(TheNewswire)
Coquitlam, BC - TheNewswire - December 21, 2023 - Fuse Battery Metals Inc. (“ the Company ” or“ Fuse ”) (TSXV:FUSE ) ( OTC:FUSEF ) ( FRA:43W3 ) provides thefollowing update to its Shareholders.
TO OUR SHAREHOLDERS
Happy Holidays, and I would like to start by thankingyou for your support of our Company. We appreciate your continuedsupport of our team and the development of our world class NorthAmerican lithium and cobalt properties.
We have spoken many times in the past about the shiftto Electric Vehicles (EV) in North America and throughout the globe. We have reached a global milestone in EV car production. Thereare now over 41 million electric vehicles on the road globally, thanksin part to forward looking consumers and auto manufacturers,government incentives and persistently high gas prices at thepumps!
The consumer trend to adopt EVs and leaving their gasguzzling automobiles by the wayside is undeniable. Governmentsaround the world are beginning to require that all new cars be zero emissionvehicles , and are stepping up with EVsubsidies for both consumers and manufacturers . Automanufacturers worldwide are producing more EVs for sale each year,both in terms of the number of car and truck model options availablefor consumers but also in terms of the numbers of cars produced. Onegood example can been seen by the recent announcement by Tesla Inc.( NASDAQ: TSLA ) to increase the capacity of a newly proposed Mexicanmanufacturing facility to produce over 2 million vehicles / year andcommitting to an investment of US$10 Billion in2025 .
A key component in the production of EVs is theexploration, mining and refining of key battery metals like Lithium and Cobalt . Both Canada and the US havecommitted to supporting the mining industry for these key batterymetals and recent legislation like the US Inflation ReductionAct confirms both financial andfunctional support to the mining industry as part of an overall longterm strategy for clean technology and progressive solutions toclimate change.
As you are aware, Fuse Battery Metals has completed a CAD$1.5 million financing at around this time last year and we currentlyhave a cash balance of over CAD$1 million in our treasury and a healthy balance sheet. I am proud to say thatwe are fully funded for the 2024 mineral exploration season.
Nevada Lithium ExplorationPlan
Recently we have added two new and highly prospectivelithium properties to our asset portfolio in Nevada. The Monitor Valley and the Lithium Springs Properties been added to ourexisting Ontario Cobalt - Glencore Bucke and TeledyneProperties in Canada.
At the MonitorValley Lithium Project , the Company contractedthe services of Rangefront Geological to performboth a detailed soil sampling on a 100 m X 100 m spacing and KLM Geoscience LLC to perform aCSAMT geophysical survey to obtain information about subsurfaceresistivity and geology. A total of nine CSAMT lines were surveyedfor a total coverage of 17-line kilometers. Together thesegeological techniques should help predict geological structure andpossible locations for sub-surface lithium accumulation. Resultsfrom this Phase 1 exploration program will be key to determining our2024 exploration plan and possible drilling locations for clay-basedlithium targets.
Our geological team plans to meet up over the holidaysto discuss next steps on this project. This first phase of theexploration plan in Monitor Valley is part of a methodical andsystematic approach to understanding the underlying geology of ourproperty. This work will assist our geological team to determinenext steps for the overall lithium exploration program, including butnot limited to a potential subsequent drilling program.
Exploration at Lithium Springs is planned to take place inthe spring/summer of this 2024 for the beginning of the 2024 NevadaExploration Season.
Our aim is to advancethese projects as quickly as possible and build them into long-termrobust assets benefiting all shareholders.
Ontario Cobalt ExplorationProperties
We have previously announced the completion of adiamond drill program at the Glencore Bucke Property. On September 5,2023 , we announced the final assayresults from this program, showing some great results and that we intercepted 7.75% Co and 5.44% Ni over 0.42m atGlencore-Bucke.
The Company successfully intercepted cobaltmineralization in seven of the diamond drill holes and encounteredzones of increased copper bearing sulphides in five diamond drillholes. Several of the cobalt veins contained high grade cobalt. Thedrilling on the northwest part of the property was locatedunderneath/below the existing intercepts and were successful inlocating mineralized structures. This suggests the mineralization willcontinue at depth. To the south-west and bordering the Teledyneproperty, the drill holes were dual purpose; they were planned to bothfollow-up existing drilling and test the First Priority GeophysicalTargets together. Several veins were encountered, and this suggeststhe veining may continue south onto the Teledyne property.
We have recentlyannounced that our cobalt propertiesin Ontario Canada are being spun into a subsidiary to betterdistribute focus and resources on this overall project. We now planto list this company on the TSX Venture Exchange in the early part of2024. It will be called Ignition Battery Metals Inc . (“Ignition”).Current Fuse shareholders will receive a significant boost in valuefrom this transaction, as it will result in a free common sharedividend in Ignition shares representing a proportionate value in thisnew public company. We are doing this to give our shareholders a bonus — a share in another public companyfor no cost.
For a bit of addedperspective, our Ontario Cobalt Properties are located beside theformer cobalt producing Agaunico Mine. From 1905 through to 1961, theAgaunico Mine produced a total of 4,350,000 lbs. of cobalt (“Co”),and 980,000 oz of silver (“Ag”) (Cunningham-Dunlop,1979). The amount of cobaltproduced from the Agaunico Mine is greater than that of any other minein the Cobalt Mining Camp.
Cobalt continues to bein high demand and global cross-commodity reporting analysts likeFastmarkets, predict that increasing cobalt demand over thenext decade driven primarily by fully electric EV (xEV)adoption . This bodes well for thiscommodity and our Company plans will benefit our shareholders in thelong-term by spinning out this venture as a separate entity to bevalued accordingly.
In closing out this year, we wanted to thank you foryour continued support and we look forward to creating new value eachand every day for our shareholders.
Tim Fernback
President & CEO
Fuse Battery Metals Inc.
Qualified Person
Mr. Seth Cude, P.G. is a Qualified Person as defined byNational Instrument 43-101 and has approved the technical informationcontained within this news release with respect to our Nevada LithiumProperties.
The technical information in this news release relatingto our Ontario Cobalt properties was approved and prepared under thesupervision of Mr. Matthew Halliday, P.Geo., (PGO), President and COOof Canada Silver Cobalt Works Inc., a qualified person accordance withNational Instrument 43-101.
About Fuse Battery Metals Inc. https://fusebatterymetals.com
Fuse Battery Metals Inc. is a Canadian basedexploration company that trades under the symbol FUSE on the TSXVenture Exchange. The Company's focus is on exploration for high valuemetals required for the manufacturing of batteries.
Nevada Lithium Properties
Fuse owns 100% of the Lithium Springs Property which is located at the southern end of Black Rock Desert,Nevada, about 132 air-line km north-northeast of Reno, Nevada inSections 1, 2, 11, and 12 Township 32 North, Range 23. The center ofthe property is about 40.676° North Latitude, 119.331° WestLongitude, (40° 40’ 33” N, 119° 19’ 52”): UTM X 302,900 UTMY4,505,400 NAD 27; Zone 11 N. Black Rock Desert basin is about 110km long and up to 25 km wide at the widest point. The central playameasures about 50 km northeast - southwest and 10 km southeast -northwest. The western arm of the Black RockDesert covers an area of about 2,000 square kilometers and contains 5of the 30 currently listed Known Geothermal Resource Areas inNevada .
Fuse also owns 100% of the Monitor Valley North LithiumProperty which includes 97placer claims (MVN1 – MVN97) covering approximately 770 hectares ofalluvial sediments and clays located 134 km northeast of Tonopah,Nevada. The property is located in Monitor Valley, Nevada, and thecenter of the property is about 39.21° North Latitude, 116.65° WestLongitude. The property is 55 km due west of the Little SmokeyValley, Nevada where exploration for lithium is ongoing.
Ontario Cobalt Properties
Fuse owns a 100% interest its Glencore Bucke Property,situated in Bucke Township, 6 km east-northeast of Cobalt, Ontario,subject to a back-in provision, production royalty and off-takeagreement. The Glencore Bucke Property consists of 16.2 hectares andsits along the west boundary of Fuse’s Teledyne Cobalt Project. The Company also owns a 100% interest, subject to a royalty, in theTeledyne Project located near Cobalt, Ontario. The Teledyne Propertyadjoins the south and west boundaries of claims that hosted the AgnicoMine.
Glencore Bucke/TeledyneProperty
Situated in Bucke Township, 6 km east-northeast ofCobalt, Ontario the Glencore Bucke Property adjoins, on its northeastcorner, the former cobalt producing Agaunico Mine. From 1905 throughto 1961, the Agaunico Mine produced a total of 4,350,000 lbs. ofcobalt (“Co”), and 980,000 oz of silver (“Ag”)(Cunningham-Dunlop, 1979). Theamount of cobalt produced from the Agaunico Mine is greater than thatof any other mine in the Cobalt Mining Camp. Production ceased in 1961 due to depressed Co prices and over-supply(Thomson, 1964). The Glencore property is 100% owned by Fuse Cobaltsubject to a back-in provision, production royalty and off-takeagreement.
The associated Teledyne Property, located in Bucke andLorrain Townships, consists of 5 patented mining claims totaling 79.1ha, and 46 unpatented mining claim cells totaling approximately 700ha. The Property is easily accessible by highway 567 and awell-maintained secondary road .
Over CAD$25 million has been spent thus far, (2020dollars inflation-adjusted) on the Teledyne Property resulting invaluable infrastructure including a development ramp and a moderndecline going down 500 ft parallel to the main cobalt mineralizedvein. The Teledyne Property is subject to a production royalty infavor of New Found Gold and an off-take agreement in favor of GlencoreCanada Corp., while the Glencore Bucke Property is subject to aback-in provision, production royalty, and an off-take agreement infavor of Glencore Canada Corp. Glencore PLC is the world’s largestproducer of cobalt. Asignificant portion of the cobalt that was produced at the AgaunicoMine was located along structures (Vein #15) that extended southwardtowards the northern boundary of the Teledyne Cobalt Property, currently 100% owned by FUSE. Mineralization wasgenerally located within 125 ft (38.1 m) above the Huronian/Archean unconformity. Stoping widths of up to 50 ft(15.2 m) were not unusual at the Agaunico Mine (Cunningham-Dunlop,1979).
On Behalf of the Board ofDirectors
“Tim Fernback”
Tim Fernback, President &CEO
Contact Information:
Email: info@fusebatterymetals.com
Phone: 236-521-0207
Neither the TSX Venture Exchange norits Regulation Services Provider (as that term is defined in thepolicies of the TSX Venture Exchange) accepts responsibility for theadequacy or accuracy of this release.
Cautionary Note Regarding ForwardLooking Statements: This release contains forward-looking statementsthat involve risks and uncertainties. These statements may differmaterially from actual future events or results and are based oncurrent expectations or beliefs. For this purpose, statements ofhistorical fact may be deemed to be forward-looking statements. Inaddition, forward-looking statements include statements in which theCompany uses words such as “continue”, “efforts”,“expect”, “believe”, “anticipate”, “confident”,“intend”, “strategy”, “plan”, “will”, “estimate”,“project”, “goal”, “target”, “prospects”,“optimistic” or similar expressions. These statements by theirnature involve risks and uncertainties, and actual results may differmaterially depending on a variety of important factors, including,among others, the Company’s ability and continuation of efforts totimely and completely make available adequate current publicinformation, additional or different regulatory and legal requirementsand restrictions that may be imposed, and other factors as may bediscussed in the documents filed by the Company on SEDAR(www.sedar.com), including the most recent reports that identifyimportant risk factors that could cause actual results to differ fromthose contained in the forward-looking statements. The Company doesnot undertake any obligation to review or confirm analysts’expectations or estimates or to release publicly any revisions to anyforward-looking statements to reflect events or circumstances afterthe date hereof or to reflect the occurrence of unanticipated events.Investors should not place undue reliance on forward-lookingstatements.
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