Vancouver, BC (FSCwire) - Voltaic Minerals Corp. (TSXV: VLT, FSE: 2P61) (the “Company” or “Voltaic”) is pleased to announce it has signed a 90-day Exclusive Extension agreement with Lithium Selective Technologies, Inc., (“Lithium Selective Technologies”). During the 90 day extension period, Lithium Selective Technologies will independently begin process work directly related to Phase 1 as outlined in the draft definitive agreement. Voltaic and Lithium Selective Technologies will also use this time to solidify the definitive agreement between them.
Phase I will consist of developing and demonstrating the Lithium selective capability with a synthetic mixture resembling that of the historic results that were collected out of oil and gas production wells from the Green Energy Lithium Project with a stated objective of an operating cost goal that is comparable to other Lithium Carbonate brine projects. Simultaneous to this work, the Company will work toward defining a resource for targeted brine sampling. Phase I is expected to take 90 days.
Assuming Phase I is successful, Phase II will consist of optimizing the capability of the Selective Lithium Process on the Green Energy Lithium Project brine as well as providing opportunity for the Company to begin field testing other brines and Lithium feed stocks that would be ideal for the process. The goal of Phase II is to identify ideal brine metallurgy for the process and obtain a consistent source of supply for the development of Phase III. Phase II is expected to take 90 days to complete.
If the Company is satisfied with the results of Phase II, Phase III will involve the construction and demonstrations of a 20 gallon/minute pilot unit designed to test Lithium bearing solution and confirm operating costs of a commercial system. Demonstration of the unit using brine from, but not limited to, the Green Energy Lithium Project will be carried out for further confirmation giving the Company the ability to source brines globally. Phase III is also expected to take 90 days to complete.
Private Placement Financing
The company is also pleased to announce that, further to its News Release of January 27, 2017, it has completed its non-brokered private placement financing (the “Financing”) pursuant to which it sold an aggregate of 15,150,666 units (each, a “Unit”), at a price of $0.06 per Unit, for gross proceeds of $909,039.96.
Each Unit consists of one common share (each, a “Share”) and one-half of one common share purchase warrant (each whole warrant, a “Warrant”). Each Warrant is exercisable into one common share at a price of $0.12 per Share until March 10, 2020.
The Company issued 666,666 finder’s shares in connection with certain subscriptions in the Financing.
Proceeds from the private placement will be used for development of the selective lithium process, re-entry of wellbores and general working capital.
The securities issued under the Financing, and the shares that may be issuable on exercise of the Warrants, are subject to a statutory hold period expiring on July 11, 2017.
An insider of the Company subscribed a total of 200,000 Units under the Financing, which is a “related party transaction” within the meaning of Multilateral Instrument 61-101 Protection of Minority Security Holders in Special Transactions (“MI 61-101”). The participation of the insider in the private placement was exempt from the valuation and minority shareholder approval requirements of MI 61-101 by virtue of the exemptions contained in Sections 5.5(b) and 5.7(b) of MI 61-101.
About Voltaic Minerals Corp.
Voltaic Minerals Corp. is a Vancouver-based Lithium exploration company which owns 100% of the Green Energy Lithium Project property that encompasses 4,160 acres of Bureau of Land Management (BLM) claims and is in Grand County, 15 km west of the city of Moab, Utah. Lithium and other minerals occur at the property in an over-saturated brine (40% minerals, 60% water) discovered during oil exploration when drill wells intercepted Clastic Bed #14 of the Paradox formation.
