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Surge Battery Metals Signs A Letter of Intent on 16 Lithium Mining Claims in the Nevada San Emidio Desert
VANCOUVER, BC / ACCESSWIRE / January 20, 2022 / Surge Battery Metals Inc. (the "Company" or ...
About this update from Surge Battery Metals Inc
[{"type":"text","content":"Surge Battery Metals Signs A Letter of Intent on 16 Lithium Mining Claims in the Nevada San Emidio DesertVANCOUVER, BC / ACCESSWIRE / January 20, 2022 / Surge Battery Metals Inc. (the \"Company\" or \"Surge\") (TSXV:NILI)(OTC PINK:NILIF)(FRA:DJ5C) is pleased to announce that it has entered into a Letter of Intent dated January 11, 2022 (the \"Agreement\") to earn an undivided 80% interest in 16 Lithium Mining Claims comprised of 640 acres and located within Nevada's San Emidio Desert (the \"Transaction\"). These lithium exploration claims, referred to as the \"Galt Claim Group\", adjoin the Company's existing San Emidio Desert lithium claims. If this interest is successfully acquired by the Company, it will significantly add to Surge's lithium assets in the area.This Agreement is subject to a standstill clause and an additional due diligence period by both parties ending January 31, 2022 followed by the signing of a Definitive Agreement by February 28, 2022, to be approved by the Vendors (Paul Lechler and John Vandesand) and the Company's Board of Directors.Terms of the Transaction:The proposed consideration for the undivided 80% interest in the Galt Claim Group is as follows:CAD$20,000 to be paid upon the closing of the Transaction;1,000,000 restricted Company Shares to be issued upon the closing of the Transaction, which shares shall vest and be released as follows: 25% released on the closing of the Transaction, 25% released each three-month period thereafter;4,000,000 warrants with at an exercise price of CAD$0.30 per Share with a five-year term and vesting on the same schedule as the shares in b) above; andCAD$10,000 each year on the anniversary of the closing of the Transaction for five years.The Transaction will be subject to TSX Venture Exchange approval. All securities issued in connection with the Transaction are subject to a four month and a day hold period in accordance with Canadian Securities Laws.Past Mineral Exploration Activity on the Galt Claim GroupRecent mineral exploration on the Galt Claim Group includes 51 playa sediment samples collected for chemical analysis at ALS Geochemistry in Vancouver, B.C. Results of aqua regia leaching of the samples show 68 - 852 ppm Lithium (mean 365 ppm), 5.3 - 201 ppm Cesium (mean 72 ppm), and 35 - 377 ppm Rubidium (mean 180 ppm). Results from two 7-foot-deep auger holes show...