Total Metals Accelerates Exploration at the Electrolode Critical Minerals Project and Provides Update on Loan to Kattegat Mining Inc.
Total Metals doubles down on the drill bit while scrapping a multi-million dollar loan distraction
The latest news release on February 9, 2026, details three primary developments. First, Total Metals has mobilized a second diamond drill rig to its 100%-owned Electrolode Critical Minerals Project in Ontario to accelerate a 5,500-metre winter program. Second, the company formally terminated a previously announced $3,500,000 loan agreement with Kattegat Mining Inc., choosing not to proceed with the funding. Third, the company entered into a 30-day marketing agreement with i2i Marketing Group LLC for US$250,000.
This follows news from late January 2026 where the company first commenced the drill program and granted 1,162,000 Restricted Stock Units (RSUs) to insiders and consultants. The earlier January 12 news had initially proposed the Kattegat loan as a strategic move secured by property, which has now been abandoned within less than a month.
Accelerated Exploration
The mobilization of a second rig is a material operational positive. It allows the company to test high-priority EM conductors and historical high-grade zones simultaneously at the Arrow and Garnet Zones. This suggests management is confident in the targets and is racing to produce results before the end of the winter drill season.
Capital Preservation via Terminated Loan
The termination of the $3.5M loan to Kattegat Mining is a strategic shift. While the loan was intended to be secured, a junior explorer acting as a lender is often a red flag for "diworsification." By canceling the loan, Total Metals retains $3.5M in liquidity to fund its own drilling at Electrolode and Menary. This is a net positive for risk reduction.
High Marketing Burn Rate
The engagement of i2i Marketing Group for US$250,000 (approx. $335,000 CAD) for a single month is an aggressive and potentially excessive expenditure. For a company with an estimated market cap of ~$35M, spending nearly 1% of its value on a 30-day marketing campaign suggests a heavy reliance on retail promotion. This raises questions about the long-term sustainability of the current G&A budget.
Total Metals is a Canadian explorer focused on the Red Lake Mining District. Its flagship is the Electrolode Critical Minerals Project, located between Kinross Gold’s Great Bear project and First Mining Gold’s Springpole project. The project covers a 6-kilometre mineralized trend with VMS-style (Zinc-Copper-Silver) and gold potential. - Property Status: Electrolode is 100% owned but subject to a 2% NSR to Glencore. - Hidden Risk: Glencore holds a 50% back-in right if a resource exceeding 1M oz gold or 8M tonnes of base metal is discovered. This effectively caps Total Metals' ownership in a "tier-1" discovery scenario.