It is technical, but the very important step: The TSX Venture Exchange has accepted our major deals with Ganfeng Lithium we have discussed about yesterday. Exchange provides additional shareholder's protection in Canada by reviewing and accepting all material deals with the assets of the publicly traded companies. Now we have the green light to put all our agreements technically in place.
As I have informed you in our newsletter we are now at the stage of budget approval for the Blackstairs Ireland J/V operations for this year and J/V and budget agreement approvals for the Mariana project.
Within this year program for Mariana we would like to concentrate on the investigation of Potash potential production from Mariana brine as well. The agricultural market is booming now in Latin America and Brazil is importing a very large amount of fertilisers. In our particular case, we have the strategy to investigate the economical potential for production of complex fertilisers and SOP, which are in high demand for wineries and other sensitive agricultural products produced in Argentina. Initial chemical analysis of Mariana brine demonstrates "The highest grades of potash reported in an Argentine Salar". This side of our project will bring additional economic potential for our business after further exploration development and confirmation at PEA stage.
You can find more information about these projects on our website Projects page and in ILC presentation.
2014-05-07 19:22 ET - Property Agreement
The purpose of the amending agreement was to amend certain terms of the Mariana loan agreement (May 3, 2013, as amended July 18, 2013) and the loan agreement (Nov. 21, 2012, as amended July 18, 2013) between the company and GFL. The effect of the provisions of the amending agreement is that GFL may earn up to an 80-per-cent interest in the company's right in the Mariana property, Argentina, and the parties will operate on an 80:20 joint venture basis.
The amending agreement provides for the following terms:
- The first loan advance under the Mariana loan agreement automatically converts into a 26-per-cent interest in the property.
- The second loan advance under the Mariana loan agreement, once made on May 1, 2014, will automatically convert into a 25-per-cent interest in the property.
- The company will grant GFL an additional 10-per-cent interest in the company's rights to the property by GFL's payment of $450,000 (U.S.) to the company within 15 days of GFL's receipt of shareholder approval of the amending agreement.
- The non-convertible $1-million portion of the loan agreement may (instead of repayment by the company) be converted by GFL into a 19-per-cent interest in the company's rights in the property.
- The due date of the convertible $1-million portion of the loan agreement is extended to Dec. 19, 2015.
- The company retains a back-in right to buy back a 10-per-cent participating interest in the property. GFL agrees to provide an exploration loan to the company for up to $2-million to cover the company's required contribution to the joint venture.
The transaction is non-arm's length.
Further details may be found in the company's news releases dated March 19, 2014, and April 4, 2014."