LiCo Energy Metals Closes Acquisition of Black Rock Desert Lithium Project in Nevada
Vancouver, January 6, 2017 - LiCo Energy Metals Inc. "The Company" or "LiCo" TSV-V: LIC OTCQB: WCTXF announces that further to its news releases dated November 11, 2016 and December 15, 2016 and further to the conditional acceptance from the TSX Venture Exchange (the "Exchange") dated January 5, 2017 pursuant to an Option Agreement dated November 10, 2016 (the "Agreement") between the Company and Nevada Energy Metals Inc. ("Nevada"), whereby the Company can earn an undivided 70% interest, subject to a 3% net smelter return royalty ("NSR"), in 199 placer claims located in southwest Black Rock Desert, Nevada, the transaction has now closed, subject to final acceptance of from the Exchange. Pursuant to the terms of the Agreement, the Company will pay to Nevada a total of USD$170,000 (US$20,000 upon signing the Agreement and US$150,000 upon Exchange approval). The Company will also issue to Nevada 1,500,000 shares upon Exchange approval. In year one the Company will issue to the Nevada 1,500,000 shares followed by an additional 1,500,000 shares in year two. The Company is also subject to a US$1,250,000 work commitment on or before the three year anniversary date.
A cash finder's fee of $75,000 will be paid in connection with the transaction.
All shares issued will be subject to a four month and a day hold period. The 1,500,000 shares to be issued upon Exchange approval will be subject to a four month and a day hold period expiring on May 7, 2017.:
About the Black Rock Desert Property:
The western arm of the Black Rock Desert covers an area of about 2,000 square kilometers and contains 5 of the 30 currently listed Known Geothermal Resource Areas in Nevada. The Property covers an area of playa underlain by a moderately deep basin interpreted from gravity and seismic surveys indicating a maximum thickness of valley-fill deposits of about 1,200 m/ 3,600 ft. A high salt content prevents any significant vegetation from growing on the playa surface. Locally, the basin is being fed in part by boiling springs and siliceous sinter containing strongly anomalous Lithium values (5mg/l) that flank the property on the west side. (U.S. GEOLOGICAL SURVEY Open-File Report 81-918.) While these lithium values are well below those of producing lithium brines, they do represent a significant source of metal available for evaporative concentration within the playa basin.
Qualified Person: The technical content of this news release has been reviewed and approved by Alan Morris CPG, Elko, Nevada
About LiCo Energy Metals: http://licoenergymetals.com/
LiCo Energy Metals Inc. is a fully funded Canadian based exploration company who's primary listing is on the TSX Venture Exchange. The Company's focus is directed towards exploration for high value metals integral to the manufacturing of lithium ion batteries.
The Company has entered into a non-binding Letter of Intent (LOI) with Durus Copper Chile Spa of Santiago, Chile where the Company can earn a 60% interest in the Purickuta Lithium Exploitation Concession located within Chile's Salar de Atacama, the worlds larges and purest active source of lithium. The Purickuta Project consist of 160 hectares and is one of a few "exploitation concessions" granted within the Salar de Atacama, home to approximately 37% of the worlds Lithium production. The property is contained within an existing exploitation concession owned by Sociedad Quimica y Minera ("SQM"), and lies approximately 3 km north of the exploitation concession of CORFO (the Chilean Economic Development Agency). About 22 km south-east from the Purickuta Concession, both SQM and Albemarle Corp. have large-scale production facilities within the CORFO concession mentioned above. The LOI which will be superseded by a definitive option agreement, is subject to TSX Venture Exchange Approval.
The Company has an option to earn 100% ownership, subject to a royalty, in the Teledyne Cobalt Project located near Cobalt. Ontario. The Property adjoins the south and west boundaries of claims that hosted the Agaunico Mine. From 1905 through to 1961, the Agaunico Mine produced a total of 4,350,000 lbs. of cobalt and 980,000 oz. of silver. A significant portion of the cobalt that was produced at the Agaunico Mine located along structures that extended southward onto property currently under option to LiCo Energy Metals.
In addition, LiCo Energy Metals has an option to acquire a 100% interest, subject to a 3% NSR, on a large lithium exploration project at the Humboldt Salt Marsh in Dixie Valley, Nevada. The geologic setting and presence of lithium in active geothermal fluids and surface salts in Dixie Valley match characteristics of producing lithium brine deposits at Clayton Valley, Nevada and in South America.
The Company is planning an exploration programs for all its properties over the next several months.
On Behalf of the Board of Directors:
Rick Wilson, President & CEO
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Disclaimer for Forward-Looking Information:
This news release may contain forward-looking statements which include, but are not limited to, comments that involve future events and conditions such as Exchange approval of the Option Agreement and the Company's ability to exercise the Option, which are subject to various risks and uncertainties. Except for statements of historical facts, comments that address resource potential, upcoming work programs, geological interpretations, receipt and security of mineral property titles, availability of funds, and others are forward-looking. Forward-looking statements are not guarantees of future performance and actual results may vary materially from those statements. General business conditions are factors that could cause actual results to vary materially from forward-looking statements.
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