Argentina Lithium & Energy Corp. [LIT-TSXV; OAY-FSE; A0RK7E-WKN] reported it has entered into an option agreement to acquire a 100% interest in the Arizaro lithium brine project located on the Arizaro Salar within the prolific “Lithium Triangle” in the Province of Salta, Argentina.
“We are very excited to start this new chapter of exploration with a project that meets all the best starting requirements – location, size, geology, infrastructure, jurisdiction and potential. As a member company of the Grosso Group, we plan to draw on our experience and past success in Argentina to become a leader in exploration for the green energy sector, starting with the Arizaro Project,” stated Nikolaos Cacos, President and CEO of Argentina Lithium.
The Arizaro Lithium Brine Project consists of 20,500 hectares in the central core of the Arizaro Salar, the largest in Argentina (and third largest in the Lithium Triangle). Analysis of the Salar indicates that the central area has the geologic conditions and thickness to be the most prospective for quality brine resources.
Argentina Lithium plans to initiate aggressive exploration on the property. In addition, a strategy is underway to further expand the property holdings on the Arizaro Salar, and acquire additional high-potential lithium brine projects.
The Arizaro Salar benefits from a strategic location for infrastructure, including: a railway that connects to the deep water port of Antofagasta, nearby advanced mining projects that are expected to bring significant development of access routes and power, and the availability of water for development.
The terms of the option agreement include $6M in staged payments and $4.2M in expenditures over a four year period. Additionally, the Company must issue 2.5M common shares with certain resale restrictions.