VANCOUVER, British Columbia, April 02, 2019 (GLOBE NEWSWIRE) -- Wealth Minerals Ltd. (the “Company” or “Wealth”) - (TSXV: WML; OTCQX: WMLLF; SSE: WMLCL; Frankfurt: EJZN), announces it has completed the US$2 million option payment for the Company’s Atacama lithium project (the “Atacama Project”), which was due March 31, 2019 (see previous news release, February 11, 2019).
Wealth has exercised the Option to Purchase Agreement and has registered its subsidiary, Wealth Minerals Chile SpA (“Wealth Chile”), as the direct title holder of the Atacama Project. The claim package, comprising approximately 46,000 hectares, was previously registered in the name of the vendor, Atacama Lithium SpA. As a result of this change, Wealth will now be able to finalize negotiations with ENAMI (Empresa Nacional de Mineri; the state-owned National Mining Company of Chile) for the joint venture to develop the Atacama Project.
“Completion of this option payment and the registration of Wealth Chile as the title holder for the Atacama Project are both significant milestones for the Company,” stated Henk Van Alphen, Wealth’s CEO. “With lithium exports valued at $949 million in 2018, Chile is a significant producer with room to grow in this key emerging industry. Wealth leads the way in Chile among lithium exploration and development companies and we will now move forward quickly to solidify this position.”
The investment climate for lithium development in Chile continues to be very positive. Chile’s Mining Minister, Baldo Prokurica, recently commented that, “The Pinera government is looking to ensure that both lithium and other battery metals are being exploited. If we have this wealth and this mineral, we obviously want to use it.”
Source: Reuters - Mar. 6, 2019, Reported by Nichola Saminather following an interview at the Prospector’s and developers Association of Canada conference (Toronto). Note that Sebastian Pinera is the recently inaugurated President of Chile. Mr. Prokurica is the chairman of ENAMI.
Agreement between Wealth and ENAMI
In March 2018, ENAMI and Wealth formed a strategic alliance (“Agreement”) to develop and commercialize the Company’s Atacama Project and the Agreement provides that the parties will have 24 months during which to study and assess the Atacama Project and to form a partnership (the “JV”) for the exploration, development and mining thereof and for the marketing of the derived lithium products. The Agreement contemplates that the JV will take the form of an incorporated joint venture company in which ENAMI will own 10% of the JV and have a 10% free-carried interest, while Wealth will own the remaining 90% of the JV. The Agreement provides that the parties will enter into a definitive agreement on or before March 31, 2020.
About Wealth Minerals Ltd.
Wealth is a mineral resource company with interests in Canada, Mexico, Peru and Chile. The Company’s main focus is the acquisition and development of lithium projects in South America. To date, the Company has positioned itself to develop the Atacama Project alongside existing producers in the prolific Atacama region, where the Company has a substantial licenses package. The Company has also positioned itself to play a role in asset consolidation in Chile with various lithium properties throughout the country.
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.
For further details on the Company readers are referred to the Company’s website (www.wealthminerals.com) and its Canadian regulatory filings on SEDAR at www.sedar.com.
On Behalf of the Board of Directors of
WEALTH MINERALS LTD.
"Hendrik van Alphen"
Hendrik van Alphen
Chief Executive Officer
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, anticipated exploration program results from exploration activities, 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, the closing and amount of the Placement, 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, lack of investor interest in the Placement, 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, including acceptance by the TSX-V, required for the Placement, 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.