Intra Energy Corporation Limited (ASX:IEC) has concluded a capital raise of A$3.6 million for the Llama Lithium Project in Canada, by issuing 720,000,000 shares at $0.005 per share, as announced earlier on 18 May 2023.

The lead manager for the raise, Wentworth Securities, confirmed that this arrangement included a one-for-two free-attaching option, exercisable at A$0.015, set to expire 24 months from the issuance date.

The funds raised will facilitate immediate exploration of the Llama Lithium Project, located in the exploration-centric James Bay region of Quebec. Detailed geological mapping and sampling are set to commence in the second half of 2023, complemented by high-resolution aerial imagery and magnetic surveying to define quality targets. Upon receiving the necessary approvals, diamond drilling will be used on the identified targets.

The Llama Lithium Project lies 40 km and 120 km from the Winsome Resources Adina Project and Patriot Battery Metals Corvette Project, respectively, both notable for their lithium deposits. Moreover, the region hosts the James Bay Deposit by Allkem and Nemaska’s Whabouchi Deposit, further underscoring the lithium potential.

The lithium project encompasses 123 wholly-owned mineral claims consolidated into a single block spanning approximately 63 km². The region consists of greenstone rocks from the Dalmas and Escale formations, with no previous geological exploration recorded. Nonetheless, DG Resource Management has identified the Llama Lithium Project as having prospective lithium potential based on the review of pegmatite occurrences within favourable host rocks in the area, indicating the possibility of hosting spodumene-bearing pegmatites.

While the close proximity of significant lithium discoveries accentuates the exploratory potential of the James Bay Region, it does not guarantee similar mineralisation at the Llama Lithium Project. “Although significant discoveries of lithium at projects nearby the Llama Lithium Project shows the exploration potential of the James Bay Region and inform IEC’s exploration programs moving forward, it does not necessarily mean the Llama Lithium Project will be host to such mineralisation,” the company clarified.

  Canada, DG Resource Management, Intra Energy Corporation, James Bay Region, Lithium, Llama Lithium Project, Quebec, Wentworth Securities