Expands Trinity Land Position
Identifies Drill Target for 2018 Testing
FOR IMMEDIATE RELEASE….Vancouver, British Columbia: Wealth Minerals Ltd. (the “Company” or “Wealth”) – (TSXV: WML; OTCQB: WMLLF; SSE: WMLCL; Frankfurt: EJZN), reports that it has received positive results from geophysical surveys conducted on and around certain concessions (the “Project”) in the Company’s Trinity project that comprise a portion of the Trinity project, and has identified a high-priority drill target for planned testing in March 2018.
“This is a Tier 1 property and, within the extensive Wealth property portfolio, it is one of the properties with potentially the highest-grade lithium brines. It has been known for some time that the surface brines in this basin grade up to 425 mg/l lithium,” stated Henk van Alphen, Wealth’s CEO. “Now, the results of the extensive geophysical survey completed for Wealth have shown that there is a thick, highly conductive layer underlying the surface brines, beginning at 50m below surface and extending to at least 300m below surface. Wealth intends to drill test this anomaly in Q1 2018.”
Geophysical Survey Results
Transient Electromagnetic (“TEM”) surveys identified highly conductive zones, which are interpreted to represent porous media with high-salinity fluids (potentially lithium-bearing brines) at depth. Multiple anomalies are identified within the survey area with several potential drill targets (Figure 1). On the basis of TEM data, Line 2 (Figures 1 and 2) southwest of surface brine area, represents the highest priority target with the highest tenor conductivity (lower resistivity) suggesting greater saturation and/or higher salinity.
The survey was completed by Southernrock Geophysics S.A. and consisted of a total of 88 stations of 200m coincident loop TEM sites located along 11 lines (Figure 3). Data was processed according to standard methodologies and 1D inversion modelling was used to generate compiled sections and 3D visualizations.
Independent analysis published by signum BOX (2014) differentiates the top 15 lithium brine projects in Chile as Tier 1, 2 or 3. The Project is listed as Tier 1, together with Atacama, Maricunga, Pedernales, and La Isla. Projects in this top-tier category have an expected lithium concentration ranging from 423 mg/l to 1,080 mg/l. The Company has not completed sampling of surface brines, but historical sampling completed in 2013 by SERNAGEOMIN (Chilean National Geology and Mining Service) returned surface brine lithium grades ranging from 6 to 425 mg/l.
Figure 1: 3D visualization viewed from the southwest looking northeast. Draped 1D inversion model sections of resistivity from the TEM survey beneath the semi-transparent satellite image over topography.
Line 2 is highlighted and shown as a section below (Figure 2).
Figure 2:TEM survey Line 2, 1D inversion model resistivity section, with a 2x vertical exaggeration.
The option to acquire the original exploration concessions in the Project was acquired by the Company in 2016 (see news release dated July 29, 2016) and comprise an area of 2,400 hectares covering the southern portion of the basin (green outline, Figure 3), with the remainder of the surface brines (5,900 hectares) in the basin being held by Sociedad Química y Minera. Access to the property is via Route 27, a paved highway which transects the northern portion of the property. The Project is located in San Pedro de Atacama, Province of El Loa, II Region of Antofagasta, Northern Chile.
The Company now announces that its wholly-owned Chilean subsidiary, Wealth Minerals Chile SpA has entered into an property purchase option agreement with an arm’s length private Chilean company (the “Vendor”), whereby subject to acceptance of the agreement for filing with the TSX Venture Exchange (the “TSXV”), the Company has been granted the option (the “Option”) to acquire an additional 23 exploration concessions covering in aggregate 5,700 hectares (the “Pacana Concessions”) on the flanks of the Project (red outline, Figure 3), for a total land package in the basin of 8,100 hectares. In order to exercise the Option, the Company must issue in aggregate 2,000,000 common shares in its capital to the Vendor of the concessions, as outlined in Table 1. Upon the issuance of the property option shares, the Company will be deemed to have exercised the Option and will have earned an undivided 100% legal and beneficial royalty-free interest in and to the Pacana Concessions. Any shares issued to the Vendor will be subject to a hold period in Canada of 4 months and a day from the date of issuance. The Company is required to keep the concessions comprising the Pacana Concessions in good standing throughout the term of the Option.
Table 1: Option Terms
|Date||Number of Wealth Minerals Shares|
|Within 5 days following TSXV Acceptance||150,000|
|June 21, 2018||300,000|
|December 21, 2018||600,000|
|December 21, 2019||950,000|
Figure 3:Project location map. Original Wealth concessions outlined in green. Outline of Pacana Concessions outlined in red. TEM survey line locations shown in white, with Line 2 labelled.
Mr. Keith Henderson, PGeo, is a qualified person as defined by National Instrument 43-101. Mr. Henderson and has reviewed the scientific and technical information that forms the basis of this news release and has approved the disclosure herein. Mr. Henderson is not independent of the Company.
About Wealth Minerals Ltd.
Wealth is a mineral resource company with interests in Mexico, Peru and Chile. The Company’s main focus is the acquisition of lithium projects in Chile. To date, the Company has acquired interests at the Trinity project, Laguna Verde project, and the Five Salars project, as well as the prolific Atacama, where the Company has acquired land alongside existing lithium producers.
Almost 40% of global lithium production is sourced from the Atacama. Atacama’s brines contain high grade lithium (1,840 mg/l) and potassium (22,630 mg/l). Production is from property held by CORFO (the Chilean Economic Development Agency) which it leases to both Sociedad Química y Minera (SQM) and Albermarle’s Rockwood Lithium Corporation. Together these two companies have combined production of over 62,000 tonnes of Lithium Carbonate Equivalent (LCE) annually making up 100% of Chile’s current lithium output.
Lithium market dynamics and a rapidly increasing metal price are the result of profound structural issues with the industry meeting anticipated future demand. Wealth is positioning itself to be a major beneficiary of this future mismatch of supply and demand. The Company also maintains and continues to evaluate a portfolio of precious and base metal exploration-stage projects.
On Behalf of the Board of Directors of
WEALTH MINERALS LTD.
“Hendrik van Alphen”
Hendrik van Alphen
Chief Executive Officer
For further information, please contact:
Phone: 604-331-0096 Ext. 3886 or 604-638-3886
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this news release.
Cautionary Note Regarding Forward-Looking Statements
This news release contains forward-looking statements and forward-looking information (collectively, “forward-looking statements”) within the meaning of applicable Canadian and U.S. securities legislation, including the United States Private Securities Litigation Reform Act of 1995. All statements, other than statements of historical fact, included herein including, without limitation, statements regarding the exercise of the Company’s option to acquire the Pacana Concessions, the anticipated content, commencement, timing and costs of the recommended exploration program on the Project and exploration program results from same, the Company’s expectation that it will be able to enter into agreements to acquire interests in additional mineral properties, the discovery and delineation of mineral deposits/resources/reserves on the Project, and the anticipated business plans and timing of future activities of the Company, are forward-looking statements. Although the Company believes that such statements are reasonable, it can give no assurance that such expectations will prove to be correct. Forward-looking statements are typically identified by words such as: “believe”, “expect”, “anticipate”, “intend”, “estimate”, “postulate” and similar expressions, or are those, which, by their nature, refer to future events. The Company cautions investors that any forward-looking statements by the Company are not guarantees of future results or performance, and that actual results may differ materially from those in forward-looking statements as a result of various factors, including, operating and technical difficulties in connection with mineral exploration and development activities, actual results of exploration activities, the estimation or realization of mineral reserves and mineral resources, the timing and amount of estimated future production, the costs of production, capital expenditures, the costs and timing of the development of new deposits, requirements for additional capital, future prices of lithium, changes in general economic conditions, changes in the financial markets and in the demand and market price for commodities, accidents, labour disputes and other risks of the mining industry, delays in obtaining governmental approvals, permits or financing or in the completion of development or construction activities, changes in laws, regulations and policies affecting mining operations, title disputes, the inability of the Company to obtain any necessary permits, consents, approvals or authorizations, TSXV acceptance of any current or future property acquisitions or financings and other planned activities, the timing and possible outcome of any pending litigation, environmental issues and liabilities, and risks related to joint venture operations, and other risks and uncertainties disclosed in the Company’s latest interim Management Discussion and Analysis and filed with certain securities commissions in Canada. All of the Company’s Canadian public disclosure filings may be accessed via www.sedar.com and readers are urged to review these materials, including the technical reports filed with respect to the Company’s mineral properties.
Readers are cautioned not to place undue reliance on forward-looking statements. The Company undertakes no obligation to update any of the forward-looking statements in this news release or incorporated by reference herein, except as otherwise required by law.
– 30 –