The Canadian province of Québec has long been a center for the search for gold, copper, nickel or platinum, with numerous and major discoveries having been made. With the boom in electric mobility and the resulting drastic increase in demand for lithium – especially in the longer term – Québec has also become an exploration hotspot in this respect – highlighted through the spectacular success of Patriot Battery Metals!
The Canadian province of Québec has long been a center for the search for gold, copper, nickel or platinum, with numerous and major discoveries having been made. With the boom in electric mobility and the resulting drastic increase in demand for lithium – especially in the longer term – Québec has also become an exploration hotspot in this respect – highlighted through the spectacular success of Patriot Battery Metals!
Patriot made a significant lithium discovery in Québec’s James Bay district just last year, which led to a real boom in lithium exploration in the province and attracted the attention of exploration and mining companies as well as investors worldwide. And, along the way, took Patriot shares from around CAD 0.50 at the beginning of 2022 to almost CAD 17.00 now. Q2 Metals, which Goldinvest.de has been following for some time, also performed very strongly, rising from around CAD 0.12 at the end of November 2022, after announcing the acquisition of a lithium project in the James Bay region, to CAD 0.80 by now!
New player in the James Bay lithium hotspot
The company we are writing about today is of course hoping for a similar development. Brigadier Gold (TSXV BRG / WKN A2DNV3) has made a similar switch as Q2 Metals from the gold to the lithium sector, acquiring the Nemaska2 property. The 8,300-acre project is strategically located near Critical Element’s advanced Rose lithium project and Nemaska Lithium’s Whabouchi lithium mine. The Nemaska2 property also has exceptionally good infrastructure, with a highway and airport located directly on the claims. According to Brigadier, there are more than 20 large pegmatites on the project site that extend to surface, which they plan to explore in more detail as soon as possible.
Nemaska Lithium, by the way, looked like a prime example of a failure in the resource sector. The company was able to show a large resource, but due to exploding costs and a simultaneous decline in the lithium price had filed for bankruptcy in 2019. Now, however, Nemaska is back under new ownership, signing a supply agreement with U.S. automotive giant Ford just days ago! Initiatives like the Inflation Reduction Act in the US with its multi-billion dollar subsidies and the recent recovery of lithium prices have made many deposits of the battery metal very interesting again.
However, it is likely to be quite a while before Brigadier will be at this stage, as CEO Rob Birmingham’s company is still at the very beginning of its exploration of Nemaska2. But now the first activities have been initiated.
The company says it is starting with the completion of a geoscience data acquisition program on Nemaska2. In particular, Brigadier is focusing on the results of historical exploration programs conducted on the recently added Nemaska2 extension claims. Brigadier expects this data to support ongoing work in the field, which is expected to commence shortly.
The Québec government had in the past conducted an extensive sampling program as well as an airborne magnetometric survey over Nemaska2 which shows the presence of several weak magnetic anomalies likely consistent with fractures or shear zones within the granitic Valiquette pluton. These structures generally favor the formation of pegmatites and other metals. The presence of pegmatites recognized during regional reconnaissance mapping, anomalous values of Li and Cs in regional soil samples, and the presence of a large lithium deposit (Whabouchi deposit, Nemaska) in the area are all elements that Brigadier believes support the presence of the mineralization sought by the Company.
The objective of the Company’s first exploration program is precisely to confirm and further delineate the pegmatite outcrops mapped and sampled during historical work by the Québec government, focusing in particular on the approximately 20 white pegmatite outcrops, each measuring approximately 1,000 square meters. In particular, the goal is to determine if pegmatite dykes or other favorable structures may be present. Depending on ground conditions, snowpack included, the first phase of field work is scheduled to begin June 1, so imminently. Brigadier expects to use these initial activities to delineate targets for an initial drilling program that could begin as early as mid-summer!
The funds for the planned Phase 1 activities are definitely available, as Brigadier has just recently closed a financing round for a gross amount of approximately CAD 670,000.
Conclusion: The James Bay District is currently extremely active and many new discoveries are expected in the coming months as exploration and drilling programs are currently being initiated throughout the region. Brigadier, with its Nemaska2 project, hopes to join the group of successful lithium companies and has now taken the first necessary steps. It is still early days, but if the company can execute its plans as expected, progress could follow quickly. Brigadier shares have already made significant gains following the announcement of the project acquisition in the James Bay region, but are currently consolidating this rise with a sideways movement at about the same level as the latest financing. Should this season’s exploration and drilling work be crowned with success, however, we believe that a completely different dynamic could emerge again. We are excited, but would like to point out that this is a high-risk speculation – as is the case with all exploration companies. However, the examples of Patriot Battery Metals and Q2 Metals alone show that there is also great potential. We are staying on the ball.
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Pursuant to §34b WpHG and §48f Abs. 5 BörseG (Austria) we would like to point out that GOLDINVEST Consulting GmbH and/or partners, principals or employees of GOLDINVEST Consulting GmbH hold shares of Brigadier Gold and therefore a conflict of interest exists. GOLDINVEST Consulting GmbH also reserves the right to buy or sell shares of the company at any time, which could influence the price of the shares of Brigadier Gold. In addition, there is a consulting or other service contract between Brigadier Gold and GOLDINVEST Consulting GmbH, with which a further conflict of interest exists, since Brigadier Gold remunerates GOLDINVEST Consulting GmbH for reporting on Brigadier Gold.
