VANCOUVER, BC, Oct. 6, 2022
/CNW/ - Monumental Minerals Corp. ("Monumental" or the
"Company") (TSXV: MNRL) (FSE: BE5) (OTCQB: MNMRF) is pleased
to announce that the Company has entered into an arm's length
definitive option agreement dated October 5,
2022 (the "Option Agreement") with Lithium Chile Inc.
("Lithium Chile") (TSX-V:
LITH) to acquire a 50.01% interest in the Salar de Turi project
(the "Turi Project") from Lithium Chile. The Turi Project
(Photo 1) is located about 120 km northwest from the Salar de
Laguna Blanca and 60 km northeast from the city of Calama,
Chile.
The Turi Project is situated within the prolific lithium
triangle, a zone within the central Andes high desert that includes
Chile, Argentina, and Bolivia. This zone is estimated to contain
more than half of the world's lithium supply beneath the many salt
flats, also known as salars, that are common to the region. The
Turi Project is comprised of 40 exploration concessions totaling
8,500 hectares, 100% owned by Lithium Chile through its wholly
owned Chilean subsidiary Minera Kairos Chile Limitada
("Minera Kairos"). The Turi
Project is accessible from the city of Calama (60 km to the
southwest) via the paved roads 21CH, and B-165 and is close to
infrastructure. Travel time from Calama to the Turi Project is
approximately 1 hour (see news release dated August 23, 2022 for additional details and
map).
Jamil Sader, Monumental's CEO
comments:
"The signing of the Turi Option Agreement
demonstrates Monumental's strong relationship with Lithium Chile
and their confidence in Monumental's team to add value through
exploration. Salar de Turi will be Monumental's second high quality
project with Lithium Chile and will greatly expand our presence in
Chile. We believe that
Chile is an excellent country in
which to conduct business and we are excited to rapidly move
forward with Turi."
Terms of the Option
Agreement
In order to exercise the option to acquire a 50.01% interest in
the Turi Project, Monumental must issue common shares, make certain
staged cash payments to Lithium Chile and incur exploration
expenditures on the Turi Project as follows:
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(a)
make cash payments of an aggregate of
C$700,000 according to the following schedule:
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(i)
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$200,000 within five
days of TSX Venture Exchange (the "Exchange") approval of
the Option Agreement (the "Acceptance Date");
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(ii)
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$250,000 on or before
the fourteenth month anniversary of the Acceptance Date; and
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(iii)
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$250,000 on or before
the second anniversary of the Acceptance Date.
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(b) incur
minimum expenditures on the Turi Project of not less than an
aggregate of C$1,400,000 according to the following
schedule:
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(iv)
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$700,000 on or before
the first anniversary of the Acceptance Date; and
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(v)
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$700,000 on or before
the second anniversary of the Acceptance Date.
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(c) issue and
deliver to Lithium Chile, that number of common shares of
Monumental that would result in Lithium Chile holding, on a
non-diluted basis, 9.9% of the issued and outstanding common shares
of Monumental (the "Payment Shares"), within ten days of the
earlier of the closing date of Monumental's next equity financing
and fourteen months following the Acceptance Date. The issuance of
the Payment Shares are subject to Exchange approval.
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In addition to the statutory hold period of four months and one
day from the date of issuance, the Payment Shares will be subject
to a 12-month voluntary hold period from the date of issuance. Upon
Monumental earning a 50.01% interest in the Turi Project,
Monumental and Lithium Chile will use commercially reasonable
efforts to negotiate and execute a joint venture agreement for the
purpose of jointly carrying out exploration, evaluation and
development of the Turi Project.
The Option Agreement remains subject to Exchange approval.
Qualified Person
The scientific and technical information contained in this news
release has been reviewed and approved by Kristopher J.
Raffle, P.Geo. (BC) Principal and Consultant of APEX
Geoscience Ltd. of Edmonton, AB, a
Director of the Company and a "Qualified Person" as defined in
National Instrument 43-101 – Standards of
Disclosure for Mineral Projects.
About Monumental Minerals
Corp.
Monumental Minerals Corp. is a mineral exploration company
focused on the acquisition, exploration, and development of mineral
resource properties in the critical and electric metals sector. The
Company's flagship asset is the Jemi HREE project located in
Coahuila, Mexico near the
Texas, USA border which the
Company has an option to acquire 100% of the 3,650-hectare
project. The Company has an option to acquire a 75% interest
and title to the Laguna cesium-lithium brine project located in
Chile.
On behalf of the Board of Directors,
/s/ "Jamil Sader"
Jamil
Sader, Chief Executive Officer and Director
Contact Information:
Email: jsader@monumentalminerals.com
Or
Max Sali, VP Corporate
Development and Director
Email: msali@monumentalminerals.com
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 news release.
Forward Looking
Information
This news release contains "forward–looking information or
statements" within the meaning of applicable securities laws, which
may include, without limitation, obtaining Exchange approval and
completing the proposed transaction with Lithium Chile pursuant to
the Option Agreement, payments and obligations under the Option
Agreement, regulatory and administrative approvals in connection
with exploration work on the Turi Project, the potential plans for
the Company's projects, other statements relating to the technical,
financial and business prospects of the Company, its projects and
other matters. All statements in this news release, other than
statements of historical facts, that address events or developments
that the Company expects to occur, are forward-looking statements.
Although the Company believes the expectations expressed in such
forward-looking statements are based on reasonable assumptions,
such statements are not guarantees of future performance and actual
results may differ materially from those in the forward-looking
statements. Such statements are based on numerous assumptions
regarding present and future business strategies and the
environment in which the Company will operate in the future,
including the price of metals, the ability to achieve its goals,
that general business and economic conditions will not change in a
material adverse manner and that financing will be available if and
when needed and on reasonable terms. Such forward-looking
information reflects the Company's views with respect to future
events and is subject to risks, uncertainties and assumptions,
including the risks and uncertainties relating to the
interpretation of exploration results, risks related to the
inherent uncertainty of exploration and cost estimates and the
potential for unexpected costs and expenses and those other risks
filed under the Company's profile on SEDAR at www.sedar.com. While
such estimates and assumptions are considered reasonable by the
management of the Company, they are inherently subject to
significant business, economic, competitive and regulatory
uncertainties and risks. Factors that could cause actual results to
differ materially from those in forward looking statements include,
but are not limited to, continued availability of capital and
financing and general economic, market or business conditions,
failure to secure personnel and equipment for work programs,
adverse weather and climate conditions, risks relating to
unanticipated operational difficulties (including failure of
equipment or processes to operate in accordance with specifications
or expectations, cost escalation, unavailability of materials and
equipment, government action or delays in the receipt of government
approvals, industrial disturbances or other job action, and
unanticipated events related to health, safety and environmental
matters), risks relating to inaccurate geological assumptions,
failure to maintain all necessary government permits, approvals and
authorizations, failure to obtain surface access agreements or
understandings from local communities, land owners or Indigenous
groups, fluctuation in exchange rates, the impact of Covid-19 or
other viruses and diseases on the Company's ability to operate, an
inability to predict and counteract the effects of COVID-19 on the
business of the Company, including but not limited to, the effects
of COVID-19 on the price of commodities, geopolitical conflicts,
capital market conditions, restriction on labour and international
travel and supply chains, decrease in the price of rare earth
elements, lithium, cesium and other metals, loss of key employees,
consultants, or directors, failure to maintain community acceptance
(including from the Indigenous communities), increase in costs,
litigation, and failure of counterparties to perform their
contractual obligations. The Company does not undertake to update
forward–looking statements or forward–looking information, except
as required by law.
SOURCE Monumental Minerals Corp.