition, Vision Lithium assumed a pre-existing 1% NSR on certain claims comprising the Sirmac Property.

According to the agreement, Nemaska Lithium will have a pre-emptive right to participate in any future equity financing as long as it holds at least 10% of Vision Lithium’s issued and outstanding common shares. In addition, Nemaska Lithium was granted the following additional rights:

a right of first refusal to purchase any concentrate originating from the Sirmac Property for further processing at its Shawinigan hydro-metallurgical facility;
the right to act as exclusive marketing agent for all lithium salts from concentrate originating from the Sirmac Property;
the right to receive a 2% marketing fee, in cash, on the gross proceeds from the sale of lithium products derived from concentrate originating from the Sirmac Property sold by Nemaska Lithium (and from any concentrate otherwise sold by Vision Lithium that is not purchased by Nemaska Lithium); and
a right of first refusal to reacquire the Sirmac Property in the event that Vision Lithium wishes to sell or otherwise assign and transfer its right, title and interest in and to the Sirmac Property.

Approval from the TSX Venture
was received in January 2018.

GEOLOGY

The Sirmac property is located in the North-East part of the Superior geological province, in the Frotet-Evans volcano-sedimentary belt. Four types of rocks outcrop on the Sirmac property: quartz-biotite-hornblende schists, amphibolitized flows or mafic sills, syenite pluton, and pegmatites, some of which are spodumene-bearing. The main foliation strikes E-W and has a steep dip. More than twelve granitic pegmatite dykes, whose thickness ranges from 1 to 100 m, have been identified. All of these cut the host schists and generally strike NNW-SSE (315°/350°), with an apparent sub-vertical dip and steep contacts with host rocks.

MINERALIZATION

The type of deposit associated with the lithium mineralization of the Sirmac property is a granitic, rare element-bearing pegmatite due to the presence of spodumene. In dyke #5—the known deposit—spodumene crystals are euhedral, with color and size varying from white to greenish- or grayish-white and from 1 to 30 cm in size, with an average size of 10 cm. The amount of spodumene found in the pegmatite ranges from 5 to 30% in volume. In general, the crystals are slightly altered and frequently contain rounded inclusions of quartz. A historical resource estimate was performed on the deposit by Wrightbar Mines Ltd. in 1994, with results indicating a total of 314,328 tonnes grading 2.04% Li2O.

HISTORICAL RESOURCE ESTIMATE

In 2012, Nemaska Lithium conducted a successful exploration campaign. In total, 9 sites were mechanically stripped for a surface area of approximately 13,000 m2. There were 29 channels completed over 739 metres for a total of 506 samples (selected results below, for full results see the Nemaska Lithium news release dated November 5, 2012).

Also as part of the same exploration program, Nemaska Lithium completed a diamond drill campaign of 72 shallow drill holes (3,414.5 m). A total of 1,953 samples, including quality control samples (13%), were sent to the lab for assay (selected results below, for full results see the Nemaska Lithium news release dated November 13, 2012).

Drill results from this program reported multiple intersections over 2% Li2O. More specifically, Nemaska Lithium intersected mineralization of up to 2.98% Li2O. This grade approaches the grade found at the Greenbushes deposit, which is the highest grade hard rock lithium deposit in the world.

From this work a mineral resources estimate was produced:

Historical Estimates

The existing Technical Report includes the following historical estimates for the Sirmac Property:

Table 1: Historical Estimates for the Sirmac Property with 0.50% Li2O Cut-Off Grade

Cut-Off Grade

Li2O%(1)

Category(1)(2)

Tonnage (t)(1)(3)

Average Grade Li2O%(1)

Average Grade Ta2O5 (ppm)(1)(4)

0.50

Measured

185,000

1.40

70

0.50

Indicated

79,000

1.40

80

0.50

Inferred

40,000

1.10

60

Notes:

(1) Effective date of December 2013.
(2) The historical estimates were calculated using the Canadian Institute of Mining, Metallurgy and Petroleum (CIM) Definitions Standards for mineral resources in accordance with NI 43-101. Mineral resources which are not mineral reserves do not have demonstrated economic viability. Inferred mineral resources are exclusive of the measured and indicated resources.
(3) Bulk density of 2.70 t/m3 is used. Rounded to the nearest thousand.
(4) Ta2O5 mineralization has yet to demonstrate recoverability and potential for economic extraction.
While the Company considers these historical estimates to be relevant to investors, as they may indicate the presence of mineralization, a qualified person has not done sufficient work for Vision Lithium to classify the historical estimates as current “mineral resources” or “mineral reserves” (as defined in NI 43-101) and the Company is not treating these historical estimates as current “mineral resources” or “mineral reserves”.
All block modelling, 3D solid generation and geological interpretation was conducted by SGS Geostat. Modelling and block interpolation was done using Genesis © software. As of December 2013, no other deposit in the Sirmac Property has mineral resources stated or estimated. In order to limit the mineral resources representing “a reasonable prospect of economic extraction”, a Whittle © Pit optimization was completed using the Lerchs-Grossman 3D algorithm. Considering the blocks limited to the optimized pit shell and a cut-off grade of 0.50% Li2O, the Sirmac Property comprises 185kt of measured resources at 1.40% Li2O, 79kt of indicated resources at 1.40% Li2O, and 40kt of inferred resources at 1.10% Li2O (see Table 1 above). These historical estimates of mineral resources do not represent mining reserves since they have not shown economic viability.
The existing Technical Report confirms that all sample assay results were independently monitored through a QA/QC program including the insertion of blind standards, blanks and the reanalysis of duplicate samples at a second umpire laboratory. The results of the QA/QC program and the resampling program indicate that the sample database is of sufficient accuracy and precision to be used for the generation of the historical estimates.

WORK PLANNED
Vision Lithium intends to start a 2018 exploration program that includes:
Conduct close-spaced high resolution Mag survey to better define the geometry and extent of the numerous pegmatite dykes on the property
Create drill program to confirm known mineralization and test other dyke potential
Metallurgy to confirm ore is amenable to 6% Li2O concentrate
Metallurgy to confirm concentrate can produce battery grade lithium carbonate and lithium hydroxide
Update resource calculation