Eranova identifies rare earth elements at Adanac

Executive Summary

• Eranova Metals identified elevated rare earth element (REE) concentrations within existing assay data from its 100%-owned Adanac molybdenum project, with calculated total rare earth oxide (TREO) values up to 1,087 ppm across 9,062 samples from 89 drill holes.
• The company is advancing the Adanac project toward a National Instrument 43-101-compliant preliminary economic assessment (PEA), viewing the REE potential as additional value alongside the primary molybdenum development pathway.
• The release also announces an investor relations agreement with TB Investor Relations and a stock option grant, but the primary material update is the technical re-evaluation of the deposit's multicommodity potential.

Key Details

• REE Identification: Re-evaluation of historical multielement assay data identified light and heavy rare earth elements within the Adanac molybdenum system.
• Data Scope: Analysis covered 9,062 samples of three-metre intervals from 89 drill holes within the molybdenum resource area.
• TREO Values: Calculated total rare earth oxide values reached up to 1,087 parts per million (ppm).
• Specific High-Grade Intervals:
  • One additional drill hole (outside the 2022 resource program) showed TREO of 414 ppm in the 301 to 301.25 m interval.
  • Another interval from 301.25 to 304.00 m showed TREO of 384 ppm.
• Methodology: Results derived from standard oxide conversions applied to elemental assay data; not yet validated through targeted reassaying or dedicated mineralogical studies.
• Next Steps: The company is conducting additional mineralogical and petrographic studies to understand mineral species hosting REEs and assess potential recovery pathways as byproducts.
• QA/QC: Samples analyzed at Bureau Veritas (Vancouver) using four-acid digestion with ultratrace ICP-MS for 59 elements and fire assay for gold. All results passed laboratory QA/QC screening.
• Investor Relations Agreement: Entered into an agreement with TB Investor Relations (Tania Barreto) effective Feb. 9, 2025.
  • Fee: $6,000 per month plus taxes and approved expenses.
  • Term: Month-to-month, terminable with 30 days written notice.
  • Subject to TSX Venture Exchange acceptance.
• Stock Option Grant:
  • Granted 100,000 stock options to a company consultant.
  • Exercise Price: 17 cents per share.
  • Term: 5 years (expiring Feb. 9, 2031).
  • Vesting: Four equal 25% instalments over 24 months (first vesting Aug. 9, 2026).

Notable Quotes

• "These results reinforce our view that the Ruby Creek property is a large, multicommodity system with meaningful optionality beyond molybdenum," said Meredith Eades, president and chief executive officer of Eranova. "As we move the Adanac molybdenum project toward a NI 43-101-compliant PEA, it is encouraging to see additional elements that have the potential to add value to a development story we already feel positive about."