Clean Air Metals releases 1Q financial update and highlights

Clean Air Metals Inc (CVE:AIR) (OTCQB:CLRMF) (FRA:CKU) reported total assets of $37.9 million as of April 30, 2021, as well as total cash-on-hand of $14.1 million, according to its condensed and consolidated interim financial statements. 

The platinum group metals explorer focused on Ontario, which also released its analysis for the first three months of the year, also has $10.9 million earmarked as ‘working capital’ for its Thunder Bay North project. 

READ: Clean Air Metals reveals promising new intercepts from Escape Lake deposit on its Thunder Bay North polymetallic project

Highlights from the period include the closing of a bought deal private placement for total proceeds of $11.5 million. The placement consisted of 11,904,800 flow-through shares at a price of $0.42 per share, and 12,745,100 flow-through units at a price of $0.51 per flow-through unit. 

The first quarter of the year also saw shareholder equity climb to $31.3 million. 

On the exploration front, Clean Air Metals commenced a 30,000-meter diamond drill program with two drills at the Thunder Bay North project. 

The program is focused on systematic step-outs between resource centers within the Escape Lake deposit and aims to add 505,369 ounces of palladium equivalent to the indicated mineral resource at Thunder Bay North. 

A third drill was also budgeted and mobilized on six high-priority massive sulphide targets at the base of the Escape and Current deposit magma conduits. According to the company, there is a likelihood that additional accretive resource delineation drilling at the adjacent Current Lake deposit will increase the indicated mineral resource from its current 1,328,789 ounces palladium equivalent with an average grade of 3.44 grams per ton, outlined in the 2020 mineral resource update. 

Abraham Drost, CEO of Clean Air Metals said: “Exploration and development work continues apace at Thunder Bay North, with three drills turning 24/7. The drilling is consistently hitting new mineralization and the company is advancing and optimizing an internal engineering and metallurgical testing process looking to publish benchmark results later in the year.”

Lastly, Clean Air Metals and its wholly-owned subsidiary Panoramic PGMs have entered a memorandum of agreement with three local First Nations communities. The agreement, which was penned on January 9, 2021, was followed by the issue of warrants, reported January 28, 2021.

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Story by ProactiveInvestors