Lake Resources NL: Half Yearly 2016 Report and Accounts
Brisbane - The directors present their report, together with the financial statements, on the consolidated entity (ASX:LKE) (referred to hereafter as the 'consolidated entity') consisting of Lake Resources NL (referred to hereafter as the 'company' or 'parent entity') and the entities it controlled at the end of, or during, the half-year ended 31 December 2016.PRINCIPAL ACTIVITIES
The principal activities of the entities within Lake Resources NL (Lake) are:
- Exploration and development of lithium brine projects and lithium hard rock projects
- Exploration for minerals.
During the year ended 31 December 2016, Lake completed the acquisition of unlisted company LithNRG Pty Ltd, that controls two Argentine subsidiaries with lithium brine projects in Argentina.
Corporate
The Company announced in 25 May 2016 an agreement to acquire the unlisted company LithNRG Pty Ltd, with exciting lithium brine projects in three large packages of tenement applications (over 90,000 Ha) around salt lakes in North West Argentina. The property portfolio has been established over a ten month period, mostly prior to the recent 'rush' by majors into Argentina due to its proven prospectivity and recently improved foreign investment climate.
On 4 October 2016, the shareholders approved the acquisition of Lith NRG Pty Ltd for the staged issue of shares and options under the terms detailed in the Notice of Annual General Meeting and Explanatory Statement released on 1 September 2016. The transaction was completed on 14 November 2016 after subsequent final due diligence and documentation was completed and finalised.
Lake controls 100% the subsidiary LithNRG Pty Ltd with its Argentine subsidiaries, Minerales Australes SA and Morena del Valle Minerals SA.
To view the full report, please visit:
http://abnnewswire.net/lnk/JKHMEG6C
About Lake Resources NL:
Lake Resources NL (ASX:LKE) is a lithium exploration company undertaking an aggressive programme to explore prime lithium basins in Argentina, among some of the largest players in the lithium sector. Mining leases and applications are located in the Lithium Triangle which accounts for 49% of current lithium production. Lake recently completed the acquisition of an early mover in Argentina, who had secured an extensive strategic package of ~90,000 Ha, prior to a significant 'rush' to secure projects by major companies in the sector. This is one of the largest lithium tenement packages in Argentina, controlled 100% by Lake. The option agreement over lithium pegmatites in Catamarca, if exercised, would increase this to ~160,000 Ha.
Lake has three key areas that have similar settings to major world class projects being developed – Olaroz/Cauchari, Paso and Kachi in the highly prospective Jujuy and Catamarca Provinces. The Kachi Lithium Brine Project is located in Catamarca province, approximately 100km south of FMC's Hombre Muerto Lithium brine production operation. The Kachi Project overlies an area of almost 50,000 Ha of leases and lease applications, centred around a salt lake within a large basin almost 100km long with initial results up to 322 mg/L Li at surface and more results expected, followed by geophysics and drilling. Upcoming exploration in lithium brine basins, one which is adjacent to some of the leading lithium producers/developers, including Orocobre and SQM, may provide several catalysts for growth as the areas are assessed for major discoveries.
Significant corporate transactions continue in adjacent leases with development of Lithium Americas Olaroz/Cauchari project with a 36% equity investment of US$286 million, from Gangfeng, an important Chinese producer, and Bangchak Petroleum. Both Chinese investors will also provide US$205 million debt facility with offtake commitments, sufficient to develop Lithium Americas
Contact:
Steve Promnitz Managing Director
Lake Resources NL
T: +61-2-9188-7864
E: steve@lakeresources.com.au