Cameo Neighbor To Supply Battery-Grade Lithium Hydroxide (LiOH) to Northvolt
VANCOUVER, British Columbia, May 08, 2018 (GLOBE NEWSWIRE) -- Cameo Resources Corp. (TSX-V:CRU) (OTC:CRUUF) (FWB:SY7D) (the “Company” or “Cameo Resources”) is pleased to note that Nemaska Lithium Inc. and Northvolt AB have signed an agreement in principle providing for the supply by Nemaska to Northvolt of battery-grade lithium hydroxide.
As reported by Nemaska Lithium (news release dated April 27, 2018) under this agreement in principle, Nemaska Lithium Inc. has agreed to supply, through its wholly owned subsidiary Nemaska Lithium Shawinigan Transformation Inc., and Northvolt agreed to purchase, on a take-or-pay basis, up to 5,000 but not less than 3,500 metric tonnes per year of lithium hydroxide produced at the corporation's commercial plant in Shawinigan, for a five-year supply period commencing upon the start of commercial production at both the Shawinigan plant and Northvolt's projected Skelleftea factory (the N Factory) in Sweden. In connection with this supply of lithium hydroxide, Northvolt has agreed to deliver to the corporation a 10-million-euro promissory note which, at the corporation's option, can be converted into voting shares of Northvolt in connection with the N factory financing, or redeemed at cost plus an agreed-upon interest rate.
Nemaska Lithium Inc. holds the Whabouchi Lithium deposit claims, which extend to within 1 km of Cameo’s Montagne Lake Property in central Québec. Nemaska Lithium’s Whabouchi lithium deposit is one of the most important spodumene lithium deposits in the world, and Nemaska Lithium is currently raising funds for the construction and commissioning of its proposed Whabouchi Mine and Shawinigan Plant project.
Cameo’s Whabouchi Regional Lithium (“WRL”) Project in Quebec covers more than 19,000 ha in two blocks on either side of Nemaska’s proposed Whabouchi lithium mine including Cameo’s 4,484 ha Montagne Lake Property immediately to the west of Nemaska’s proposed Whabouchi lithium mine, and the Dumont Property 6 km to the east.
Cameo’s CEO, Akash Patel states, “Cameo continues to actively monitor the exciting news flow out of our neighbor’s camp; from Softbank’s $99M investment in Nemaska to Northvolt’s most recent supply agreement. These material announcements are a strong indication that the Whabouchi region could be the next mecca in battery metal discovery and production.”
About NorthVolt
Northvolt was founded in 2016 with the mission to build the world’s greenest battery, with a minimal carbon footprint and the highest ambitions for recycling, to enable the European transition to renewable energy. Northvolt’s team of experts is building the next generation battery factory focused on process innovation, scale and vertical integration. Once completed, it will be Europe’s largest battery factory and produce 32 GWh worth of battery capacity annually.
Although Nemaska Lithium’s proposed mine at Whabouchi is proximal to Cameo’s WRL Project, the spodumene lithium mineralization on Nemaska’s ground is not necessarily indicative of similar mineralization on Cameo’s property and Cameo’s qualified person is unable to independently verify the information reported by Nemaska Lithium Inc.
Harrison Cookenboo, Ph.D., P.Geo., is a qualified person as defined in National Instrument 43-101. He has reviewed and is responsible for the presentation of technical information in this news release.
CAMEO RESOURCES CORP.
“ Akash Patel”
For more information contact:
Lucas Birdsall
(778) 549-6714
www.cameoresources.com
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