VANCOUVER, B.C., March 22, 2023 /PRNewswire/ -- Oz Lithium Corporation (the "Company") (CSE: OZLI) (OTC: GRXXF) (Frankfurt: G0A) is pleased to announce it has entered into a Purchase Option Agreement for the Mina Laguna Santa Maria , located in the northwest territory of the Province of Salta, Argentina. The Project is comprised of two Mining Concessions which total 500 hectares. The two concessions are licensed for the production of sodium carbonate, commonly referred to as soda ash, which is a key reagent in the production of lithium carbonate. Located in close proximity to current lithium production and development, the Project offers significant freight advantage over competing imports. The Project has excellent access being approximately 60 kilometers from the town of Tolar Grande, approximately 357 kilometers from Salta City.
Soda ash is the trade name for sodium carbonate ( Na3CO2 ), a chemical refined from the mineral trona or sodium carbonate bearing brines ( both referred to as " natural soda ash "), or manufactured from a chemical process ( referred to as "synthetic soda ash "). The U.S. Geological Survey reports U.S. exports of soda ash to Argentina for 2022 at 165,000 tonnes valued at U.S. 48 million ( U.S. Mineral Industry Survey December 2022 ).
Soda ash is a " critical reagent " in the production of lithium carbonate with the process requiring two tonnes of soda ash for every tonne of lithium carbonate produced. As reported in La Nacion (an online Argentina News Paper) on January 30, 2023, there is an insufficient local supply of soda ash and importing it has various issues and challenges for present and future lithium carbonate producers in Argentina. Management believes a first mover advance exists for the Company with the Laguna Santa Maria Project. Much of the current sodium carbonate production in Argentina is required by the glass industry. Lithium carbonate producers in Argentina must import their requirements of sodium carbonate from outside the country. The potential demand for soda ash is significant given the expanding lithium production industry in Argentina. The location of the project in Salta Province, where significant lithium production is under development , provides a substantial potential market.
A site visit and sample program has been completed by a Company geologist, with results expected shortly. The sodium carbonate deposit appears to be of substantial size and potential volume. An evaluation program will begin immediately.
Terms of the arms length acquisition are US$100,000 upon signing (March 17, 2023 ), and after a 3-month due diligence period, a final payment of US$150,000 for a 100% interest in the project. The acquisition will be completed through the Company's wholly owned Argentina subsidiary Critical Reagents Argentina. A finders fee will be payable in connection with this acquisition.
The Company plans to fast tract evaluation of the Laguna Santa Maria Project, and has access to skilled staff and a laboratory in Salta, Argentina. With over three million dollars in the treasury, the Company is well funded to rapidly advance the project.
The Technical and scientific information contained in this news release was reviewed by Mr. William Feyerabend, a Consulting Geologist and Qualified Person under NI 43-101. Mr. Feyerabend participated in the production of this news release.
ON BEHALF OF THE BOARD
Adrian Hobkirk
President and CEO
T: 954-684-8040
E: info@ozlithiumcorp.com
W: www.ozlithiumcorp.com
The CSE has neither approved nor disapproved the contents of this news release. Neither the CSE nor its Regulation Services Provider (as that term is defined in the policies of the CSE) accepts responsibility for the adequacy or accuracy of this release.
This news release contains certain "forward-looking statements" within the meaning of Section 21E of the United States Securities and Exchange Act of 1934, as amended. Except for statements of historical fact relating to the Company, certain information contained herein constitutes forward-looking statements. Forward-looking statements are based upon opinions and estimates of management at the date the statements are made and are subject to a variety of risks and uncertainties and other factors which could cause actual results to differ materially from those projected in the forward-looking statements. The reader is cautioned not to place undue reliance on forward looking statements. We seek safe harbor.
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