Offloading Non-Core WA-NT Exploration Projects
Lithium Australia NL (ASX: LIT) has granted an option for Charger Metals NL to acquire part of the company’s Australian exploration assets.
The assets include:
* The Coates Mafic Intrusive Complex (Wundowie Project) in the Western Yilgarn emerging Ni-Cu-PGE belt, located 28km south-east of Chalice Gold’s Julimar discovery in Western Australia;
* The Lake Johnson Project, near Southern Cross, Western Australia which is prospective for lithium, gold and nickel; and
*The Bynoe Project, prospective for lithium and gold, located near Darwin, Northern Territory.
Lithium Australia will retain significant leverage through a 30% interest, free- carried to completion of bankable feasibility study, in each Project, and a significant share interest in Charger post Initial Public Offering; and
Lithium Australia Managing Director, Adrian Griffin, said the transaction enables the company to focus on its core business that being to ensure an ethical and sustainable supply of energy metals to the battery industry (enhancing energy security in the process) by creating a circular battery economy.
The Company has granted Charger Metals NL an option to acquire a 70% interest in tenements that are unencumbered, and 100% of one encumbered tenement. The consideration payable to Lithium Australia, by Charger is:
- $100,000 for reimbursement of previous exploration expenditure incurred on the Tenements; and
- 8,800,000 fully paid ordinary shares (‘Shares’) of Charger; and
$200,000 cash and 2,750,000 Shares upon the establishment of either a JORC 2012 of: inferred resource of 10,000t contained nickel equivalent; or inferred resource of 10Mt @ 1.2% Li2O; or inferred resource of 100,000oz @ +2g/t gold equivalent
