Business
Ganfeng Increases Stake in Avalonia Lithium Project, Ireland and Finalizes Exploration Loan Agreement with International Lithium for Mariana Lithium Project, Argentina
VANCOUVER, BC / ACCESSWIRE / October 20, 2015 / International Lithium Corp. (TSXV: ILC.V) (t...
About this update from Ilc Critical Minerals Limited
[{"type":"text","content":"Ganfeng Increases Stake in Avalonia Lithium Project, Ireland and Finalizes Exploration Loan Agreement with International Lithium for Mariana Lithium Project, ArgentinaVANCOUVER, BC / ACCESSWIRE / October 20, 2015 / International Lithium Corp. (TSXV: ILC.V) (the \"Company\" or \"ILC\") is pleased to announce that further to the Company's press releases dated November 28, 2012, July 31, 2013 and March 19, 2014 announcing the original loan agreement and amendments (\"Loan\") with strategic partner GFL International Co., Ltd (\"Ganfeng Lithium\" or \"GFL\"), ILC and GFL have amended the Loan to extinguish and replace the repayment terms of the original Loan. The latest agreement settles repayment provisions of the Loan principal and accrued interest totaling CDN$1,168,841 indebted to GFL. In return ILC grants GFL an additional 4% interest in the Avalonia project for extinguishing CDN$126,000 of the Loan and adds the balance of CDN$1,042,841 (US$798,500) to the Mariana exploration loan (\"Exploration loan\"), which was announced in the Company's press release dated March 19, 2014.\nThe resultant ownership of the Avalonia project will be 55% GFL and 45% ILC until the CDN$10 million expenditures required to be incurred by GFL are reached or a positive feasibility study is produced for the project, at which time the ownership will be 79% GFL and 21% ILC. The Company and GFL have finalized the terms of the Exploration loan, under which GFL will make available to ILC a loan up to US$2,000,000 to cover a portion of, or the entirety of, ILC's required contribution to the Mariana joint venture (\"Joint Venture\"). The Exploration loan carries an annual interest rate of 10% and is repayable from ILC's share of Proceeds or Net Smelter Royalty payments derived from the Joint Venture. No interest is payable until such time as Proceeds or Net Smelter Royalty payments are derived from the Joint Venture. If no Proceeds or Net Smelter Royalty payments are derived from the Joint Venture the Exploration loan, including accrued interest, shall be due and payable by March 14, 2024.\nMr. Kirill Klip, President, International Lithium Corp. comments, \"The restructuring of our loan facilities with strategic partner Ganfeng Lithium provides ILC with financial relief and access to capital through the long term Exploration loan. In Argentina, all political ca...