Nemaska Announces Issuance of 1,600,000 Common Shares in Payment of the Whabouchi Property
May 14 2012 - 05:02PM
Marketwired
Nemaska Lithium Inc. ("Nemaska" or the "Corporation") (TSX
VENTURE:NMX)(OTCQX:NMKEF) is pleased to announce that it has issued
1,600,000 common shares (the "Common Shares") in favour of the
vendor of the Whabouchi property, pursuant to the acquisition
agreement dated September 17, 2009 amended on June 11, 2010 (the
"Agreement"). A schedule of payments in cash instalments and
issuances of Common Shares upon attaining certain exploration work
and technical studies milestones on the Whabouchi property was set
forth in the Agreement. An amount of $100,000 and the issuance of
100,000 Common Shares were due to the vendor pursuant to the
Agreement and an aggregate of $500,000 and 500,000 Common Shares
have been settled to be paid and issued in anticipation by the
Corporation. Such payments and issuances would have been due upon
attaining exploration expenses of $12.5M ($100,000 and 100,000
Common Shares) and $15M ($100,000 and 100,000 Common Shares) as
well as upon filing of a pre-feasibility study ($300,000 and
300,000 Common Shares). As of March 31, 2012, the Corporation had
spent approximately $11.4M on the Whabouchi property and had
delivered a preliminary economic study. The Corporation and the
vendor agreed to replace the payment of the aggregate $600,000 by
the issuance of 1,000,000 Common Shares at a deemed price of $0.60
per Common Share. Pursuant to the Agreement, a cash instalment of
$500,000 and the issuance of 500,000 Common Shares remain to be
paid to the vendor by the Corporation upon obtaining an independent
feasibility study in respect of a commercial production on the
Whabouchi property. The Corporation has no obligation under the
Convention to carry out any work either on or in relation to the
property.
All the Common Shares issued in favour of the vendor are subject
to a restricted period of four months and a day.
About Nemaska
Nemaska is an exploration and development corporation involved
in the James Bay region of Quebec. Nemaska intends to concentrate
on the development of its Whabouchi lithium deposit and to conduct
exploration work on its 100% owned Sirmac lithium project.
Whabouchi deposit is easily accessible year round by either the
Route du Nord from Chibougamau (280 km) or the Route de la Baie
James from Matagami (380 km) and is located near the Cree community
of Nemaska and the Nemiscau airport. Nemaska also owns about 47% of
Monarques Resources Inc. (TSX VENTURE:MQR).
Forward-looking statements contained in this press release
involve known and unknown risks, uncertainties and other factors
that may cause actual results, performance and achievements of
Nemaska to be materially different from any future results,
performance or achievements expressed or implied by the said
forward-looking statements.
Neither TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or
accuracy of this release.
Contacts: Guy Bourassa President 418
704-6038info@nemaskalithium.com Wanda Cutler Investor Relations 416
303-6460wanda.cutler@nemaskalithium.com www.nemaskalithium.com
Bosko Djorovic Investor Relations 514
825-3036bosko@baycapitalmarkets.com