Ultra Lithium Completes Acquisition of Forgan Lake Lithium Property and Provides Corporate Update
VANCOUVER, British Columbia, April 14, 2022 (GLOBE NEWSWIRE) — Ultra Lithium Inc. (TSX-V: ULT) (“Ultra Lithium” or “the Company”) is pleased to announce it has acquired 100% of the Forgan Lake property from International Lithium Inc. (TSX-V: ILC). The parties entered into an amended agreement wherein Ultra Lithium acquired 100% of Forgan Lake for a cash payment of $150,000.
The Forgan Lake property consists of approximately 256 hectares land in 20 mining claims located in the Thunder Bay Mining District in Northwestern Ontario, Canada. It is located adjacent to the north of Ultra Lithium’s Lucky Lake claim block comprised of 15 mining claims.
Forgan Lake Highlights
- Lithium mineralization is comprised of six spodumene-bearing pegmatites
- Three 2019 grab samples showed lithium values of 6.93% Li2O, 6.90% Li2O and 4.88% Li2O
- Historical exploration included 39 drill holes, aggregating 10,561 feet
- Three historical channel cut samples returned average 2.57% Li2O over a width of 21 feet (6.4 m)
- Two historical channel cut samples averaged 4.23% Li2O over 24.5 feet (7.46m)
Summer 2022 Work Plan
The Company intends to start a summer 2022 work program on Forgan Lake which will include surface sampling and ground geophysical surveying. A drill program will commence as soon as permitting and community consultation is completed.
Georgia Lake Highlights
- Drilling permit has been received
- Geophysical survey completed winter 2021
- Trenching completed winter 2021
Spring/Summer 2022 Work Plan
The Company is planning a 2000-meter drill program at Georgia Lake to commence in late May after the spring breakup. The Company is in the process of engaging a drilling contractor.
Laguna Verde Highlights
- Drill hole one has been drilled to 140 meters
- Preliminary results indicate a potential brine aquifer
- Drill program is based on encouraging exploration results from surface sampling, ground geophysical surveys and evaporation test work since 2017.
Private Placement Update
Further to the Company’s news release of February 14, 2022 the Company has received conditional acceptance from the TSXV for its C$5 million private placement. Subject to TSXV final approval the placement will close upon receipt of Zangge’s overseas direct investment permit from the government of China which is anticipated in the next few days. Zangge has reaffirmed their enthusiasm for this strategic investment with Ultra Lithium.
Dr. Weiguo Lang, CEO of Ultra Lithium, stated, “We are very pleased to provide this corporate update. The acquisition of the Forgan Lake property strengthens our Canadian hard rock lithium portfolio. We look forward to the summer exploration program on Forgan Lake and Georgia Lake. Company is also pleased with progress of the exploratory drilling work at its Laguna Verde brine lithium project in Argentina where the preliminary results indicate a potential brine aquifer in the first drill hole. The closing of the private placement will provide significant capital to the Company and solidify Ultra Lithium’s relationship with strategic investor Zangge.”
Laguna Verde Drilling
The Company has signed a drilling contract with Los Arcangeles SA to carry out drilling and brine sampling on its 100% owned Laguna Verde brine lithium project in Catamarca Province, Argentina. Los Arcangeles SA has set up an exploration camp at the project and drilling has commenced on the first drill hole which was drilled down to a depth of 140 metres below surface to date. Preliminary drill hole logs indicate an upper 6-meter-thick mixed zone of salt, silt, clay, sulfides and ulexite. Beneath this upper layer, a brine aquifer comprising mainly of sand and gravel continues down to the drilled depth of 140 meters. At 84 meters the presence of a level of about 2 to 4 meters of silt possibly integrated with zeolites was observed. These observations will be further confirmed through detailed drill hole logs and down hole geophysical surveys. Initially the contract is for drilling 3 rotary drill holes for a total of 800 meters of drilling. Additionally, a diamond drill hole will be completed to define subsurface stratigraphy and to carry out in-situ density / permeability tests of various sedimentary units down to a depth of up 400 metres. Once the drill hole is completed, the contractor will also arrange technical support for carrying out pump tests, brine sampling, and down hole geophysical surveys.
Forgan Lake Historical Work
Historical work on these combined claim blocks was first carried out by Lun-Echo Gold Mines Limited during the 1955-61 period. The exploration work included 39 drill holes, aggregating 10,561 feet (3,219 metres) drilling on the eastern side of Forgan Lake. Lithium mineralization on the Property is comprised of six spodumene-bearing pegmatites (Number 1 to 6 Pegmatites as described in the Ontario Department of Mines Geological Report No. 31). Some of these Pegmatites continue onto the Lucky Lake claim block.
Historically, several channel samples were taken on Number 1 Pegmatite by Lun-Echo Gold Mines Limited and other operators. Three samples, from about midway along the known length of the pegmatite were found to average 2.57% lithium oxide (Li2O) over a width of 21 feet (6.4 m); two samples from 80 feet (24.38m) southwest of the first three, averaged 4.23% Li2O over 24.5 feet (7.46m), and an additional two, from 225 feet (68.58m) farther southwest 1.98% Li2O over 25 feet (7.62m). In 2019, the Company successfully collected high grade lithium samples from Forgan Lake Number 1 pegmatite to evaluate the possibility of producing small scale lithium oxide concentrate for further metallurgical testing to produce lithium carbonate. The results of three samples show lithium values of 6.93% Li2O (sample 152951), 6.90% Li2O (sample 152952), and 4.88% Li2O (sample 152953).
CAUTIONIONARY NOTE: The historical results presented above are taken from from the Ontario Department of Mines Geological Report No. 31 titled, “Geology and Lithium Deposits of Georgia Lake Area”, by E.G. Pye, (1965), and 2009 Assessment work Report by TNR Gold Corp. A qualified person has not done sufficient work to verify the results; therefore, they should not be relied upon and are presented for informational purposes only.
The technical information contained in this news release has been reviewed and approved by Afzaal Pirzada, P.Geo., a qualified person, as defined by NI 43-101 who works as Vice President Exploration of the Company.
ON BEHALF OF THE BOARD OF DIRECTORS
Kiki Smith, CFO
About Ultra Lithium Inc.
Ultra Lithium Inc. is an exploration and development company with a focus on the acquisition and development of lithium, gold, and copper assets. The Company holds a brine lithium property in Argentina, and hard rock spodumene type lithium properties at the Georgia Lake / Forgan Lake area in northwestern Ontario, Canada, and a brine lithium property in the Big Smoky Valley, Nevada, USA. The Company also holds other gold and base metals properties in Argentina.
For further information, please contact the Company at:
Attention: Kiki Smith
Telephone: 778 968-1176
Email: [email protected]
or view the Company’s filings at www.SEDAR.com
A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/6fa835d8-26ac-47b8-8521-c506c3d9ad4b