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Critical Elements Signs Agreement With Lepidico to Sell Up to 75% Interest in Lemare Property
MONTREAL, QUEBEC--(Marketwired - Feb. 11, 2016) - Critical Elements Corporation ("Critical Elements" or the "Company") (TSX VENTURE:CRE)(OTCQX:CRECF)(FRANKFURT:
About this update from Critical Elements Lithium Corporation
[{"type":"text","content":" MONTREAL, QUEBEC--(Marketwired - Feb. 11, 2016) - Critical Elements Corporation (\"Critical Elements\" or the \"Company\") (TSX VENTURE:CRE)(OTCQX:CRECF)(FRANKFURT:F12) is pleased to announce that Critical and Lepidico Ltd (\"Lepidico\") has entered into a binding agreement (\"Agreement\") that gives the right to Lepidico to acquire up to a 75% interest in the Lemare lithium project. Terms of the transaction Under the Agreement, Lepidico will earn its interest in Lemare by way of a farm-in arrangement. The key terms of the Agreement are detailed in the table below: Conditions $15,000 cash payment at the signature of the Agreement 60 day period for Lepidico to undertake additional due diligence Upon exercise of right to farm-in post due diligence $35,000 cash payment on or before May 10, 2016 $500,000 payment in shares or cash on or before May 10, 2016, such value to be determined by dividing the 5 day volume weighted average price (\"VWAP\") of the Shares immediately following the completion of the \"going public transaction\" between Lepidico and Platypus Minerals Ltd or another Australian Securities Exchange (\"ASX\") listed company. $35,000 cash payment on or before September 9, 2016 Earn 50% interest Lepidico to spend $800,000 by December 31, 2016 in exploration expenses Lepidico to spend additional $1,200,000 by December 31, 2017 in exploration expenses Lepidico to deliver a Joint Ore Reserves Committee (\"JORC\") Code compliant resource by December 31, 2017 Earn additional 25% interest (total 75%) Completion of definitive feasibility study and environmental study on Lemare by June 30, 2020 Payment of $2,500,000 (cash or shares) Royalty 2% Net Smelter Royalty (\"NSR\") payable to Critical Elements Rights to buy back 1% of the NSR for $2,000,000 Milestone Payment Maximum payment of $1,500,000 in cash or shares for delineation of a JORC resource in excess of 20.0Mt at a cut-off grade of 0.6% Li2O The Lemare project consists of 158 claims for a total ground position of 7,433 hectares (74 km2) in a region of Quebec that boasts other lithium deposits and known lithium mineralisation, as shown in the maps and table below. The Lemare project is potentially a new lithium field in an established lithium district. Table 1. Lithium resources of the James Bay area. Company Project Measured & Indicated Inferred...