Projects / Montviel Property

On April 20, 2011, Electric Metals announced that it had entered into an option agreement with Zimtu Capital Corp. and a group of three private individuals to purchase a 100% interest in 8 claim blocks in the Abitibi region of Quebec near Geomega Resources Inc.’s (TSX-V: GMA) Montviel property.

The Abitibi claims total 21,600 hectares (216 square kilometres) and cover most of the known syenite occurrences surrounding the Montviel syenite-carbonatite complex, which has recently returned results of 485 metres of 1.44% TREO including 111 metres of 2.09% TREO.
 
Four of the eleven local syenite complexes have already been confirmed to host carbonatite.  Of the eight claim blocks that comprise the Abitibi properties, at the Ailly complex, approximately 10 kilometres south of Montviel, historical drilling has intersected carbonatite similar to that which hosts REE mineralization at Montviel, but was not assayed for REE at the time.

The Abitibi syenite-carbonatite complexes were emplaced along two major structural corridors.  The Abitibi claims cover most of the known syenite occurrences that have intruded these trends.  Because syenite occurs with carbonatite at Montviel and Ailly, the remaining syenites of the Abitibi claims may also be prospective for carbonatite emplacement and associated REE mineralization.  With one confirmed but unassayed carbonatite occurrence and the potential to host additional favourable REE hosting lithologies, the Abitibi claims present a large-scale, highly prospective target in Canada’s new REE district.

Under the terms of the Option Agreement, Electric Metals has the option to purchase a 100% interest in the Abitibi claims by paying $250,000 and issuing 5,500,000 shares of the Company over 2 years.  The property is subject to a 2% Net Smelter Royalty, 1% of which can be purchased for $500,000.  Consul-Teck Mineral Exploration Consultants Inc., of Val D’Or, Quebec, will operate the exploration program in year one.