SYDNEY, AUSTRALIA: Perpetual Resources Limited (ASX: PEC), a silica and sand products developer, has announced that it has signed an additional option agreement to acquire three more lithium exploration permits in Brazil.
The deal follows the previous option agreement for four lithium permits in the same region, which was announced on 21 July 2023.
The three new permits, which cover an area of 2,000 hectares, are located in the state of Minas Gerais, within the ‘Eastern Brazilian Pegmatite District’ (EBPD), a world-class hub for hard-rock lithium spodumene deposits. The EBPD accounts for 100% of all officially recognised lithium reserves in Brazil.
The new permits are also situated in an interpreted extension of the modelled pegmatite corridor that runs from the Salinas Lithium Project, owned by Latin Resources (ASX: LRS), through the Colina Lithium deposit, and potentially further northeast into the permits under option.
Perpetual Resources has 60 days to complete due diligence and exercise or terminate the option. The consideration for the option includes cash payments, share issues and net smelter return royalties.
Robert Benussi, Managing Director of Perpetual Resources, commented on the deal: “We have moved quickly and decisively to build a commanding land position in what has become the premier spodumene area in Brazil, which boasts several Tier 1 deposits either adjacent or on trend from the tenements we have secured under option, and which have earned the region the label of the ‘Lithium Valley’ of Brazil.”
He also said that the company was forging a close working relationship with the permit vendor group and several other in-country specialists, which would enable Perpetual to quickly assess and explore these compelling ground positions.
Perpetual Resources is a Perth-based company that operates the Beharra Silica Sand Project in Western Australia. The company is also pursuing opportunities in the lithium sector, as part of its strategy to broaden its project portfolio with complementary assets.