Battery Mineral Resources Corp. Announces Facility Increase and Maturity Extension of Bridge Loan, Exploration Update on Cinabrio Concessions, and Publication of Inaugural ESG Report
Battery Mineral Resources Corp. Announces Facility Increase and Maturity
Extension of Bridge Loan, Exploration Update on Cinabrio Concessions, and
Publication of Inaugural ESG Report
Vancouver, British Columbia – (June 7, 2023) – Battery Mineral Resources Corp.
(TSXV: BMR ) ( OTCQB: BTRMF ) (“ Battery” or “BMR” or the “Company”)
announces that it has entered into an amendment to its existing bridge loan facility
provided by Weston Energy LLC (the “ Lender”). The amendment increases the
facility size from USD$4,000,000 to USD$5,300,000 and extends the maturity date
to September 15, 2023. All other terms remain unchanged.
Martin Kostuik, BMR CEO and Director stated, “Battery is very pleased that our largest
shareholder continues to demonstrate their strong support of the company and
provide an additional USD$1,300,000 in funding on favorable terms . This funding
will assist in the development of the Punitaqui project until project financing for the
restart of production at Punitaqui is procured . The Company intends to use the
proceeds of the expanded loan to continue advancing Punitaqui towards restarting
sustainable copper concentrate production, and for additional working capital . We
look forward to announcing the f unding of the restart of the Punitaqui mine in the
near term.”
The Lender has control or direction over securities of the Company carrying more
than 10% of the voting ri ghts attached to all of the Company’s outstanding voting
securities. Accordingly, the Loan is considered a related party transaction under the
policies of the TSX Venture Exchange (the “ TSXV”). The Company is exempt from
the formal valuation requirement under Multilateral Instrument 61-101 Protection of
Minority Security Holders in Special Transactions (“MI 61-101”) as its securities are
listed for trading on the TSXV. The Company is also exempt from the minority
approval requirement under MI 61-101 as the Loan has been provided on reasonable
commercial terms that are not less advantageous to the Company than if it were
obtained from an arm’s length party. Further, the Loan is not convertible into or
repayable in securities of the Company.
Exploration Update – Cinabrio Concessions Ground Magnetics Survey
BMR recently completed a detailed ground magnetics survey of 620 line-km over the
Cinabrio concessions at the Punitaqui Mine Complex. These concessions host the
historic Cinabrio mine, the San Andres resource, and the Cinabrio Norte resource.
The principal goal of the survey was to characterize the magnetic signature of the
formerly producing Cinabrio mine, and the San Andres and Cinabrio Norte resources.
intends to use this magnetic signature information to explore the greater property
area to attempt to discover potential new mineralization.
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The magnetic survey clearly delineated a magnetic signature for the known deposits
and significantly enhanced the understanding of several prospective targets onBMR
claims.
Details of Program
Argali Geofisica Chile E.I.R.L completed the field work in two phases, the eastern grid in June
2022 (301.7 line-km) followed by the adjacent western block in February 2023 (317.8 line -km).
Both survey grids consisted of east-west lines and some north-south tie-lines with a
spacing of 50m (see Figure 1: RTP Magnetics plot with known mineral deposits and
exploration targets). Magnetic data was acquired as a continuous profile once every
second that yielded a station spacing of approximately 0.5m to 1.5m. Survey control
was maintained with an internal high-quality GPS system. Complete UTM coordinates
and elevation data were simultaneously acquired with each magnetic reading. A GEM-
19 magnetometer was used as a base station and a second unit as the mobile survey
unit. During data processing all of the magnetic responses identified during the field
survey attributable to physical features such as mine infrastructure, power lines,
fences, houses and pipelines were deleted. The following magnetic products were
generated from the data:
- Total Field Map (TMI)
- Pole-Reduced (RTP) Map (Upward continued 10, 50, and 100 m)
- Analytic Signal of Vertical Integration of TMI
- Analytic Signal of TMI
- Vertical Derivative of TMI
- Elevation (Shaded and contours)
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Figure 1: RTP Magnetics Plot With Known Mineral Deposits (Cinabrio mine, San
Andres, Cinabrio Norte) and Exploration Targets (Campo Velado, La Higuera, St
Elvira, Inferillo)
Data Analysis
Analysis of the data indicates that remanent magnetism is likely present in some
areas. Consequently, the data were modelled with both the UBC MAG3D and the
Magnetic Vector Inversion (MVI). The MVI inversions were provided by Ellis
Geophysical Consulting of Reno Nevada. Both inversions generated a 3D model of
the magnetic susceptibility that fit the observed total field magnetic data. The
magnetic susceptibility is directly related to the magnetite content of most rocks, so
the 3D susceptibility model provi des a strong model of the subsurface magnetite
distribution.
At the Cinabrio mine, (see Figure 2: Cinabrio MVI Inversion Plot) a moderately strong
magnetic response was identified on the west side of the main deposit that correlates
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with mapped east dipping magnetic sedimentary horizons which host the copper
mineralization. The 3D inversions also confirm the strongest observed magnetic
anomalies are at surface and weaken to the east due to the steep dip of the magnetic
zones. Similar magnetic signatures were identified at the San Andres and Cinabrio
Norte resources. The San Andres magnetic signature is shallow with limited depth
extent around 200m that correlates well with the geological interpretation that San
Andres is the off-faulted upper portion of the Cinabrio deposit.
Several magnetic anomalies appear similar in size and amplitude to the Cinabrio Mine
magnetic signature. These magnetic anomalies correlate with local historic copper
oxide mine workings and with exploration targets that had been identified by earlier
surface g eological mapping, prospecting, and rock sampling by BMR prior to the
magnetic survey. Much of the mapped and prospected areas had not previously been
explored by previous operators on the Cinabrio concessions. Battery technical staff
identified several surface anomalies including La Higuera, Salguera , St. Elvira and
Campo Velado.
The La Higuera target, located east of Cinabrio, hosts the largest and strongest
magnetic anomalies that consist of a larger response in the center flanked by
anomalies to the west and east. Each magnetic target is composed of multiple smaller
anomalies indicting both widespread and concentrated magnetite distribution.
Additional ground follow-up is being planned by BMR geologists.
North of La Higuera , is the Salguera target where NW to NNW trending magnetic
anomalies correlate well with mapped sedimentary stratigraphy, particularly the
northern part of Salguera which ha d been previously identified by BMR as an
exploration target. The stronger anomalies detected south of the road have not been
previously identified as exploration targets. These strong, east dipping magnetic
lineaments are interpreted to be associated with the same magnetic sedimentary
unit. Further detailed field investigations are planned.
In the northern part of the survey grid, the Campo Velado target is associated with
relatively narrow magnetic anomalies with limited depth extent. These magnetic
responses are weaker and less well-defined but there is an interesting NNE trending
structural target that BMR geologists believe warrants further investigation.
The St Elvira target situated in the southwest part of the grid hosts multiple strong
anomalies typically striking from NW to NS. The character of this anomaly is
somewhat different from the Cinabrio area, indicating that the magnetic source and
bedrock lithology may be different. This magnetic target coincides with a number of
historic oxide copper workings. The regional NW trending fault, locally known as the
Inferillo Fault, coincides with a strong magnetic linear feature. Another magnetically
anomalous zone, “Inferillo”, is observed to th e NW of the fault. Some of the linear
anomalies in this area resemble the anomalies near Cinabrio, so it is possible that
the favourable sedimentary sequence is present. Shallow colluvium covers many of
the anomalous areas.
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Figure 2: Cinabrio Deposit MVI Inversion Plot
Summary
The magnetic survey has clearly delineated a magnetic signature for the know n
deposits (Cinabrio, San Andres and Cinabrio Norte) and significantly enhanced the
prospectivity of the La Higuera, Salguera, Campo Velado and St Elvira Inferillo
targets.
Peter Doyle, Vice President of Exploration stated “We were very pleasantly surprised
by how well the 3D inversions of the magnetic surveys corresponded with the known
resources delineated by resource drilling. This leads us to believe that following up
on the known surface targets (La Higuera, Salguera, St. Elvira and Campo Velado)
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with the most similar magnetic signatures to the Cinabrio mine, and the San Andres
and Cinabrio Norte resources could lead to new zones that deserve to be further
investigated and eventually drilled. Additionally, the 3D inversion of the magn etic
survey produced a new blind target called Inferillo that we intend to explore further.
We look forward to following up on these targets and reporting significant results to
the market”.
Inaugural ESG Report
BMR is also pleased to announce it has published its inaugural ESG (Environmental,
Social and Governance) report on the BMR website and found here : Corporate
Governance | Battery Mineral Resources Corp. (bmrcorp.com) . The Company will
publish a Spanish language version on its website shortly.
BMR is committed to the principles of ESG as a means of enhancing long -term
enterprise value and addressing the societal priorities enshrined in the United
Nations’ Sustainable Development Goals. In April 2023, the Company made a
commitment to c ommence reporting on the ESG disclosures of the Stakeholder
Capitalism Metrics (SCM) of the World Economic Forum (WEF).
BMR looks forward to keeping stakeholders appraised of its progress and meeting its
ESG-related goals.
About Battery Mineral Resources Corp.
Battery Mineral Resources is a battery minerals company providing shareholders
exposure to the global mega -trend of electrification while being focused on growth
through cash-flow, exploration, and acquisitions in favourable mining jurisdictions.
Battery Mineral’s mission is the discovery, acquisition, and development of battery
metals (namely cobalt, lithium, graphite, and copper), in North America, South
America and South Korea and to become a pre mier and responsible supplier of
battery minerals to the electrification marketplace. BMR is currently pursuing a near-
term resumption of operations of the Punitaqui Mining Complex, a past copper-gold-
silver producer, in the Coquimbo region of Chile. BMR i s the largest mineral claim
holder in the historic Gowganda Cobalt -Silver Camp in Ontario, Canada, and
continues to pursue a focused program to build on the recently announced, +1 -
million-pound high-grade cobalt resource at McAra. In addition, Battery Mineral owns
100% of ESI Energy Services, Inc. (including ESI’s wholly owned USA operating
subsidiary, Ozzie’s, Inc.), a profitable mainline pipeline and renewable energy
equipment rental and sales company with operations in Alberta, Canada and Arizona,
USA. Battery Mineral Resources is based in Canada and its shares are listed on the
Toronto Venture Exchange under the symbol “BMR” and on the OTCQB under the
symbol “BTRMF”. Further information about BMR and its projects can be found on
www.bmrcorp.com.
For more information, please contact:
Martin Kostuik, CEO
Phone: +1 (604) 229 3830
Corporate Communications
IBN (InvestorBrandNetwork)
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www.investorbrandnetwork.com/
310.299.1717 Office
Twitter: @BMRcorp_
Facebook: Battery Mineral Resources Corp. | Facebook
LinkedIn: Battery Mineral Resources Corp.: My Company | LinkedIn
Website: www.bmrcorp.com
Neither the TSXV nor its Regulation Services Provider (as that term is defined in the
policies of the TSXV) accepts responsibility for the adequacy or accuracy of this
press release.
Forward Looking Statements
This news release includes certain “forward -looking statements” under applicable
Canadian securities legislation. There can be no assurance that such statements will
prove to be accurate, and actual results and future events could differ materially from
those anticipated in such statements. Forward-looking statements reflect the beliefs,
opinions and projections of the Company on the date the statements are made and
are based upon a number of assumptions and estimates that, while considered
reasonable by the Company, are inherently subject to significant business, economic,
competitive, political and social uncertainties and contingencies. Many factors, both
known and unknown, could cause actual results, performance, or achievements to be
materially different from the results, performance or achievements that are or may
be expressed or implied by such forward -looking statements and the parties have
made assumptions and estimates based on or related to many of these factors. Such
factors include, without limit ation, the ability of the Company to obtain sufficient
financing to complete exploration and development activities, risks related to share
price and market conditions, the inherent risks involved in the mining, exploration
and development of mineral prope rties, the ability of the Company to meet its
anticipated development schedule, government regulation and fluctuating metal
prices. Accordingly, readers should not place undue reliance on forward -looking
statements. Battery undertakes no obligation to update publicly or otherwise revise
any forward -looking statements contained herein, whether as a result of new
information or future events or otherwise, except as may be required by law.