Mansa Exploration Inc (CSE:MANS) is an early stage mineral exploration company that is currently split between two jurisdications. First, the firm is exploring for “battery minerals” in central Newfoundland, one of Canada’s current exploration hotspots. Second, the company is also exploring its Skyfire Property, a silver project located in the Cariboo Mining Division of central British Columbia.
Mansa’s primary focus is on nickel, cobalt chromium and other minerals being utilized in the production of batteries for the rapidly growing electric vehicle (EV) industry.
On June 1, 2021, Mansa announced the acquisition of the Wheeler Property in central Newfoundland, near the town of Stephenville. Under the terms of the agreement, a wholly-owned subsidiary of Mansa will amalgamate with Wheeler shareholders to acquire 100% of the shares of Wheeler, with the expected issuance of 10,795,002 Mansa shares to Wheeler shareholders.
The amalgamation is expected to be finalized by July 31, 2021.
The 19,012 hectare Wheeler Property consists of nine mineral claims located near the southern portion of the Bay of Islands Ophiolite Complex. The property reportedly covers layered mafic to ultramafic intrusions which are prospective for Nickel, Copper, Cobalt, Chromium and other platinum group elements (PGE) sulphide mineralization.
The Property was most recently evaluated for nickel-alloy mineralization by an exploration alliance formed by Altius Resources and Cliffs Natural resources in 2010. While strong nickel, copper, cobalt and chromium values were returned in the northeastern portion of the Wheeler Property, further exploration was halted after encountering high sulphur values. While Mansa concurs that sulphur reduces the likelihood of awaruite forming, it underscores excellent potential for the presence of magmatic nickel-sulphide mineralization.
A separate Newfoundland and Labrador National Geochemical Reconnaissance Survey contains the locations of extremely anomalous lake-sediment samples taken on the property, and showed the four highest nickel values in the province with values of 4,980, 4,750, 4,390 and 4,230 ppm Nickel respectively. Mansa will be preparing a multi-faceted work program consisting of mapping, airborne geophysics (EM and Mag), prospecting, rock sampling, soil sampling and drilling/trenching.
The growth of the EV industry is being driven by a global initiative to cut greenhouse gases and carbon emissions, and as a result, many countries have mandated that gasoline-powered vehicles will be gradually phased out. The major issue with EVs has been very expensive, poor quality batteries that limit a vehicle’s traveling range and other performance issues. The scientific community has been aggressively researching improvements in battery quality and have been experimenting with a variety of metals such as lithium, nickel, cobalt, vanadium and other minerals. This has resulted in a global exploration boom as mining companies move quickly to meet the demand for these metals.
Newfoundland is a very mining-friendly jurisdiction with a long history of mining, particularly base metals such as iron ore etc. The infrastructure in central Newfoundland is excellent, with well maintained roads, a strong power grid, and skilled labour force. The Wheeler Property is easily accessible by helicopter, and central Newfoundland has become a hotbed for exploration following New Found Gold’s (TSX-V:NFG) gold discovery in the Gander Gold District.
For junior exploration investors, Mansa represents a fresh new name to be aware of and there are no negative legacy issues associated with the Company. It is essentially a ground floor play and the story is just beginning. With only 21.98 million shares outstanding, a small market capitalization of $4.3 million and tight share float, Mansa appears to be a relatively low-risk play as the story is just beginning. Shareholders should expect a steady stream of news over time as the company prepares for and executes its exploration program.
FULL DISCLOSURE: Mansa Exploration is a client of Canacom Group, the parent company of The Deep Dive. The author has been compensated to cover Mansa Exploration on The Deep Dive, with The Deep Dive having full editorial control. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security.
