RENO, Nev.--(BUSINESS WIRE)--Lithium Corporation (OTCBB: LTUM) (the "Company", or “Lithco”) is pleased to announce that it has signed a letter of intent with Altura Mining Limited (AJM – ASX) of Brisbane Australia, whereby Altura will provide $550,000 of financing to the Company in a non-brokered private placement.
The terms of the arrangement are that Lithco is to issue Altura 11,000,000 units of Lithium Corporation common stock at a price of $0.05. Each unit comprises one common share and a warrant to purchase a further common share at a price of $0.10 per share until the first anniversary of the closing of the financing, or $0.15 per share if exercised during the period between the first and second anniversaries. The securities issued and sold in the private placement will not be registered under the Securities Act of 1933 as amended (the “Act”), and may not be offered or sold in the United States absent registration, or an applicable exemption from registration, under the Act.
Altura Mining Limited is a diversified junior mining company run by seasoned mining professionals. Altura is currently developing its Tabalong coal deposit in Indonesia, which is projected to begin production in late 2012, and its Mt Webber Iron Ore deposit joint venture, which is scheduled to begin production in 2013.
Amongst other mineral assets, Altura owns the world-class Pilgangoora lithium project in Western Australia, where they recently announced they have defined a JORC (Australian Joint Ore Reserves Committee) compliant inferred resource of 25.2 million tonnes of Spodumene bearing Pegmatite which grades 1.23% Li20, for a contained resource of 310,000 tonnes of lithium oxide.
Lithium Corporation’s president Tom Lewis commented, “I am extremely pleased that Altura Mining has decided to invest in Lithium Corporation. They are a strong development and production company that shares Lithco’s goals and outlook. I look forward to any and all future collaboration with Altura.”
Lithium Corporation is actively exploring two lithium brine prospects in Nevada, and anticipates further drilling at it San Emidio prospect later this month. The Company is also hopeful that its Fish Lake Valley prospect will dry sufficiently shortly so that the Company can get a lightweight drilling machine on the playa, and conduct the long-anticipated drill program there. Additionally Lithco has been evaluating other lithium prospects, while working to generate more.
For further information please contact Samantha White at Lithium Corporation at (888) 299-3989 or via email at email@example.com
About Lithium Corporation
Lithium Corporation is an exploration company based in Nevada devoted to the exploration for new lithium resources within the state of Nevada. The Company explores and develops potentially economic lithium-enriched brine fields, with an eye to becoming a long-term producer of this increasingly strategic and economically important commodity.
Notice Regarding Forward-Looking Statements
This current report contains "forward-looking statements," as that term is defined in Section 27A of the United States Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Statements in this press release which are not purely historical are forward-looking statements and include any statements regarding beliefs, plans, expectations or intentions regarding the future, including but not limited to, the closing of the private placement with Altura, any mineralization, exploration and development of our mineral properties, or the properties held by Altura and any statements in regards to any future drilling programs.
Actual results could differ from those projected in any forward-looking statements due to numerous factors. Such factors include, among others, the inherent uncertainties associated with mineral exploration and difficulties associated with obtaining financing on acceptable terms. We are not in control of minerals prices and these could vary to make development uneconomic. These forward-looking statements are made as of the date of this news release, and we assume no obligation to update the forward-looking statements, or to update the reasons why actual results could differ from those projected in the forward-looking statements. Although we believe that the beliefs, plans, expectations and intentions contained in this press release are reasonable, there can be no assurance that such beliefs, plans, expectations or intentions will prove to be accurate. Investors should consult all of the information set forth herein and should also refer to the risk factors disclosure outlined in our most recent annual report for our last fiscal year, our quarterly reports, and other periodic reports filed from time-to-time with the Securities and Exchange Commission.