Business
American Lithium to Secure Water Rights for Continued Development of TLC Lithium Project, Nevada
VANCOUVER, British Columbia, July 27, 2020 (GLOBE NEWSWIRE) -- American Lithium Corp. (TSXV: LI) (OTCQB: LIACF) (Frankfurt: 5LA1) (“American Lithium” or the “Co
About this update from American Lithium Corp.
[{"type":"text","content":" VANCOUVER, British Columbia, July 27, 2020 (GLOBE NEWSWIRE) -- American Lithium Corp. (TSXV: LI) (OTCQB: LIACF) (Frankfurt: 5LA1) (“American Lithium” or the “Company”) a leading lithium exploration and development operator is pleased to announce the signing of a letter of intent to acquire a 100% interest in certain privately held lands and the accompanying 1,176 acre-feet of water rights (the “LOI”). The acquisition of the water rights will allow American Lithium to continue advancing its flagship TLC project, near Tonopah, Nevada, by guaranteeing a supply of water for any planned future development. The water rights come from a 326-acre farm whose water rights are part of the same hydrographic basin as the TLC Project, Basin 137-a, or ‘Big Smoky Valley – Tonopah Flat’. The purchase of the farm is a critical step in securing the required makeup water for the innovative patent-pending lithium recovery process for TLC’s unique lithium bearing claystones. Work to date has identified a pit-constrained resource (at 400 ppm cut-off) of 1.107 billion tonnes measured and indicated (“M+I”) plus 362 Mt inferred containing 5.37 million tonnes lithium carbonate equivalent (“LCE”) M+I and 1.76 million tonnes LCE inferred (see American Lithium news release dated May 20, 2020). In addition, ongoing metallurgical processing and testing by McClelland Laboratories Inc. has shown highly encouraging results in simplifying the process for recovering lithium, that the lithium is consistently highly leachable throughout the project and that average extraction grades of 87% lithium can be achieved in minutes of leach contact time without the use of agitation or heat (see American Lithium news release dated June 17, 2020). Pursuant to the LOI, American Lithium has paid a deposit to an arm's length vendor of $15,000, to allow for a due diligence period until August 31, 2020. On completion of satisfactory due diligence, the Company will complete a definitive purchase wherein transfer of the property interest and the water rights will be finalized through payment of $1.3 million USD, over a four-year period. Michael Kobler, CEO of American Lithium, stated, “the goal of the lithium recovery process that is and continues to be developed for the TLC project is to be as water efficient as is practically possible. That said, there is makeup water required, an...