CALGARY, ALBERTA – TheNewswire – August 18, 2022 – Lithium Chile Inc. (“Lithium Chile” or the “Company”) (TSXV:LITH) (OTC:LTMCF) is pleased to announce that it has entered into an option agreement (the “Agreement”) with Volos Minerals Inc. (“Volos”) a privately-held mining exploration Company, whereby Volo’s may earn a 51% in the Las Garillas property located in north-central Chile. The Las Garillas property consists of nine exploration concessions totaling 1,900 hectares.
The Las Garillas property covers several large zones of phyllic to silicic hydrothermal alteration and gold-silver bearing epithermal vein systems that encompass an old high-grade, pre-Columbian, gold-silver mining camp. Regionally, it lies on the eastern flank of the central Cretaceous – Palaeocene Porphyry Copper-Gold Belt in a similar, geological – structural setting as the Andacolla gold mine operated by Teck Resources. The Las Garillas property is readily accessible year-round from the town of Monte Patria, twelve kilometres to the southwest, via paved and gravel roads, heading northeast to several old mines in the interior of the Property.
Recent surface chip sampling by Lithium Chile along vein extensions within the Las Garillas claims of an adjacent property, currently producing high grade, gold-silver vein systems, returned values of up to 21.4 g/t gold, 329 g/t silver and 1.8% copper.
To earn 51% in Las Garillas, within two years of signing the Agreement, Volos must incur a minimum of $250,000 in exploration expenditures and make cash payments to Lithium Chile of $100,000. In addition, Volos must issue Lithium Chile Inc. a number of common shares representing 9.9% ownership in Volos (the “Payment Shares”) immediately following the listing of Volos shares on a Canadian stock exchange (the “Listing”) and a further 9.9% on the first anniversary of the Listing.
Steve Cochrane, President and CEO of Lithium Chile commented “I am pleased to have entered into this option agreement on our Las Garillas property with Volos, as part of our stated objective of advancing our non-lithium assets in Chile through these types of joint ventures. Preliminary exploration on Las Garillas points to an exciting gold silver copper cobalt prospect.”
Alain Lambert, Co-Founder and a Director of Volos Minerals remarked “We look forward to taking Volos Minerals public before the end of this year. Having Lithium Chile as a significant shareholder demonstrates their commitment to the long-term success of the Las Garillas project and Volos’ plan to be active in mining exploration in Chile.”
About Lithium Chile
Lithium Chile is advancing a lithium property portfolio consisting of 79,700 hectares covering sections of 11 salars and 2 laguna complexes in Chile and 23,300 hectares in Argentina.
Lithium Chile also owns 5 properties, totaling 22,429 hectares that are prospective for gold, silver and copper. Exploration efforts are continuing on Lithium Chile’s Carmona gold/silver/copper property which lies in the heart of the Chilean mega porphyry gold/ silver/copper belt.
Lithium Chile’s common shares are listed on the TSX-V under the symbol “LITH” and on the OTC-BB under the symbol “LTMCF”.
Forward Looking Statements
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.
NOT FOR RELEASE IN THE UNITED STATES
This news release may contain certain forward-looking information and forward-looking statements within the meaning of applicable securities legislation (collectively “forward-looking statements”). Generally, forward-looking statements can be identified by the use of forward-looking terminology such as “expected”, “anticipated”, “aims to”, “plans to” or “intends to” or variations of such words and phrases or statements that certain actions, events or results “will” occur. Such forward-looking statements are based on various assumptions and factors that may prove to be incorrect, including, but not limited to, factors and assumptions with respect to: the general stability of the economic and political environment in which the Company operates; the timely receipt of required regulatory approvals; the risk that the new lithium or cesium exploration tender processes does not yield the anticipated benefits to the Company; the ability of the Company to obtain future financing on acceptable terms; currency, exchange and interest rates; operating costs; the success the Company will have in exploring its prospects and the results from such prospects and the COVID-19 pandemic. You are cautioned that the foregoing list of material factors and assumptions is not exhaustive. Although the Company believes that the assumptions and factors on which such forward-looking statements are based upon are reasonable, undue reliance should not be placed on the forward-looking statements because the Company can give no assurance that they will prove to be correct or that any of the events anticipated by such forward-looking statements will transpire or occur, or if any of them do so, what benefits the Company will derive there from. The Company does not undertake to update any forward-looking statements herein, except as required by applicable securities laws. All forward-looking statements contained in this news release are expressly qualified by this cautionary statement.