CALGARY,
AB, Nov. 4, 2024 /CNW/ - (TSXV: GRD)
(OTCQB: GRDAF) – Grounded Lithium Corp. ("GLC" or the
"Company") announces commencement of the 2024 field program
together with initiation of the Pre-Feasibility Study
("PFS") authored by Stantec Inc. ("Stantec"), a
leading global engineering and consulting firm, as lead author for
the Kindersley Lithium Project ("KLP") in accordance with
Canadian Securities Administrators National Instrument 43-101
("NI 43-101").
"We are excited to begin executing renewed activity on the KLP
stemming from the recently announced project budget approved by
Denison Mines Corp. ("Denison"), commented Gregg Smith, President and CEO. "The budget is
fully funded by Denison and dedicates $4.5 million to various key activities including
advancing detailed analysis on the reservoir through a rigorous
field program supporting a future PFS to meaningfully advance the
evaluation of the KLP."
The 2024 KLP field program is highlighted by the following:
- Re-entry of dedicated lithium well
- Originally drilled in 2022 as a dedicated lithium well 20
kilometers north of Kindersley, Saskatchewan (the "4-15 Well"), the
4-15 Well was re-opened (see picture below) and will be deepened by
approximately 100 metres;
- Extensive production evaluation testing is planned to be
conducted over 11 separate 20-metre stratigraphic intervals within
the Duperow formation to determine flow capacity and brine
analysis for lithium and ion concentrations for the individual
zones; and
- A significant volume of brine is expected to be captured to
support several planned lithium extraction technology lab pilot
tests (discussed below).
- Depletion model data collection
- Interval testing is intended to collect pressure data, among
other factors, critical in developing a fulsome depletion model to
guide future efforts related to well placement, reservoir
maintenance, and general field operations for
the KLP.
- Lab pilot performance test work:
- Brine samples are planned to be delivered to a number of
leading lithium extraction and processing companies to perform
extensive lab pilots to evaluate optimal metallurgical design and
performance;
- The evaluation of new lithium extraction technologies with
encouraging bench scale results are expected to be included in this
process along with established technologies; and
- The PFS is expected to base its economic and commercial
conclusions on the recommended technology determined from this
assessment.
Initiation of PFS
The combined efforts from the field work and technology
assessments are expected to support the completion of a future PFS
in accordance with National Instrument 43-101. Denison assumed the
lead in the selection of the parties to prepare the PFS and we are
pleased to announce that Stantec has been awarded that contract.
Stantec is a global leader in sustainable engineering,
architecture, and environmental consulting who bring a breadth of
expertise from their mining, minerals and metals team to the KLP.
Subject to the successful completion of the planned field and lab
programs, the PFS is currently targeted for completion in
mid-2025.
About Grounded Lithium Corp.
GLC is a publicly traded lithium brine exploration and
development company that owns approximately 1.0 million metric
tonnes of Measured & Indicated lithium carbonate equivalent
mineral resource and approximately 3.2 million metric tonnes of
Inferred lithium carbonate equivalent resource over our focused
land holdings in Southwest
Saskatchewan as per the Company's updated PEA. The
updated PEA, titled "NI 43-101 Technical Report: Preliminary
Economic Assessment Kindersley Lithium Project – Phase 1
Update" dated November 7, 2023
and effective as of June 30, 2023,
reports a Phase 1 NPV8 after-tax of US$1.0 billion with an after-tax IRR of 48.5%. In
January 2024, GLC entered into an agreement with Denison
whereby Denison has the option to earn up to a 75% working interest
in the KLP by funding in aggregate up to $15,150,000 comprised of both cash payments to
GLC of up to $3,150,000 and funding
project expenditures of up to $12,000,000 through a structured earn-in
option.
GLC's multi-faceted business model involves the consolidation,
delineation, exploitation and ultimately development of our
opportunity base to fulfill our vision to build a best-in-class,
environmentally responsible, Canadian lithium producer supporting
the global energy transition shift. U.S. investors can find current
financial disclosure and Real-Time Level 2 quotes for the Company
on https://www.otcmarkets.com/.
Qualified Person
Scientific and technical information contained in this press
release has been prepared under the supervision of Doug Ashton, P.Eng., Alexey Romanov, P. Geo., Meghan Klein, P. Eng., Dean Quirk, P.Eng., Jeffrey Weiss, P.Eng., Chad Hitchings., P.L. Eng., and Michael Munteanu, P.Eng., each of whom is a
qualified person within the meaning of NI 43-101.
Forward-Looking Statements
This press release may contain forward-looking statements and
forward-looking information within the meaning of applicable
Canadian securities laws. The opinions, forecasts, projections and
statements about future events of results, are forward looking
information, forward-looking statements or financial outlooks
(collectively, "forward-looking statements") under the
meaning of applicable Canadian securities laws. These statements
are made as of the date of this press release and the fact that
this press release remains available does not constitute a
representation by GLC that the Company believes these
forward-looking statements continue to be true as of any subsequent
date. Although GLC believes that the assumptions underlying, and
expectations reflected in, these forward-looking statements are
reasonable, it can give no assurance that these assumptions and
expectations will prove to be correct. Such statements include, but
are not limited to, statements pertaining to: the execution of
renewed activity on the KLP; the Budget and estimated costs of
activities at the KLP; conducting analysis on the KLP reservoir
through a field program and the ability of such analysis to support
a PFS to advance the further evaluation of the KLP; field and lab
programs, including the advancement and completion of a dedicated
lithium well, depletion model data collection, and lab pilot
performance test work; deepening the 4-15 Well; production
evaluation testing being conducted within the Duperow formation;
expectations regarding the volume of brine to be captured and the
ability thereof to support pilot tests; the collection of pressure
data through interval testing; the development of a depletion model
to guide well placement, reservoir maintenance, and general field
operations; the delivery of brine samples to third parties and the
performance of lab pilots by such third parties; the testing and
evaluation of lithium extraction technologies and the results
thereof; the outcome of the PFS, including the expectation
that the PFS will base its conclusions on the recommended
technology determined from lab pilots and test work; the completion
of a future PFS in respect of the KLP and the expected timing
thereof; the funding of project expenditures by Denison and the
quantum thereof; Denison earning into subsequent phases under
its earn-in agreement with GLC; Denison remitting cash payments to
the Company and the quantum thereof; and GLC's vision of becoming a
best-in-class, environmentally responsible, Canadian lithium
producer supporting the global energy transition shift.
Among the important factors, risks, uncertainties and
assumptions that could cause actual results to differ materially
from those indicated by such forward-looking statements are: GLC's
expectation that our operations will be in Western Canada, unexpected problems can arise
due to technical difficulties and operational difficulties which
impact the production, transport or sale of our products;
geographic and weather conditions can impact the production; the
risk that current global economic and credit conditions may impact
commodity prices and consumption more than GLC currently predicts;
the failure to obtain financing on reasonable terms; the risk that
unexpected delays and difficulties in developing currently owned
properties may occur; the failure of drilling to result in
commercial projects; unexpected delays due to the limited
availability of drilling equipment and personnel; Denison electing
to fund project expenditures; the costs associated with, and
outcome of, field programs, lab pilots and the PFS; and the other
risk factors detailed from time to time in GLC's periodic reports.
GLC's forward-looking statements are expressly qualified in their
entirety by this cautionary statement.
This news release shall not constitute an offer to sell or
the solicitation of an offer to buy any securities in any
jurisdiction.
Neither the 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.
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SOURCE Grounded Lithium Corp.