EV Metals Group plc (“EVM” or “the Company”) a global battery chemicals and technology company, is pleased to announce the successful completion of an initial exploration programme at the Balthaga Lithium Project (“Balthaga Project” or “Project”) in the Kingdom of Saudi Arabia. The programme, led by UK listed Power Metals Resources plc (“Power Metal”) in conjunction with EVM’s special purpose subsidiary, Riwaq Al Mawarid for Mining (“RIWAQ”) marks an important milestone in unlocking value from the Balthaga Project’s tenement package.
The Project, located 450km east of Jeddah in the South-East of the Arabian Shield comprises 13 tenements, covering a total area of approximately 1,200km2. All 13 tenements already have exploration licenses granted with the final 2 having recently being granted in April. Previous work conducted to date indicate the prospects of lithium and rare earths. RIWAQ also holds 2 separate tenements, which are prospective for nickel and copper/molybdenum porphyry systems respectively. These are both pending final grant.
The exploration programme follows the signing of an earn-in joint venture between RIWAQ and Power Metal announced on 26 March 2024 whereby Power Metal has the right to earn a 20% ownership interest in the 15 tenements by funding US $350,000 in expenditure within the first 12 months.
A comprehensive desktop study was carried out by Power Metal, identifying 44 initial priority targets within the Balthaga Project area. The targets were defined by a combination of historic sampling and associated results, historic geological reports discussing target lithologies, geological features such as dykes, veins and structural traps, and a suite of eight Mineral Occurrence Documentation System (MODS) extracted from various papers on the area.
The field programme was designed to locate the majority of these targets, visit all priority targets and, where appropriate, take initial rock chip samples for analysis. A field team subsequently visited all defined targets within the 13 licensed tenements, covering 1,200 km² over seven days. Despite challenging conditions due to extreme weather, a total of 43 in-situ rock chip samples were collected from identified targets. Each sample was given a unique number, the outcrop sampled was photographed, as was the sample itself, with a description of the sample taken to ensure maximum data was captured at each location.
The samples have been submitted to ALS Jeddah for analysis, with results expected in Q3 2024. An additional 23 rock samples collected by EVM in 2022 were also submitted for analysis. Following the receipt and interpretation of analytical results, Power Metal and RIWAQ will plan the next stage of exploration to further advance the project.
Luke Fitzgerald, CEO of EV Metals Group plc, commented: “The completion of this initial field exploration programme is an important step in understanding the mineral potential at Balthaga to support the EVM strategy of developing a critical raw materials supply chain in the Kingdom of Saudi Arabia. We are encouraged by the thorough and systematic approach undertaken by the team, which identified multiple targets and will generate data to define the next stages of the exploration work. We look forward to the continued collaboration with Power Metal Resources as we advance the project.”
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EV Metals Group plc
Luke Fitzgerald, Chief Executive Officer
luke.fitzgerald@evmetalsgroup.com
EV Metals Group plc – Media Enquiries
Garreth Young / Hannah Newberry
marcomms@evmetalsgroup.com
Power Metal Resources plc
Sean Wade, Chief Executive Officer
sean.wade@powermetalresources.com
Power Metal Resources plc – Media Enquiries
Tim Blythe / Megan Ray / Alastair Roberts, BlytheRay (PR Advisors)
Tel: +44 (0) 20 7138 3204
Figure 1: Typical terrain at Balthaga Project, Saudi Arabia, June 2024
Figure 2: Summary Exploration Target map, Balthaga Project, Power Metal Resources, June 2024
Figure 3: Pegmatite in vicinity of target T14, Balthaga Project, June 2024
Figure 4: Samples prepared for submission to ALS Jeddah, June 2024
About EV Metals Group plc
EV Metals Group plc (EVM) is a global battery chemicals and technology business committed to a clean energy future.
EVM is focused on the production of high purity chemicals required in rechargeable batteries for electric vehicles and renewable energy storage. Our business model is based on the integration of upstream (mining) and midstream (chemical refining) supply chains for critical raw minerals from geopolitically aligned sources to produce high purity battery chemicals vital to the global energy transition.
Through our mine to refine value proposition, we will offer transparent and stable supplies of high purity battery chemicals to growth markets including the Middle East, Europe and North America. This will involve upstream mining and production of intermediate products via participation and ownership of mining mineral resources, facilitated by joint ventures and long-term offtake agreements for midstream processing at our planned chemical refining plant in the Kingdom of Saudi Arabia (KSA).
Our flagship Lithium Chemicals Plant (LCP) in Yanbu Industrial City in KSA is being developed as a midstream hub for diversification and geopolitical alignment of supply chains for electric vehicle and battery cell manufacturers. The LCP is set to play a critical role in the Kingdom’s industrial diversification efforts, featuring an initial nameplate capacity to produce 50,000 TPA of high purity Lithium Hydroxide Monohydrate (LHM), a crucial chemical product expected to face significant deficits by 2030 due to overwhelming global demand.
Incorporated in 2014, EVM is a private company with operations in Western Australia, United Kingdom and KSA.
For further information on EVM please visit www.evmetalsgroup.com.
About Riwaq Al Mawarid for Mining
Riwaq Al Mawarid for Mining (RIWAQ) is a special purpose subsidiary of EV Metals Group plc (EVM) focused on developing the Saudi supply chain through the production of critical raw materials from exploration, mining, and processing of minerals and metals in the Kingdom of Saudi Arabia.
RIWAQ is actively engaged in exploring for lithium, nickel sulphides, and other battery metals in the Arabian Shield, with a focus on the Balthaga Lithium Project located in an area prospective for lithium pegmatites.
With a well-developed strategy and in conjunction with its joint venture partners, RIWAQ is seeking to execute field programs for the rapid development of critical upstream raw materials.
The exploration activities by RIWAQ complement EVM’s midstream plans to develop its flagship Lithium Chemicals Plant project at Yanbu Industrial City in the Kingdom of Saudi Arabia, which will produce high-purity lithium hydroxide monohydrate (LHM) from spodumene concentrate. LHM is a crucial chemical product expected to face significant deficits by 2030 due to overwhelming global demand for lithium-ion batteries.
About Power Metals Resources plc
Power Metal Resources plc (AIM:POW, OTCQB:POWMF) is a London-listed metals exploration company which finances and manages global resource projects and is seeking large scale metal discoveries.
The Company has a principal focus on opportunities offering district scale potential across a global portfolio including precious, base and strategic metal exploration in North America, Africa, Saudi Arabia and Australia. Project interests range from early-stage greenfield exploration to later-stage prospects currently subject to drill programmes.
Power Metal will develop projects internally or through strategic joint ventures until a project becomes ready for disposal through outright sale or separate listing on a recognised stock exchange thereby crystallising the value generated from our internal exploration and development work. Value generated through disposals will be deployed internally to drive the Company’s growth or may be returned to shareholders through share buy backs, dividends or in-specie distributions of assets.