Lithium Project Acquired
Consolidated Lithium Metals Acquires Augustus Lithium Project from Linear Minerals in Quebec
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Consolidated Lithium Metals (CLM) has signed a binding term sheet to buy the Augustus Lithium Project from Linear Minerals Corp., the company announced on June 8, 2026. The deal gives CLM 100% of 449 mineral claims — roughly 215 square kilometers — spread across Québec's Abitibi and James Bay regions, for total consideration of about C$2.75 million, according to Junior Mining Network.
The acquisition adds a major land block to CLM's growing footprint near Val-d'Or, Québec, about 50 kilometers north of the city. The parties are targeting a signed definitive agreement by July 19, 2026, pending due diligence and regulatory approvals, Benzinga reported.
How the C$2.75 Million Deal Is Structured
CLM will pay Linear Minerals in two parts. It will hand over C$687,500 in cash and C$2,062,500 worth of CLM common shares, priced using a 20-day volume-weighted average from June 4, 2026, according to Yahoo Finance. The deal also includes a break fee of C$1,687,500, payable by Linear Minerals if it walks away for a competing offer.
Linear Minerals — formerly known as FE Battery Metals Corp. before a name change in December 2024 — will keep its two other core properties, Lac Marion and Lac Coulombe. CLM has an exclusivity window for due diligence that runs until October 1, 2026, giving it roughly four months to complete its review.
Augustus Sits Next to Canada's Biggest Lithium Mine
The Augustus property borders the North American Lithium (NAL) operation, the largest active lithium mine in Canada. In May 2026, the Canadian government committed C$145 million through the Canada Growth Fund to expand NAL. NAL is now owned by Elevra Lithium, a company formed by the August 2025 merger of Sayona Mining and Piedmont Lithium.
CLM already holds a joint venture project called Vallée, which also borders NAL. CEO Richard Quesnel said the Augustus deal "complements our long-term strategy of advancing high-quality critical mineral assets located in established mining regions." The back-to-back land positions create what analysts describe as a hub-and-spoke consolidation play around the La Corne Batholith, a lithium-rich geological formation in Québec.
Historical Drilling Shows High-Grade Lithium Hits
The Augustus property is not a blank slate. Explorers have drilled it since the 1950s. Historical work includes 131 diamond drill holes totaling 19,000 meters, according to Yahoo Finance Canada. Those holes found spodumene-bearing pegmatites — the rock type that holds most hard-rock lithium — similar to what sits at the nearby Québec Lithium Mine.
More recent drilling between 2024 and 2025, when the project was held by FE Battery Metals, returned high-grade results including 1.29% Li₂O over 23.0 meters and 1.17% Li₂O over 19.0 meters. Jean Lafleur, a geologist with over 45 years of Québec experience, reviewed and approved the technical data as the project's qualified person.
Tight Finances and Indigenous Rights Cloud the Path Forward
CLM is a small company. Its shares traded at CA$0.05 on June 8, 2026, giving it a market cap of roughly CA$24.61 million with 546.82 million shares outstanding. Investment platforms rate the stock as "highly speculative," and CLM carries a current ratio of 0.58 — meaning its short-term debts exceed its liquid assets — a potential strain for a C$2.75 million deal.
Beyond finances, the broader Abitibi region faces rising tension over Indigenous land rights. The Anishinaabe First Nation of Lac-Simon recently demanded a halt to work at a nearby gold project, citing a lack of free, prior, and informed consent. CLM and Linear Minerals will likely face rigorous community engagement requirements before Augustus can advance toward any feasibility study.
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