American Lithium Corp. (“American Lithium” or the
Company”) (TSX-V: LI, OTCQB: LIACF, Frankfurt: 5LA1)
is pleased to confirm that it has signed an agreement to acquire
additional concessions in Southern Peru. In addition, it has
entered into agreements relating to public relations and marketing
activities.
Acquisition of Concessions in Southern
Peru
The Company, through its Peruvian subsidiary,
Macusani Yellowcake S.A.C., has entered into a mining rights
transfer agreement (the “Transfer Agreement”) with
an arms-length third-party, pursuant to which it will acquire the
rights to a series of mining concessions (the
“Concessions”) covering approximately 14,243
hectares in Southern Peru. The Concessions are highly prospective
and will further broaden the Company’s existing asset base and
operations in Peru.
In consideration for the Concessions, the
Company has agreed to pay US$400,000 and to issue 2,250,000 common
shares (the “Consideration Shares”) to the vendor.
Completion of the transaction contemplated by the Transfer
Agreement remains subject to completion of applicable transfer
registrations in Peru and the approval of the TSX Venture Exchange.
All Consideration Shares issued to the vendor will be subject to
restrictions on resale for a period of four-months-and-one-day in
accordance with applicable securities laws.
Simon Clarke, CEO of American Lithium, stated,
“We are very pleased to be able to add these large, highly
prospective concessions, close to the areas where we have generated
some of the best exploration results to date.”
Public Relations Update
The Company has retained the services of New
York-based Vorticom Inc. (“Vorticom”) to perform
high-impact Public Relations services in the United States.
Vorticom is a New York-based, award-winning public relations firm
that specializes in generating strategic media placements for its
corporate clients.
The agreement entered into with Vorticom is
effective as of June 01, 2022, (the “Vorticom
Agreement”) and Vorticom will receive
consideration of US$10,000 per month for a 12-month term. The
Company has also agreed to grant 100,000 incentive stock options
(the “Options”) to Vorticom, which have a term of
5 years and are exercisable at a price of $2.74 per common share.
The Options will vest over a period of 12 months, with 25% of such
Options vesting every quarter following their issuance, beginning
three months from the date hereof.
The Vorticom Agreement is subject to the
approval of the TSX Venture Exchange.
Marketing Update
American Lithium has also engaged Ptolemy
Capital Limited (“Ptolemy”), trading as Crux Investor
(“Crux”), to provide content creation,
distribution and dissemination services to the Company, as defined
in accordance with the policies of the TSX Venture exchange and
applicable securities laws.
Pursuant to the agreement entered into with
Crux, which is effective as of June 01, 2022 (the
“Crux Agreement”), Crux will
receive consideration of US$3,650/month, payable quarterly in
advance, for an initial 3-month term which may be extended for
additional 3-month periods.
Crux, a company based in London, United Kingdom,
provides content distribution via videos, podcasts, social
media and written articles. This includes dissemination and
syndication across private and public investor platforms and
services. To the best of American Lithium’s knowledge, neither
Ptolemy, Crux, nor any of its principals hold any securities of
American Lithium.
The Crux Agreement is subject to the approval of
the TSX Venture Exchange.
About American Lithium
American Lithium, a member of the TSX Venture
50, is actively engaged in the acquisition, exploration and
development of lithium projects within mining-friendly
jurisdictions throughout the Americas. The Company is currently
focused on enabling the shift to the new energy paradigm through
the continued exploration and development of its strategically
located TLC lithium claystone project in the richly mineralized
Esmeralda lithium district in Nevada, as well as continuing to
advance its Falchani lithium and Macusani uranium development
projects in southeastern Peru. Both Falchani and Macusani have been
through robust preliminary economic assessments, exhibit strong
additional exploration potential and are situated near significant
infrastructure.
On behalf of the Board of Directors of American Lithium
Corp.
“Simon Clarke”CEO & DirectorTel: 604 428 6128
For further information, please contact:
American Lithium
Corp.Email: info@americanlithiumcorp.comWebsite: www.americanlithiumcorp.com
Follow us on Facebook, Twitter and LinkedIn.
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 press release.
Cautionary Statement Regarding Forward
Looking InformationThis news release contains certain
forward-looking information and forward-looking statements
(collectively “forward-looking statements”) within the meaning of
applicable securities legislation. All statements, other than
statements of historical fact, are forward-looking statements.
Forward-looking statements in this news release include, but are
not limited to, statements regarding the planned acquisition of
additional water rights and future operations at TLC, and any other
statements regarding the business plans, expectations and
objectives of American Lithium. Forward-looking statements are
frequently identified by such words as “may”, “will”, “plan”,
“expect”, “anticipate”, “estimate”, “intend”, “indicate”,
“scheduled”, “target”, “goal”, “potential”, “subject”, “efforts”,
“option” and similar words, or the negative connotations thereof,
referring to future events and results. Forward-looking statements
are based on the current opinions and expectations of management
are not, and cannot be, a guarantee of future results or events.
Although American Lithium believes that the current opinions and
expectations reflected in such forward-looking statements are
reasonable based on information available at the time, undue
reliance should not be placed on forward-looking statements since
American Lithium can provide no assurance that such opinions and
expectations will prove to be correct. All forward-looking
statements are inherently uncertain and subject to a variety of
assumptions, risks and uncertainties, including risks,
uncertainties and assumptions related to: American Lithium’s
ability to achieve its stated goals; risks and uncertainties
relating to the COVID-19 pandemic and the extent and manner to
which measures taken by governments and their agencies, American
Lithium or others to attempt to reduce the spread of COVID-19 could
affect American Lithium, which could have a material adverse impact
on many aspects of American Lithium’s businesses including but not
limited to: the ability to access mineral properties for
indeterminate amounts of time, the health of the employees or
consultants resulting in delays or diminished capacity, social or
political instability in Peru which in turn could impact American
Lithium’s ability to maintain the continuity of its business
operating requirements, may result in the reduced availability or
failures of various local administration and critical
infrastructure, reduced demand for the American Lithium’s potential
products, availability of materials, global travel restrictions,
and the availability of insurance and the associated costs; the
judicial appeal process in Peru, and any and all future remedies
pursued by American Lithium and its subsidiary Macusani to resolve
the title for 32 of its concessions; risks regarding the ongoing
Ontario Securities Commission regulatory proceedings; the ongoing
ability to work cooperatively with stakeholders, including but not
limited to local communities and all levels of government; the
potential for delays in exploration or development activities due
to the COVID-19 pandemic; the interpretation of drill results, the
geology, grade and continuity of mineral deposits; the possibility
that any future exploration, development or mining results will not
be consistent with our expectations; risks that permits will not be
obtained as planned or delays in obtaining permits; mining and
development risks, including risks related to accidents, equipment
breakdowns, labour disputes (including work stoppages, strikes and
loss of personnel) or other unanticipated difficulties with or
interruptions in exploration and development; risks related to
commodity price and foreign exchange rate fluctuations; risks
related to foreign operations; the cyclical nature of the industry
in which American Lithium operates; risks related to failure to
obtain adequate financing on a timely basis and on acceptable terms
or delays in obtaining governmental approvals; risks related to
environmental regulation and liability; political and regulatory
risks associated with mining and exploration; risks related to the
uncertain global economic environment and the effects upon the
global market generally, and due to the COVID-19 pandemic measures
taken to reduce the spread of COVID-19, any of which could continue
to negatively affect global financial markets, including the
trading price of American Lithium’s shares and could negatively
affect American Lithium’s ability to raise capital and may also
result in additional and unknown risks or liabilities to American
Lithium. Other risks and uncertainties related to prospects,
properties and business strategy of American Lithium are identified
in the “Risks Factors” section of American Lithium’s Annual
Information Form for the financial year ended February 28, 2021,
and in recent securities filings available at www.sedar.com. Actual
events or results may differ materially from those projected in the
forward-looking statements. American Lithium undertakes no
obligation to update forward-looking statements except as required
by applicable securities laws. Investors should not place undue
reliance on forward-looking statements.
Cautionary Note Regarding Macusani
ConcessionsThirty-two of the 151 concessions held by
American Lithium’s subsidiary Macusani, are currently subject to
Administrative and Judicial processes (together, the “Processes”)
in Peru to overturn resolutions issued by INGEMMET and the Mining
Council of MINEM in February 2019 and July 2019, respectively,
which declared Macusani’s title to 32 of the concessions invalid
due to late receipt of the annual validity payments. In November
2019, Macusani applied for injunctive relief on 32 concessions in a
Court in Lima, Peru and was successful in obtaining such an
injunction on 17 of the concessions including three of the four
concessions included in the Macusani Uranium Project PEA. The grant
of the Precautionary Measure (Medida Cautelar) has restored the
title, rights and validity of those 17 concessions to Macusani
until a final decision is obtained at the last stage of the
judicial process. A Precautionary Measure application was made at
the same time for the remaining 15 concessions and was ultimately
granted by a Court in Lima, Peru on March 2, 2021 which has also
restored the title, rights and validity of those 15 remaining
concessions to Macusani, with the result being that all 32
concessions are now protected by Precautionary Measure (Medida
Cautelar) until a final decision on this matter is obtained at the
last stage of the judicial process. The favourable judge’s ruling
confirming Macusani’s title to all 32 concessions from November 3,
2021 represents the final stage of the current judicial process.
However, this ruling has been appealed by MINEM and INGEMMET.
American Lithium has no assurance that the outcome of these appeals
will be in the Company’s favour.
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