Grid Metals: Pole Position

Cesium is one of the rarest mined elements on Earth, with only a handful of pollucite-hosted deposits ever discovered and just a small number of mines historically producing cesium concentrate. Grid’s Falcon West project offers direct exposure to this scarcity, with drilling confirming high-grade cesium mineralisation hosted in pollucite, the preferred and highest-value feedstock for cesium chemicals. Importantly, Falcon West is 100% owned, located in a Tier-1 jurisdiction, and benefits from excellent infrastructure access, including proximity to highways and power. In a market where most “critical minerals” stories compete in crowded spaces, Grid stands out by targeting a metal with very few global peers and limited substitute supply, creating the conditions for outsized value creation if a resource is defined.

Cesium is not a bulk battery metal driven by consumer demand cycles; it is a strategic input into high-value, non-substitutable applications. These include atomic clocks that underpin GPS and military navigation systems, aerospace and satellite electronics, medical imaging equipment, petroleum exploration, and emerging perovskite solar technology. Both the US and Canada classify cesium as a critical mineral, reflecting its importance to national security and energy infrastructure. As Western governments prioritise secure and domestic supply chains for strategic materials, projects capable of delivering reliable cesium supply carry disproportionate strategic value. Grid’s focus on cesium, combined with its fully funded exploration program and jurisdictional advantages, positions the company at the intersection of resource scarcity, geopolitics, and advanced technology demand.

Grid is firmly positioned in the discovery phase of the Lassonde Curve, where successful drilling and resource definition historically generate the strongest equity re-ratings. At Falcon West, Phase 1 drilling has now defined high-grade, near-surface pollucite-hosted cesium mineralisation over an initial ~100m x 30m area, with mineralisation shallow, laterally continuous, and open in multiple directions, supporting a step-by-step path from drilling to metallurgy, permitting, and a maiden NI 43-101 cesium resource targeted for 2026. The project’s grades and geometry compare favourably with much higher-valued cesium peers, some of which have already secured strategic offtake agreements with major industrial players. With multiple near-term catalysts, including remaining Phase 1 assays, ongoing Phase 2 drilling, and early metallurgical work, Grid offers investors measurable progress points, rather than a long-dated, binary outcome.

• Falcon West Phase 1 drill results:
  Release of remaining Phase 1 drill assays from the Lucy South cesium zone, following confirmation of high-grade pollucite-hosted cesium mineralisation over an initial ~100m x 30m target area, with results expected to further refine grade continuity and geometry, reinforcing Falcon West’s potential as a globally significant cesium discovery.

• Phase 2 cesium drilling commencement:
  Launch of Phase 2 drilling at Falcon West in early 2026, now underway and focused on both infill and extension drilling, designed to extend known mineralisation and tighten drill spacing. Moving quickly into a second drill phase signals confidence in the discovery and keeps Grid firmly in the market’s focus during the discovery phase of the Lassonde Curve.

• Maiden cesium mineral resource target:
  Grid is targeting an initial NI 43-101 compliant cesium mineral resource at Falcon West in 2026, supported by Phase 1 drilling that has confirmed near-surface geometry, continuity, and high-grade intervals, which would represent a major de-risking step and materially change how the market values the company, particularly given the scarcity of comparable cesium projects globally.
  
  

• Metallurgical and permitting progress:
  Commencement of cesium-specific metallurgy and early permitting work supports the project’s potential for a low-capex, quarry-style development model. The confirmation that cesium is largely hosted in pollucite – the preferred feedstock for cesium chemicals, underpins processing simplicity, strengthening the economic case and improving strategic attractiveness to downstream users.

• Positioning as a Western cesium supplier:
  As global cesium supply remains constrained and existing stockpiles decline, Grid could emerge as one of the very few Western-controlled cesium development stories. This positioning opens the door to strategic partnerships, offtake discussions, or government interest tied to defence, energy, and technology supply chains.
  
  

• Upside optionality from non-core assets:
  While cesium remains the core focus, success at Falcon West increases the value of Grid’s broader portfolio, including its Teck-backed Makwa nickel project and Donner lithium asset. Any positive developments at these projects would represent incremental upside rather than a requirement for the cesium thesis to succeed.

While Manitoba is considered a top-tier jurisdiction for mining, Canadian projects are increasingly subject to rigorous environmental reviews, stakeholder engagement, and Indigenous consultation requirements. Grid’s properties are located within Sagkeeng First Nation territory, and while an exploration agreement is in place, development will require continuous engagement and potentially time-consuming approvals. Any missteps in community relations, permitting delays, or policy shifts at the provincial or federal level could affect project timelines or market sentiment. As Grid advances from exploration to development, these risks will become more prominent.

Despite strong grades and promising drill results, Falcon West currently lacks a defined NI 43-101 compliant resource for cesium. While Phase 1 drilling has materially improved geological confidence around continuity and grade distribution, the economic potential remains unproven and subject to market skepticism. Moreover, cesium markets are niche and historically opaque, with limited publicly traded peers and few processing facilities globally. Pricing is high, but volumes are small, and offtake dynamics can be complex. Until Grid demonstrates scale, continuity, and processing feasibility, the investment case for Falcon West will carry elevated risk. Investors should view it as high-upside but still unproven.

The Makwa project’s near-term value catalyst, drilling at the Pavo anomaly, is funded and executed by Teck under its option agreement. While this provides financial and technical advantages, it also introduces a single point of dependency. If Teck chooses not to exercise its 51% option (requiring $5.7M in spending by 2028), Grid may struggle to continue development at scale without additional capital. Furthermore, Teck’s corporate strategy, budget, or commodity focus could shift in ways that deprioritize Makwa, despite promising geology. This partnership is a double-edged sword—high potential, but with external control over execution and timing.