LITHIUM X ACQUIRES LARGEST LAND POSITION IN NEVADA’S CLAYTON VALLEY AND STRENGTHENS MANAGEMENT TEAM
Lithium X Energy Corp. (LIX.V) has signed an agreement dated Feb. 15, 2016, for the acquisition of a 100-per-cent interest in the CVL lithium property in Nevada’s Clayton Valley.
The acquisition makes Lithium X the largest claims holder with over 15,020 acres (6,078 hectares) in Nevada’s Clayton Valley and land positions both north and south of Albemarle’s Silver Peak mine, North America’s only lithium producer.
The Company is also pleased to announce the appointment of Mr. William Randall, P Geo, as the new VP of Project Development.
The Clayton Valley South Expansion
The Clayton Valley South Expansion consists of 471 federal placer mining claims, totaling approximately 9,540 acres (3,861 hectares) and is located approximately 30 miles southwest of Tonopah, Nevada, within the Clayton Valley.
The Property is strategically located between and contiguous with the Silver Peak lithium mine operated by Albemarle Corp. on the northern boundary, the Clayton Valley South project operated by Pure Energy Minerals Ltd to the east and the Neptune property owned by Nevada Sunrise Gold Corporation to the west. (Refer to Figure 1: Lithium X Clayton Valley Project, which can also be found on the Company’s website, www.lithium-x.com.)
The Company plans to test several potential lithium-bearing aquifers on the Property. The geological structure of the sediment-filled deep basin underlying the claims is a target-rich environment. Analysis of geological, geophysical and drill log data shows evidence of potential lithium-bearing aquifers. Within these sediments there are several known lithium bearing aquifers; these are the salt aquifer system, main ash aquifer, lower ash aquifer and the lower gravel aquifer. Faults within the basin create infiltration barriers that hinder the dilution of lithium brines from the influx of fresh water from the surrounding mountains.
Historic and present drilling programs surrounding the Clayton Valley South Expansion suggest the potential for discovery of lithium-bearing brines. Albemarle wells are less than 300 feet from the Property and current drilling by Pure Energy is estimated to be 800 feet from the Property.
“With this acquisition, Lithium X has established the dominant land position in the Clayton Valley, while we continue to build a first class management team with extensive lithium experience,” commented President and CEO, Mr. Paes-Braga.
Consideration for the acquisition consists of a cash payment of US$350,000 and 4,000,000 common shares of the Company to the vendor. A finder’s fee of 295,000 common shares of the Company is payable to a third party.
The acquisition of the Property is expected to close on or before February 26, 2016 and is subject to certain conditions including, but not limited to, receipt of all necessary approvals, including the approval of the TSX Venture Exchange.
Strengthening the Lithium X Management Team
The Company also announces the appointment of William Randall as the new VP of Project Development. Mr. Randall is a professional geologist and qualified person (“QP”) with extensive executive and technical experience in lithium exploration and development in the Clayton Valley and in South America.
For almost a decade Mr. Randall has led numerous exploration programs, including drill campaigns in Nevada’s Clayton Valley and high-altitude salars throughout South America.
Mr. Randall was raised in Argentina, educated in Canada and is fluent in both English and Spanish. He will be VP of Project Development for the Company on Clayton Valley exploration programs and instrumental in finding, analyzing and conducting due diligence on other assets.
Mr. Randall has been granted 300,000 stock options for a period of 5 years based on the closing price of the market on February 16, 2016.
“I have known Will for many years and he brings a wealth of knowledge and experience in the lithium space. He is particularly well-suited in developing our existing assets as well as expansion plans for the future,” said Executive Chairman Mr. Matysek.
Mr. Randall will assume the responsibilities of Mr. Timothy Oliver. Mr. Oliver resigned as VP of Project Development to pursue other opportunities.
The scientific and technical content and interpretations contained in this news release have been reviewed and approved by VP of Project Development William Randall, a Qualified Person as defined by NI 43-101, Standards of Disclosure for Mineral Projects.