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Lithium Energy Products Enters into a Binding Agreement to Acquire 100% of the Lost Sheep Mining Operation
(via TheNewswire) Vancouver, British Columbia / TheNewswire / 1 st Febr...
About this update from Ares Strategic Mining Inc
[{"type":"text","content":"Lithium Energy Products Enters into a Binding Agreement to Acquire 100% of the Lost Sheep Mining Operation(via TheNewswire)\n \n \nVancouver, British Columbia / TheNewswire / 1st February 2019. LITHIUM ENERGY PRODUCTS INC. (\"Lithium Energy Products\" or \"LEP\" or the \"Company\") (TSX-V: LEP) (FRANKFURT: N8I) is pleased to announce that on 17th January, 2019 it entered into a Binding Letter of Intention (\"LOI\") with American Strategic Minerals (the \"Vendor\" or \"ASM\") to acquire 100% of its assets, including the Lost Sheep mine (the \"Lost Sheep Property\"), based in Utah.\n\n \n \nThe arm's length acquisition will include 51 claims of US federal land, and 640 acres of State land, covering a total land area of approximately 1,660 acres. In addition, the Vendor has begun staking additional land packages which the Company will inherit upon acquisition. The Company will also inherit a working plant, the Vendor's mining equipment, and the bagging and processing facility, so the Company can continue the fluorite operation. \n\n \n \nIn a recent release, Fluorite was identified by the US government as 1 of its top 35 minerals that is deems crucial to the economy and national security1. The mineral is principally used in the production of steel, which according to the USGS, the US currently buys predominantly from Mexico, South Africa, and Vietnam2. China is also suffering a significant shortage of fluorite for use in their steel industry3, giving the Company a lot of blue-sky potential in the two largest steel producing markets. \n\n \n \nUnder the terms of the LOI, upon completion of its due diligence, the Company will move towards a definitive agreement with the Vendor, a privately held corporation existing under the provisions of the British Columbia Business Corporations Act (the \"BCBCA\"). Pursuant to the terms of the definitive agreement, a special-purpose subsidiary of the Company, will amalgamate with the Vendor under the BCBCA, (the \"Amalgamation\"), to complete a change of control RTO, and the Company will carry on the business of the Vendor. Should the parties enter into a definitive agreement, the Company has agreed with the Vendor, that all the Vendor's claims, property, permits, equipment, and assets will transfer to the Company. Immediately prior to the completion of the Amalgamation, the Company will issue the...