12:53 PM EDT, 05/22/2024 (MT Newswires) -- Alaska Energy Metals ( AKEMF ) said Wednesday it entered into an option agreement to acquire up to a 100% interest in the 57-claim, 3,320-hectare Bambino nickel, copper and platinum group element property in western Quebec from a Quebec prospecting syndicate.

The company said it can take full ownership of the site for $105,000 in cash, 0.7-million shares and $0.5 million in exploration spending over three years.

"We intend to acquire Bambino so that we can further expand our contribution of nickel and other strategic metals to the rapidly growing lithium-ion battery industry and also the long-term energy storage industry in North America," chief executive Gregory Beischer said in a release.

The property is located directly adjacent to the company's Angliers-Belleterre property acquired in 2023.

Upon exercise of the option, the vendors will retain a 2% Net Smelter Returns royalty. AEMC will have the right at any time to buy back half of the royalty for $1 million.

The company's shares were last seen unchanged at $0.17 on the TSX Venture Exchange.