Steadright Critical Minerals Inc. has entered into a memorandum of understanding with Ste Commerciale et Minière du Sahara to acquire rights to the historic Goundafa polymetallic mine in Morocco. The agreement allows Steadright to earn up to 100% interest in the Goundafa Project, which holds Concession Number 55 covering 1,600 hectares with a fully permitted Mining and Environmental Production License.
The Goundafa Mine represents a significant polymetallic opportunity containing copper, zinc, lead, silver, and gold mineralization. Both copper and zinc are classified as critical and strategic minerals in the United States, Canada, Europe, and numerous other countries worldwide. The project's location in Morocco's High Atlas Mountains provides access to a region with extensive mining history and favorable geology.
Historical operations at Goundafa were conducted by La Société des Mines de Goundafa from 1926 until 1956, when operations ceased due to political changes following Moroccan independence. Production records indicate that in 1928 alone, 2,000 tons of material averaging 22.13% zinc and 11.31% lead were extracted. Total historical production reached approximately 320,000 tons of material by 1956.
A 2022 technical report prepared for CMS by Omar Guillou identifies conceptual resources of up to 6.62 million tons with grades of 2.1% zinc, 1.8% lead, 1.5-2.1% copper, and up to 3.5 g/t gold in select zones. The report notes that 1.7 million tons are directly accessible through historic multi-level mine works. The current estimate covers only the first 600 vertical meters of accessible workings, while geological interpretation suggests the system could extend an additional 800 meters vertically, reaching depths of 1,400 meters below surface.
The mineralized system consists of multiple steeply dipping veins exposed at surface, with Veins IV, V, and VI showing structural continuity with exploited veins at depth. These surface extensions represent significant additional potential not included in the main volumetric estimate. Recent XRF measurements inside the mine indicate strong potential for significantly higher metal grades in some areas, consistent with historic mining observations that showed increasing chalcopyrite and gold content at deeper levels.
The project benefits from well-maintained infrastructure remaining from historic operations, facilitating access for modern exploration activities. The 1985 report from Bureau de Recherches et de Participations Minières, available at https://www.onhym.com, provides detailed underground mapping that has served as a foundational reference for subsequent geological interpretations.
Under the MOU terms, Steadright has a three-month due diligence period and must pay $8,000,000 USD for the mineral license, along with shares not exceeding 9% of the company's outstanding shares and a 1% net smelter royalty. A $500,000 USD non-refundable deposit is required within the three-month period. The agreement allows Steadright to negotiate with third parties interested in partnering on the project.
CEO Matt Lewis emphasized the compelling nature of the historic mine works and Morocco's status as a friendly mining jurisdiction. The fully permitted historic operation containing two critical minerals positions the company advantageously as global demand for these metals continues to increase amid supply chain disruptions and rising raw material costs.
While the historical estimates do not meet NI 43-101 standards and require verification through modern exploration methods, the convergence of multiple mineralized veins, historical production data, and surface geochemical anomalies suggests meaningful upside potential. Systematic drilling and qualified resource modeling could potentially evolve the project into a formally classified polymetallic asset with early-stage copper-gold leverage.
