Oceana Elects Not to Join Monaro Lithium Venture in James Bay

Oceana Lithium Limited (ASX: OCN), commonly known as Oceana, has made the strategic decision to forgo the option to acquire a 100% interest in the Monaro Lithium Project, as disclosed in the ASX Announcement dated July 5, 2023. The Monaro Lithium Project encompasses 207 mineral claims, spanning an expansive 104 square kilometers across the western section of the Duhesme Lake metavolcanic-sedimentary greenstone belt in James Bay, Québec.

While the exploration efforts revealed elevated levels of Rubidium (Rb) and noteworthy low Potassium (K) to Rubidium ratios, identifying high-priority targets for further investigation, the overall findings from the field program conducted towards the end of the northern summer field season did not align with Oceana's expectations. Notably, the whole-rock analysis of 175 rock samples, including cut channel samples, failed to unveil any significant anomalous Lithium results.

In adherence to the stipulations outlined in the Option Agreement, which were previously communicated through ASX Announcements on July 5, 2023, and October 27, 2023, Oceana will issue 1 million fully paid tradeable shares in OCN to Noranda Royalties Inc. as an agreed termination payment. This payment signifies the conclusion of Oceana's pursuit of the Monaro Lithium Project, and as a result, all rights to the exploration claims associated with the project will revert to their respective vendors. Importantly, Oceana will have no further exploration or service payment obligations tied to the Monaro Lithium Project.

It's worth noting that Oceana remains actively engaged in other lithium projects. The company maintains its interest in the 100% owned Solonópole Lithium Project in Brazil, and the Napperby Lithium and Rare Earths project in Australia. These projects will now take center stage in Oceana's ongoing exploration efforts.

This strategic decision underscores Oceana's commitment to prudent project management and resource allocation. Despite the outcome with the Monaro Lithium Project, the company is positioned to channel its focus and resources towards the continued exploration and development of its other lithium projects, maintaining a robust portfolio in Brazil and Australia.

Oceana Lithium Limited's choice to forego the acquisition of the Monaro Lithium Project reflects a strategic reassessment in light of exploration results that did not align with the company's expectations. The agreed termination payment signifies a definitive conclusion to Oceana's involvement in the project, with the exploration claims reverting to the respective vendors. Oceana's continued commitment to its other lithium projects in Brazil and Australia underscores its resilience and strategic approach to exploration and development in the dynamic lithium market.