VANCOUVER, BC / ACCESS Newswire / May 7, 2025 / Strategic Metals Ltd. (TSXV:SMD) ("Strategic" or the "Company") is pleased to announce that it has acquired two coal licenses covering the Division Mountain thermal coal deposit, located 90 km northwest of Whitehorse, Yukon. It lies within the Traditional Territories of Champagne and Aishihik, Little Salmon/Carmacks and Kwanlin Dün First Nations and the Ta'an Kwäch'än Council (collectively "the local First Nations").
"Division Mountain represents a tremendous opportunity for a made-in-Yukon solution to Yukon's current and increasing energy problem" states Doug Eaton, Strategic's President and CEO. "The deposit is road accessible and lies near existing Yukon Energy Corporation transmission lines. It contains a historical measured resource of 52.5 Mt of bituminous coal1, which is envisioned to supply a state-of-the-art, clean coal fired electrical generation plant that would replace the Yukon's existing and proposed diesel power generators. The resource at Division Mountain represents a local thermal coal supply that would be sufficient to provide baseload power for a generation or more. In the coming weeks Strategic intends to work closely with local First Nations to establish a cooperative structure that would facilitate evaluation and, if warranted, development of this timely opportunity."
The Division Mountain area is underlain by primarily Jurassic to Cretaceous sedimentary rocks of the Laberge Group and Tantalus Formation. Coal occurrences occur within a 50 m interval in the Tanglefoot formation of the Laberge Group. Exploration at Division Mountain occurred intermittently since 1972, and work included: 10.2 km of excavator trenching; 11,442 m of diamond drilling in 68 holes; 1869 m of reverse-circulation (RC) drilling in 20 holes; and 124.7 m of rotary-air-blast (RAB) drilling in 4 holes. This work has work has identified a historical measured resource of 52.5 Mt of high volatile "B"-grade bituminous coal, which includes a historical proven reserve of 26.4 Mt1. Reserves were calculated on the basis of coal being surface mined using conventional truck and shovel practices. In addition, the deposit remains open to the north, west and southeast.
Recent reporting by the Yukon Energy crown corporation has forecasted a 50% peak demand increase for non-industrial electricity uses by 20352. This surge is further amplified by major mine projects that are advancing in the territory. As there are no crude oil pipelines, crude-by-rail facilities, or natural gas pipelines in the Yukon, virtually all of the fuel for thermal power generation is delivered to communities by truck from Alberta and British Columbia. The Division Mountain deposit is located 20 km west of a major electrical transmission line and ideally situated to provide feedstock to a local power plant.
1Reserves and resources were defined by Norwest Corporation in 2008, and may not be NI 43-101 compliant. Therefore, they are considered historical in nature. A qualified person on behalf of Strategic has not done sufficient work to review and update the historical estimate as current mineral resources or reserves and the issuer is not treating the historical estimate as current mineral resources or reserves.
2Source: Building a Resilient and Renewable Energy Future, Yukon Energy Corporation, 2025; retrieved from: https://yukonenergy.ca/energy-in-yukon/energy-future/electricity-planning
Technical information in this news release has been approved by Strategic's Vice President Exploration, Jackson Morton, P.Geo., a qualified person as defined under the terms of National Instrument 43-101.
About Strategic Metals Ltd.
Strategic is a project generator with 16 royalty interests, 12 projects under option to others, and a portfolio of 83 wholly owned projects that are the product of over 50 years of focussed exploration and research by a team with a track record of major discoveries. Projects available for option, joint venture or sale include drill-confirmed prospects and drill-ready targets with high-grade surface showings and/or geochemical anomalies and geophysical features that resemble those at nearby deposits.
Strategic has a current cash position of approximately $1.2 million and large shareholdings in several active mineral exploration companies including 31.9% of Broden Mining Ltd., 33.4% of GGL Resources Corp., 28% of Rockhaven Resources Ltd., 15.6% of Silver Range Resources Ltd and 15.6% of Precipitate Gold Corp. All these companies are engaged in promising exploration projects. Strategic also owns 15 million shares of Terra CO2 Technologies Holdings Inc. ("Terra"), a private Delaware corporation developing a cost-effective alternative to Portland cement, which recently announced a definitive agreement with Asher Materials for an exclusive market license of Terra's first commercial-scale advanced processing facility.
ON BEHALF OF THE BOARD
"W. Douglas Eaton"
President and Chief Executive Officer
For further information concerning Strategic or its various exploration projects please visit our website at www.strategicmetalsltd.com or contact:
Corporate Information
Strategic Metals Ltd.
W. Douglas Eaton
President and C.E.O.
Tel: (604) 688-2568
Investor Inquiries
Richard Drechsler
V.P. Communications
Tel: (604) 687-2522
NA Toll-Free: (888) 688-2522
rdrechsler@strategicmetalsltd.com
http://www.strategicmetalsltd.com
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
This news release may contain forward looking statements based on assumptions and judgments of management regarding future events or results that may prove to be inaccurate as a result of exploration and other risk factors beyond its control, and actual results may differ materially from the expected results.
SOURCE: Strategic Metals Ltd.
View the original press release on ACCESS Newswire:
https://www.accessnewswire.com/newsroom/en/metals-and-mining/strategic-metals-acquires-the-division-mountain-thermal-coal-deposit-yukon-1024368
