Patriot Lithium Expands into Zambia with 80% Stake in Katwaro Copper Project
Battery metals explorer, Patriot Lithium, has signed a binding option agreement to acquire an 80% stake in the Katwaro Copper Project, Zambia, from Array Metals and Natural Resources. This strategic move aims to diversify the company’s asset portfolio and expand its jurisdictional presence.
The Katwaro Project, located near Mumbwa, spans 400 hectares and includes a historical open-pit mine with copper-bearing meta-sediments.
Under the terms of the agreement, Patriot Lithium will pay Array Metals $25,000 (A$37,172) for an exclusive 12-month option period.
If Patriot exercises the option, a special purpose vehicle (SPV) will be created, and the project will be transferred to the SPV after a $250,000 payment to Array Metals. Over a 48-month period following the transfer, Patriot Lithium will fund exploration and feasibility studies.
The agreement includes milestone payments tied to resource discoveries. If the SPV defines a JORC-indicated resource of 5 million tonnes (mt) at 2% copper, Patriot Lithium will pay Array Metals an additional $400,000. Another 5mt discovery at the same grade will trigger a second $400,000 payment.
Patriot’s due diligence during the option period will focus on ensuring the project aligns with its lithium assets in terms of “native title/sovereign risk” and providing alternative exploration windows based on weather conditions.
In the fourth quarter of 2024, the company plans to review historical exploration data, conduct geological mapping, and undertake geochemical surveys at Katwaro.
This expansion follows a setback at Patriot’s Gorman Lithium Project in Canada, where land access for drilling was denied by a First Nation Band. The company is now turning to Zambia, recognizing the nation’s importance in the global copper market and its favorable mining environment.
Exploration at Patriot’s North American projects will be limited in Q4 2024 due to winter conditions, but the company remains committed to negotiating land access and resuming operations in the spring.
Earlier this year, Patriot Lithium acquired 61 mining claims in Ontario from Beyond Lithium.
SOURCE:batterymetalsafrica.com
