Canada’s Monumental to Acquire Majority Stake in Chile Lithium Project
- October 7, 2022
- Posted by: Quatro Strategies
- Category: Mining
Lithium Chile announced it has reached a definitive option agreement on Oct. 5 with Vancouver-based Monumental Minerals whereby the Canadian miner may acquire a 50.01% stake in the Salar de Turi Project, located within the region known as the “lithium triangle”, home to more than half of the world’s lithium reserves. The region lies within the territories of Chile, Argentina and Bolivia.
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. Lithium Chile says the Turi Project is close to infrastructure.
“The signing of the Turi Option Agreement demonstrates Lithium Chiles confidence in Monumental’s ability to add value through the exploration of another property in Chile. This Joint Venture expands our relationship with a strong team, but also meets the strategic goal of moving the Company’s Chilean projects forward, while our team focuses on our Phase Two drilling Program in Argentina”. Lithium Chile CEO Cochrane said.
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.
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.
Lithium Chile is advancing a lithium property portfolio consisting of 84,478 hectares covering sections of 11 salars and 2 laguna complexes in Chile and 23,300 hectares in Argentina.
Lithium Chile also owns five properties, totaling 21,329 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.
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