E-Tech Resources

Overview

From color TV displays, GPS systems, fuel cells, to jet engines, fiber optic cables and MRI machines, rare earth elements (REE) are vital to technology and clean energy. One of the most important applications of REEs is in the green economy: REEs are used in electric car motors, lithium-ion batteries, computer hard drives, solar panels and wind turbines.

As the demand for REEs is expected to increase by a CAGR of seven percent by 2030, the focus is shifting toward developing a supply chain outside of China. In 2021, China provided more than 85 percent of the world's rare earths supply and the country has already begun reducing exports and increasing prices. As a result, companies developing rare earth compound projects outside of China may present an interesting opportunity for investors.

E-Tech Resources (TSXV:REE, FSE: K2i) is developing a high-grade rare earth elements project in the top-tier and mining-friendly country of Namibia. The company is committed to a strong sustainability model through strict adherence to ESG policies and is positioned for high growth given its cost-competitive processing strategy relative to its peers.

The company's fully owned flagship Eureka project is a high-grade rare earth element project located in the Erongo Mining Corridor of Namibia. The Eureka project has a maiden inferred resource of 310 kt at 4.8 percent TREO with grades ranging from 1 to 16 percent. The company believes there is strong potential to increase the inferred and indicated mineral resource by at least 0.5 to 1.5 million tonnes based on a technical scoping study. A recently completed ground radiometric and magnetic geophysical surveys, and geological mapping program have identified 17 targets for exploration drilling, comprising favorable geophysical, geological and structural features akin to those of the original Eureka Zone 1 discovery. These targets will be the focus of a 3,000-meter reverse circulation (RC) drill program planned at the Eureka project.

E-Tech Resources' Eureka project is strategically located near several mines and projects, including Rossing Uranium's Rossing Uranium mine, QKR's Navachab Gold mine, Namib Lead and Zinc Mining's Namib Lead and Zinc mine, and AfriTin's Uis mine. Eureka has excellent infrastructure and access to a major highway, a railway, roads, power, water and skilled professionals.

Early metallurgical testing at the Eureka project has indicated the potential to be one of the simplest REE projects to process in the world. The company anticipates that its first marketable product will be equal to more than 65 percent TREO in mineral concentration based on current known grades and high recoveries. As a result, E-Tech Resources believes the Eureka project may soon provide the basis for a cost-competitive, profitable and high-growth model for the company.

E-Tech Resources is committed to maintaining the highest standards of ESG policies to sustainably supply the green economy and adheres to the guidelines of the United Nations' Sustainable Development Goals. E-Tech Resources plans to create a sustainability committee to guide its ESG efforts, and will be conducting further environmental and social impact assessments as part of ongoing feasibility studies to maintain responsible sourcing. E-Tech Resources' Eureka project is currently expected to have no major negative socio-environmental impact on the region.

Company Highlights 

• E-Tech Resources' fully owned flagship Eureka project is located in the Erongo Mining Corridor of Namibia and has a maiden inferred resource of 310 kt at 4.8 percent TREO with significant growth potential.
• E-Tech Resources' Eureka project is strategically located near several mines and projects, as well as excellent infrastructure and access to a major highway, a railway, roads, power, water and skilled professionals.
• The Eureka project features high recoveries and final mineral concentrates with low radiation that is ideal for processing and international shipments.
• Early metallurgical testing has indicated the potential to be one of the simplest REE projects to process in the world.
• Recently completed ground geophysical and exploration mapping programs at the Eureka project identified 17 robust targets for exploration drilling.
• E-Tech Resources is committed to maintaining the highest standards of ESG policies to sustainably supply the green economy by adhering to the guidelines of the United Nations' Sustainable Development Goals.
• E-Tech Resources is led by a highly skilled management team with a proven track record of success in the mining industry and capital markets.

Key Project

Eureka

The Eureka project is a fully owned, high-grade rare earth element project located in the Erongo Mining Corridor of Namibia. The property is approximately 250 kilometers northwest of the capital city of Windhoek and is accessible via a major highway, road and rail with access to power, water, skilled professionals and Namibia's largest commercial port. The project’s neighbors include Rossing Uranium's Rossing Uranium mine, QKR's Navachab Gold mine, Namib Lead and Zinc Mining's Namib Lead and Zinc mine, and AfriTin's Uis mine.

The Eureka project has a mineral resource estimate with an average TREO of 4.8 percent (NI 43-101). The in-situ dyke grade ranges from 1 to 16 percent TREO on the property. A Technical Scoping Study by SRK (UK) mentions upside potential to increase the mineral resource estimate with up to an additional 1.5 million tonnes for its Campaign 1, which was concluded in September 2021. Early beneficiation test work by SGS Mineral Services has shown a high recovery of monazite due to the presence of simple mineralization with low levels of radiation.

E-Tech Resources identified 17 robust drill targets defined from the completed ground geophysical and exploration mapping programs. The initial target areas comprise favorable geophysical, geological and structural features akin to those of the original Eureka Zone 1 discovery. A 3,000-meter RC drill program at the Eureka project will further explore these 17 identified targets.

Management Team

Jim Megann - Chairman and Interim CEO

Jim Megann is also an accomplished executive and business leader. He is a director of Torrent Capital, a publicly traded investment issuer; director of Antler Gold; director of OARO; and a director of Sona Nanotech, a nanotechnology developer currently listed on the Canadian Stock Exchange.

Megan also brings more than 25 years of experience in the communications and marketing industry. He was awarded the Queens Diamond Jubilee medal in 2012 for his extensive community work.

Rob Randall - CFO

Rob Randall has served as a contract CFO for several TSXV-listed companies and has extensive public company financial experience. Randall currently serves as the chief financial officer of Torrent Capital (TSXV:TORR), Sona Nanotech (TSXV:SONA) and Antler Gold Inc. (TSXV:ANTL). Randall was the corporate controller of Etruscan Resources Inc. from 1997 to 2011. At Etruscan Resources Inc., Randall oversaw the financial operations for all aspects of its gold exploration and production activities throughout West Africa as well as its diamond operations in South Africa. He also served as controller of Nova Gold Resources Inc. from 1997 to 2001.

Chris Drysdale - Director

Chris Drysdale is an experienced professional with international experience in the mineral and exploration industry. He currently serves as vice president of operations and corporate development for Antler Gold Inc. (TSX.V:ANTL). Antler Gold Inc. is a gold exploration company focused on the acquisition and exploration of gold projects in Namibia. He has previously served as the Kenyan country manager for Stockport Exploration. At Stockport Exploration, Drysdale oversaw the operations for all aspects of its gold exploration and production activities throughout East Africa. Before that, Drysdale worked as a field exploration geologist for Remote Exploration Services (Pty) Ltd. Remote Exploration Services Pty Ltd. is a geological consulting firm based out of South Africa servicing all aspects of the mineral industry. Drysdale has a progressive and diverse background with extensive work experience in Namibia. He has been involved in various mineral projects throughout Africa.

Ken Marshall - Director

Ken Marshall has extensive experience in the information technology and telecommunications sectors, having served in various positions at Rogers Communications throughout his career. Marshall was the senior vice president of national residential marketing for Toronto. In this role, he led the wireline marketing group in the launch of the Ignite platform. He also served as the regional president for the Atlantic region and the vice president of the enterprise business unit at Rogers Communications.

Marshall has spent his post-telecommunications time working with emerging start-up organizations. He serves on the boards of several companies, including Genesis which is Newfoundland and Labrador's primary innovation hub and incubator, Celtx which is an online platform for film, video and game production, eXeBlock Technology Corporation which focuses on opportunities in digital identity and authentication and Metricsflow, which is a B2B platform focused on enhancing website attribution.

Frances Wall - Director

Frances Wall is a professor of applied mineralogy at Camborne School of Mines, University of Exeter, and has a BSc in geochemistry from the Queen Mary University of London and a PhD in rare earth-rich carbonatites from the University of London. Wall has over 30 years of experience researching the geology and process mineralogy of global rare earth deposits and practically linking exploration stage studies to responsible sourcing outcomes. She has also led large consortia research projects such as HiTech AlkCarb and SoS RARE and is currently the principal investigator for the UK Research and Innovation Interdisciplinary Circular Economy Centre for Technology Metals (Met4Tech).

John Philpott - Director

John Philpott is the founder and CEO of CanAm Physician Recruiting Inc. He has been the leading physician recruitment and placement company in the Canadian and international markets for more than two decades. Philpott led the executing team through a successful public listing for Canabo (TSX.V: CMC). In 2018, Philpott managed the merger of Canabo with Aleafia Health Inc., (TSX.V: ALEF) in a transaction valued at $40 million. The transaction resulted in a combined operation with a market capitalization of over $200 million at the close of the merger. Phillpot is also a skilled negotiator. In less than two years Phillpott scaled the company from 1 Toronto clinic with 2 part-time physicians to 24 clinics across Canada. As CEO of CanAm Physician Recruiting Inc., Phillpott consults with physicians, hospital administrators, government officials and private clinic owners.