Categories: Energy
Topics: General Energy / Lithium Stocks

Q2 Metals (TSX-V: QTWO)(OTC: QUEXF) VPE Neil McCallum on Hitting 215.6 Meter Interval of Continuous Spodumene-Pegmatite at Its Cisco Lithium Property, James Bay, Quebec, Canada

 

Gerardo Del Real: This is Gerardo Del Real with Resource Stock Digest. Joining me today is the Vice President of Exploration for Q2 Metals, Mr. Neil McCallum. Neil, we chatted a bit off-air – how quickly things turn. Congrats are in order, but before that, how are you, sir?

Neil McCallum: Yeah, great, thanks. Yeah, we're in camp today, so keeping busy.

Gerardo Del Real: Well, let's get right into why you're at camp. You just announced an intercept of 215.6 meters of continuous spodumene pegmatite at the flagship Cisco lithium property in James Bay. There was also hole 18 had a total cumulative width of 363.4 meters. I would love for you to provide the context because I haven't seen a 200-meter plus hit in quite some time.

Neil McCallum: No, absolutely. We don't know yet the true width, so I just have to put that out there first of all. But even if it's a little bit at angle to the pegmatite, it's still on par or equal to some of the better projects worldwide. As far as I can tell, it's probably the best in James Bay. Yeah, and maybe one of the best in Canada thus far. So, yeah, we're absolutely more than thrilled with the results we have so far. That's the 12th hole that we've put into this project, so it's still early days.

Gerardo Del Real: Well, listen, as a shareholder, I'm absolutely thrilled. There was a financing here recently. The company now is cashed up to continue drilling. I completely understand the urgency to want to continue to drill. And again, as a shareholder, I'm happy that you have the treasury to continue to do that. It's worth noting here everyone, that you guys have only really just drill tested about 10% of the total area of interest based on the surface work so far.

Can you speak to that a bit because when we talk projects and we talk, me writing a check for a company and subscribers writing a check, scale is always big for me? If we have a discovery, I don't want it to be a little discovery. We want the potential for a big, massive discovery. It’s what set Patriot apart early days, right? We knew we had to scale. We didn't know the grade, we didn't know how special that project would be, but clearly here, the potential for massive scale exists, and it's starting to be sniffed out.

Neil McCallum: Definitely. Yep. And it's interesting how looking at the area, like you said, 10% is what we've drill tested so far compared to the surface mapping that we've done, collecting samples and mapping the pegmatite at surface.

The interesting thing, partly because there's not a lot of outcrop exposure is that where we're finding the thicker intervals, you don't actually see all that much pegmatite at surface. So we were quite surprised and delighted with hole 18 as it was drilled below an area that looked interesting, mediocre. Part of the plan, but we were thrilled to see that much pegmatite. And one of the biggest struggles that we're having here is knowing when to end the hole, because we just keep hitting these pegmatite intervals, one after the other. And of course we're going to be chasing some of the bigger ones because that's going to be a quicker way to put pounds together. But even if there's a bunch of separate pegmatites, we're looking at most of the holes being cumulatively over 100 meters of mineralized pegmatite. So that equates to roughly 30 to 50% of most holes being pegmatite. So we like those stats for sure.

Gerardo Del Real: That's spectacular. The one thing we don't have yet are assays. However, we do have historic assays, right, and we have an indication of what that has looked like historically. Can you speak to the historic assays that we have, and when we anticipate putting percentages to this because I suspect it's going to run pretty nicely?

Neil McCallum: Yeah, I mean, what we're seeing, the nice thing is you can actually see the spodumene, but of course I can't put out visual estimates according to the regulations. So we're seeing the spodumene, and it's looking quite similar to what we had found by the previous operators for holes five and six, which were great holes in themselves. And those results were looking for that cumulative, roughly 115 meters, it was 1.4%, and the largest interval there was about 1.36. So there's some higher grade intervals, 1.6, so there's a little bit of variation, but that's in the order of what to expect. And that's all very good, great tantalum values as well as a kicker. So, yeah, we're expecting good things from the results, and we'll put those out as soon as we can.

Gerardo Del Real: Well, listen, the market's reacted, but let me just again, underscore the fact that this only has a market cap of roughly $51 million Canadian. It's going much, much higher, and it's going much, much higher once sentiment in the lithium space returns. But even without that, let that take another month, another two months, no crystal ball here. Even without these types of results and with assays pending, absolutely merit a much, much higher market cap even in this lithium space. Can you speak to James Bay and everything that's going on there now with... Look, we have Patriot with of course, phenomenal results, continues to hit on all fronts. Now we have Cisco here delivering the goods. Can you speak a bit to the activity in James Bay right now?

Neil McCallum: Yeah, it's definitely quieter than it was last year. There's only a handful of companies doing the work, and I think it's only the companies that are actually onto something. So the few folks drilling projects, and obviously Patriot is still full steam ahead of course, but a lot of the others are maybe at the stage where they've got a resource. But I think the one thing that differentiates Cisco is just access to infrastructure being the closest of any of the projects in the James Bay region. So with the scale there, the location close to the infrastructure, it just makes a really good story.

Gerardo Del Real: No, look, exciting times. Couldn't be happier. Really, really looking forward to the assays, and really hoping that you're able to come back on as soon as we get those numbers. Do you have an idea of when you anticipate assays to start trickling in?

Neil McCallum: They should be within the week, so we'll get those out as soon as we can.

Gerardo Del Real: Excellent. We'll look forward to having you back on. Thank you so much, Neil, and congrats again. Looks like you got another one here. Good work.

Neil McCallum: Oh, yeah, looks good. Yeah.

Gerardo Del Real: All right.

Neil McCallum: Thanks.

Gerardo Del Real: Cheers.

Neil McCallum: Yeah, bye.

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