Argentina Lithium & Energy has signed agreements to earn a 100% interest in two new mining concessions on salars in northwestern Argentina, from local vendors.
Under the agreements, Argentina Lithium will acquire the 1,456ha Don Fermin property near its Salar de Rincon by making a total cash payment of $2.75m over a period of 18 months.
This includes $250,000 of initial non-reimbursable payment.
Argentina Lithium expects the Fermin property to increase the Rincon West Project’s total area to 5198.8ha.
The vendor will retain a 1.5% net smelter royalty (NSR) on the property.
Furthermore, Argentina Lithium will acquire the 789ha Lexi-30 property to increase the area at its Antofalla North Project by paying $425,000 in tranches.
Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.
Thank you!
Your download email will arrive shortly
We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form
By GlobalData
The vendor will retain a 2% NSR on the Lexi-30 property.
In a press statement, Argentina Lithium said: “In the instance that the vendor wishes to transfer or sell the NSR, the company has the right to match the terms of NSR transference or sale.”
Argentina Lithium CEO Nikolaos Cacos said: “We continue to emphasise accretion of prospective resource properties to our first-tier projects at Rincon and Antofalla North.
“These new areas will be incorporated into our exploration programmes, and we are planning to deploy advanced geophysics to confirm the presence of brine aquifers followed by drilling and pump tests to evaluate their potential for hosting lithium in brines.
“Our financing agreement with Stellantis, announced on September 27th, places us in a strong position to acquire and fully explore highly prospective salar properties as they become available.”
