TIDMILC
International Lithium Corporation
11 September 2018
11 September 2018
International Lithium Corporation (TSXV:ILC)
International Lithium Acquires Further Mineral Rights at Raleigh
Lake, Ontario and Agrees to Sell Forgan Lake Project
International Lithium Corp. (the "Company" or "ILC") (TSXV: ILC)
announces that it has reached an agreement (the "Raleigh
Agreement") to acquire from a third party 55 additional claims
adjacent to its Raleigh Lake Project in Ontario. This new
acquisition will increase the total size of the Raleigh Lake
property to 1,976 hectares, or approximately double the original
size. On August 29, 2018, the Company announced that, as part of a
wider agreement with Pioneer Resources Limited (ASX: PIO)
("Pioneer"), all the rights, title and interest in the Raleigh Lake
property were being returned to the Company, with no further
obligations by ILC.
Pursuant to the Raleigh Agreement, the Company will pay the
vendor a combination of cash and 400,000 ILC common shares to
acquire a 100% interest in the new Raleigh Lake claims, with no
further encumbrances or royalties.
A map of the enlarged Raleigh Lake claim area may be viewed via
the link below, and displays both existing claims (blue) and new
claims (green). The property has a convenient location in a
relatively unpopulated area, and benefits from a close proximity to
the major N17 Trans-Canada Highway.
Link to figure:
http://orders.newsfilecorp.com/files/3232/38555_a1536560608189_12.jpg
The Company also announces that it has reached an agreement (the
"Forgan Agreement") to sell its Forgan Lake mineral rights to Ultra
Lithium Inc. (TSXV: ULI) ("Ultra Lithium"). The Forgan Lake
property is comprised of one legacy claim, TB4244103 (converted in
18 cell claims and two boundary claims as of April 10, 2018 by the
Ontario Ministry of Northern Development and Mines). The
consideration to be paid to ILC is a combination of cash and shares
totaling an aggregate CAD$200,000, payable over two years. The sale
is subject to Ultra Lithium spending CAD$500,000 on development
expenditures before September 2020, failing which the property will
revert to ILC. In addition, as part of the consideration, ILC will
receive a 1.5% Net Smelter Returns Royalty on future production,
both from Forgan Lake and from an adjoining property owned by Ultra
Lithium.
John Wisbey, Chairman & CEO of the Company said:
"Raleigh Lake is the property in Ontario that we were most
excited about. We have not only got back all our rights to this
asset, but we have now been able to acquire further rights that
almost double the area of our claims in the Raleigh Lake area that
we believe maximizes the potential of the mineralization that
exists on the claims. I am very pleased that we have been able to
move at speed like this to achieve a strategic goal in Canada. We
will be conducting some drilling in the next few months with the
goal of validating our hopes for the potential of Raleigh Lake. We
believe there is considerable potential, although until we have
more drilling results to complement those drilling results from
earlier years and the magnetic drone survey carried out in 2016,
there is always the risk that we may be disappointed.
"Our property at Forgan Lake was not large enough to be
strategic to us, but it complemented Ultra Lithium's existing
portfolio in the area, so the disposal was a win-win."
Anthony Kovacs, COO of the Company added:
"ILC's original claims on Raleigh Lake were drilled for tantalum
by a previous operator. This work identified shallow dipping to
almost flat lying tantalum, lithium and rubidium mineralization in
drill core, later confirmed by a second operator in 2010, covering
a surficial area of over 300 metres by 600 metres. Although the
lithium content was appreciable, no further work was conducted
until after ILC acquired the property in 2016 and a magnetic drone
survey was carried out. Our expectation is that this mineralization
extends into the newly acquired claims. With this in mind, we will
be planning for some exploratory drilling over the next few months,
both on our existing claims and on the new claims."
The Raleigh Agreement and the Forgan Agreement are subject to
approval of the TSX Venture Exchange. Any shares issued will be
subject to a hold period of four months from the date of issue.
Afzaal Pirzada, P. Geo., a Qualified Person as defined by
National Instrument 43-101 and a consultant to the Company, has
reviewed and approved the technical content in this news
release.
Enquiries:
Investors and Analysts:
International Lithium Corporation
John Wisbey, CEO johnwisbey@internationallithium.com
+44 (0)7468 483 400
Dr. Yana O'Sullivan, Director of IR yanaosullivan@internationallithium.com
+44 (0)20 7550 4725
Media:
Yellow Jersey internationallithium@yellowjerseypr.com
Tim Thompson
Joe Burgess +44 (0)7710 718 649
Notes to Editors:
International Lithium Corp. has a significant portfolio of
projects, strong management, and a strategic partner and key
investor, Jiangxi Ganfeng Lithium Co. Ltd., ("Ganfeng Lithium") a
leading China-based lithium product manufacturer.
The Company's primary strategic focus is now on the Mariana
project in Argentina and on the Raleigh Lake project in Canada.
The Company has a strategic stake in the Mariana lithium-potash
brine project located within the renowned South American "Lithium
Belt" that is the host to the vast majority of global lithium
resources, reserves and production. The Mariana project
strategically encompasses an entire mineral rich evaporite basin,
totalling 160 square kilometres that ranks as one of the more
prospective salars or 'salt lakes' in the region. Current ownership
of the project is through a joint venture company, Litio Minera
Argentina S. A., a private company registered in Argentina, owned
82.754% by Ganfeng Lithium and 17.246% by ILC. In addition, ILC has
an option to acquire 10% in the Mariana project through a back-in
right.
The Raleigh Lake project, now consisting of 1,976 hectares of
adjoining mineral claims in Ontario, is now regarded by ILC
management as ILC's most significant project in Canada. It is 100%
owned by ILC, is not subject to any encumbrances, and is royalty
free.
Complementing the Company's lithium brine project at Mariana and
rare metal pegmatite property at Raleigh Lake, are interests in two
other rare metal pegmatite properties in Ontario, Canada known as
the Mavis Lake and Forgan Lake projects, and the Avalonia project
in Ireland, which encompasses an extensive 50-km-long pegmatite
belt.
The ownership of the Mavis Lake project is now 51% Pioneer
Resources Limited (ASX:PIO, "Pioneer") and 49% ILC. In addition,
ILC owns a 1.5% NSR on Mavis Lake. Pioneer has an option to earn an
additional 29% by sole-funding a further CAD $8.5 million
expenditures of exploration activities, at which time the ownership
will be 80% Pioneer and 20% ILC.
The Forgan Lake project will, upon Ultra Lithium meeting its
contractual requirements pursuant to its agreement with ILC, become
100% owned by Ultra Lithium (TSXV: ULI), and ILC will retain a 1.5%
NSR on Forgan Lake.
The ownership of the Avalonia project is currently 55% Ganfeng
Lithum and 45% ILC. Ganfeng Lithium has an option to earn an
additional 24% by either incurring CAD $10 million expenditures on
exploration activities or delivering a positive feasibility study
on the project, at which time the ownership will be 79% Ganfeng
Lithum and 21% ILC.
With the increasing demand for high tech rechargeable batteries
used in electric vehicles and electrical storage as well as
portable electronics, lithium has been designated "the new oil",
and is a key part of a "green tech", sustainable economy. By
positioning itself with solid strategic partners and projects with
significant resource potential, ILC aims to be one of the lithium
and battery metals resource developers of choice for investors and
to continue to build value for its shareholders.
International Lithium Corp.'s mission is to find, explore and
develop projects that have the potential to become world class
lithium, potash and rare metal deposits. A key goal is to become a
well funded company to turn that aspiration into reality.
On behalf of the Company,
John Wisbey
Chairman and CEO
www.internationallithium.com
For further information concerning this news release please
contact +1 604-449-6520
This information is provided by RNS, the news service of the
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END
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September 11, 2018 02:01 ET (06:01 GMT)
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