Platinova adds to tantalum portfolio

Platinova A/S (PAS-T) is engaged in preliminary talks with H.C. Starck, the world’s largest processor of tantalum and part of Germany’s Bayer Group.

Although the companies have not come to any formal agreements, Platinova says it will keep H.C. Starck up to date on its tantalum projects. Starck has indicated that it will be willing to conduct processing tests on samples from Platinova’s advanced-stage projects.

Platinova has recently added four new tantalum properties to its holdings.

The 47-claim Case property, 75 km east of Cochrane, Ont., covers an extensive pegmatite complex. Stripping by the property vendor has exposed three known pegmatite bodies that are more than 350 metres long and 35 metres wide at surface. Detailed mapping will begin as soon as possible. It will be followed by drilling.

Platinova can earn a 100% interest in the property by paying $219,000 in cash and issuing 700,000 special shares by April 2003. The company must also spend $500,000 on work by the end of 2003. The property is subject to a 2% net smelter return (NSR) royalty.

Along strike and contiguous to Case, Platinova has acquired a 50% joint-venture interest in 25 claim units from Navigator Exploration (NVR-V). The claims are subject to a 2.5% NSR royalty.

About 15 km north of Lake Nipigon in northwestern Ontario, the 32-claim Lamaune property covers a series of altered pegmatite outcrops and boulders that extends for about 1 km. Drilling in the 1950s delineated a 500-metre-long, flat-lying pegmatite sheet more than 10 metres thick. No analyses for tantalum are available. Detailed mapping and sampling will begin immediately.

Platinova can acquire the property by paying $70,000 in cash and issuing 200,000 special shares by October 2004. The property is subject to a 2% NSR royalty.

Platinova has inked an agreement in principle with Murgor Resources (MUG-M) to acquire a 75% joint-venture interest in the 46-claim Zigzag property, which lies in the Falcon Lake pegmatite trend, 15 km west of Lamaune.

Work in the 1950s and 1980s indicated the presence of five sub-parallel pegmatites, from 5 to 20 metres in width, exposed over 800 metres. Sampling of surface trenches returned up to 1 metre grading 0.37% Ta₂O₅, 2.5 metres of 0.21% Ta₂O₅ and 8.4 metres of 0.05% Ta₂O₅ over about 700 metres of strike. The property has been tested by three very short drill holes. Exploration, aimed at defining drill targets, is slated for August.

Platinova can earn its 75% interest by paying $101,000 by January 2005, completing $20,000 in work by November of this year and issuing 135,000 shares by January 2003. The company will fund all exploration until the time of a feasibility study. The property is subject to 2.5% NSR royalty.

At the Waco property, east of Yellowknife, initial surface trenching returned anomalous tantalum, but over widths that are deemed too small to warrant drilling. Geochemical prospecting is planned since a field visit to the Tot confirmed anomalous tantalum values at surface, including 0.05% Ta₂O₅ over 6 metres in chip samples.

In late August, the company also plans to sample a pegmatite trenched in the 1950s on the MNW property.

All of these deals are subject to regulatory approval.

The exploration programs will be funded by way of a non-brokered private placement of 1.35 million units at 15 apiece for proceeds of $202,500. Each unit comprises one share and one purchase warrant. One warrant allows the holder to buy an additional share for 18.75 within two years from closing.

The deal is expected to close by Aug. 17.