LONDON, UK: Premier African Minerals Limited has signed a binding Joint Venture Agreement with Li3 Resources Inc., whereby Li3 Resources will acquire a 50% interest in Premier’s hard-rock lithium assets located in the Mutare Greenstone Belt in Zimbabwe.
Premier African Minerals acquired these claims in June 2020. The assets are held by Premier’s wholly-owned subsidiary LicoMex Private Limited.
Highlights:
| · | The Li3 Project holds a number of prospective claim blocks in the Mutare Greenstone Belt, an area prospective for lithium and gold. |
| · | This JV Agreement facilitates exploration activities that are funded independently of Premier’s Zulu Lithium Private Limited operations. |
| · | Li3 Resources has until 31 December 2022 to acquire the 50% interest in the Li3 Project by spending US$250,000 in further exploration works. |
George Roach, CEO commented, “The Li3 Project is located in a region in Zimbabwe that is receiving significant interest in both Lithium and potential gold deposits. The claim blocks are well located and, in several instances, have already attracted interest from international lithium producers. Of particular importance is that Li3 Resources plans to list on the Toronto Stock Exchange and this brings to Zimbabwe, widened international interest and investment.
To Premier, this expands our lithium interests in Zimbabwe and whilst exploration and development at Zulu is independent of the activities of the Li3 Project, there is bound to be benefit and synergy. Li3 Resources has indicated that their contribution will be settled in one complete payment and this is expected imminently.”
JV Agreement
Li3 Resources has agreed to invest US$250,000 into the Li3 Project for the ongoing exploration works, environmental and technical studies and any administrative expenses. Li3 Resources will have until the 31 December 2022 to invest the Spend in order to exercise the option to acquire the 50% interest in the Li3 Project.
In the event that Li3 Resources do not meet the required Spend within the Period, the Option will lapse.
About Li3 Resources
Li3 Resources is a private, lithium focused exploration company founded and backed by senior mining executives who have had prior success in the lithium sector. The Li3 Project is the first of a number of targeted lithium acquisitions by Li3 Resources. The plan is to acquire an attractive portfolio of highly prospective lithium exploration projects worldwide and then list the company’s shares on a recognised international stock exchange. The Li3 Resources senior management have successfully executed similar transactions during their past 30 plus year history in the mining sector.
Li3 Project
Premier originally acquired the Li3 Project from Lithium Consolidated Ltd on 28 July 2020. The 1,500 hectares of licences are retained within the Mutare Greenstone Belt, located close to the eastern border with Mozambique. The area was deemed prospective for LCT-type pegmatites based on target generation work completed by Douglas Haynes.
The Mutare Greenstone Belt (MGB) is an arcuate belt approximately 100km long with a NE-SW trend. The belt is a syncline made up of ultramafic, mafic and banded-iron formation of the Bulawayan Group on the flanks, and younger metasediments of the Shamvaian Group in the core. Granitoid intrusions are present to both the north and south of the belt.
A number of LCT pegmatites are located within the MGB including the Grand Duke, Portree and Bepe deposits. The pegmatites have been historically mined for beryl and tantalite, and several companies in the region are currently conducting exploration for both tantalite and lithium.
Premier African Minerals Limited (AIM: PREM) is a multi-commodity mining and natural resource development company focused on Southern Africa with its RHA Tungsten and Zulu Lithium projects in Zimbabwe.
