Krait Critical Minerals (CSE: KRIT) has signed a definitive agreement to acquire Nevada Hills Antimony LLC, handing the company a package of antimony claims in Washington State and a foothold in a metal Washington has spent the past two years trying to source domestically.
The acquisition brings Krait the Bales Antimony Project and the neighbouring Antimony Bell Project, which together consist of 17 claims covering roughly 310 acres in Okanogan County. Nevada Hills owns nine contiguous claims outright and holds contractual rights to acquire the eight claims that make up Bales itself, under terms requiring US$225,000 in payments and a 2.0% net smelter return royalty to the underlying owners. Four claims comprise Antimony Bell.
Historical work on the ground includes a discovery sample that assayed 10.9% antimony, and 37.82 tons of sorted material that was reported to grade 14.4% antimony. Roughly 100 tons were mined in 1951 and 1952, and 5 tons of lump stibnite were reportedly removed from the discovery trench.
At Antimony Bell, records describe a 32-foot shaft, several adits, and a 1,300-pound shipment of stibnite-bearing material in 1940. None of it has been verified by Krait, but is viewed as a starting point for a property that has sat largely untouched for 70 years.
Krait is paying 2.5 million shares at a deemed price of $0.87 and US$100,000 in cash, of which US$75,000 is due at closing and US$25,000 has already been advanced as an exclusivity fee.
“Execution of the Definitive Agreement is an important step in Krait’s strategy to add U.S. based antimony opportunities to its minerals portfolio,” chief executive Oscar Mendoza said in a statement. “We believe this combination of project acquisition and additional capital positions Krait to continue advancing Goldbar Spider Lake while rapidly evaluating the potential of the new antimony projects using systematic, modern exploration methods.”
Alongside the deal, the company launched a non-brokered private placement of up to 2 million shares at $0.75 for gross proceeds of up to $1.5 million, with no warrants attached. Proceeds are earmarked for exploration at the Goldbar Spider Lake Project, reconnaissance and sampling on the newly acquired ground, marketing, and working capital.
Krait Critical Minerals last traded at $0.87 on the CSE.
