MGX Minerals Announces Drilling at Francisco Basin Lithium Project, Chile
VANCOUVER, British Columbia, Dec. 13, 2018 (GLOBE NEWSWIRE) — MGX Minerals Inc. (“MGX” or the “Company”) (CSE: XMG / FKT: 1MG / OTCQB: MGXMF) is pleased to announce that joint venture partner Chilean Lithium Salars (“CLS”) is drilling at the Francisco Basin Project (the “Project”) located 30 kilometres south of the Salar de Maricunga.
The 5-hole program was designed to target the brine aquifer that extends from the Northern Lagoon, where samples in May of 2018 averaged 694mg/L Lithium. (see press release dated September 27, 2018). The drill program is testing lithium mineralization to a depth of up to 300 meters as well as the lateral extent of lithium mineralization.
The 1st hole is located in the center of where the salt lagoon anomaly encountered very high pressure of fresh water and was shut down at 20 meters.
The 2nd hole is located on the western edge of the anomaly (see Figure 2 showing drilling approximate location in red). It has successfully drilled and cased through the fresh water and is now advancing towards a depth of 110 meters where expected to encounter brine as predicted by the electro-magnetic survey.
The Project lease area comprises 12,900 hectares. An electromagnetic geophysical survey was completed in April 2018 and results indicated strong potential for the presence of two highly conductive brines zones where significant thickness and horizontal coverage may exist.
Rapid Lithium Brine Extraction Technology
MGX has developed a rapid lithium extraction technology eliminating or greatly reducing the physical footprint and investment in large, multi-phase, lake sized, lined evaporation ponds, as well as enhancing the quality of extraction and recovery across a complex range of brines as compared with traditional solar evaporation. MGX is prepared to mobilize a rapid lithium extraction system to the Francisco Basin.
The Francisco Basin Salar resides within a large, fault-bound, alluvium-filled basin to the immediate south of the Copiapó Volcano. The basin is closed, drains a large area and the Salar appears to be the lowest point within the drainage. The rocks in the drainage surrounding this salar are dominantly volcanic, ranging in age from Eocene to Miocene, juxtaposed with some older rocks. To the west is a Cretaceous sedimentary sequence separated from the volcanic rocks of the Francisco Basin area by the Cerro Guerrita Fault. To the east, an older Oligocene to Miocene volcanic sequence is overlain by the Copiapó volcanic rocks. The Francisco Basin alluvial basin sits at the junction of three catchments. These river systems presumably provide the fill for the basin and are in part, along with the limits of the Salar, structurally controlled. The alluvial fill may be covering post-Copiapó aged faulting.
About MGX’s Chilean Lithium Joint Venture
MGX is earning a 50% interest in CLS, which is a wholly owned subsidiary of Chilean Lithium Salars Holdings Ltd. (“CLSH”). CLSH holds a 100% interest in three prospective lithium exploration projects located in Chile, including the Francisco Basin, Laguna Brava and Laguna Escondida projects. To acquire an undivided 50% interest in CLS, MGX has agreed to make Option Payments totaling US$1.5 million, incur exploration expenditures totaling US$2 million, and complete an NI 43-101 resource estimate on at least one of the Projects within 20 months. MGX is acting as project operator and has appointed Mr. Aldo Boitano, current project manager for CLS, as to oversee the project and work alongside Kura Minerals. MGX maintains the right to participate as a service provider of the engineering, construction and/or procurement of a brine processing plant using its rapid lithium extraction technology.
About Kura Minerals
MGX is represented by Kura Minerals in Chile and led by MGX’s President of South America Operations Francisco Acuña (P. Eng.). Kura Minerals is a leading mining consulting firm with a network extending throughout South America. Additional Kura personnel and consultants include Erich Schnake, former Chilean Mining Ministry Undersecretary, Alvaro Florez (LL.B) and Thomas Eggers.
About MGX Minerals Inc.
MGX Minerals is a diversified Canadian resource and technology company with interests in global advanced material, energy and water assets.
Neither the Canadian Securities Exchange nor its Regulation Services Provider (as that term is defined in the policies of the Canadian Securities Exchange) accepts responsibility for the adequacy or accuracy of this release.
This press release contains forward-looking information or forward-looking statements (collectively “forward-looking information”) within the meaning of applicable securities laws. Forward-looking information is typically identified by words such as: “believe”, “expect”, “anticipate”, “intend”, “estimate”, “potentially” and similar expressions, or are those, which, by their nature, refer to future events. The Company cautions investors that any forward-looking information provided by the Company is not a guarantee of future results or performance, and that actual results may differ materially from those in forward-looking information as a result of various factors. The reader is referred to the Company’s public filings for a more complete discussion of such risk factors and their potential effects which may be accessed through the Company’s profile on SEDAR at www.sedar.com.
Photos accompanying this announcement are available at:
CONTACT: Contact Information Jared Lazerson President and CEO Telephone: 1.604.681.7735 Web: www.mgxminerals.com