Vancouver, British Columbia-based Millennial Lithium Corp. has entered into an option agreement to acquire the Cauchari East lithium project in Argentina.
To earn a 50% stake in the project, Millennial will pay an initial C$250,000 and issue C$500,000 worth of shares to the vendor, according to a Sept. 26 statement.
The company will also pay a further C$750,000, issue C$1.0 million worth of shares and spend C$2.0 million on the Cauchari East project on or before the first anniversary of approval.
To earn the remaining 50% interest, Millennial will pay an additional C$1.0 million, issue C$1.0 million worth of shares and spend another C$2.0 million on the project on or before the third anniversary of approval.
Cauchari East covers 2,990 hectares adjacent to Orocobre Ltd.'s producing Salar de Olaroz mine and Lithium Americas Corp.'s advanced-stage Cauchari-Olaroz project.
Millennial said the project lies within the "Lithium Triangle," which is host to some of the world's largest lithium resources.
The company plans to undertake an accelerated exploration program, including geophysics and drilling, to quickly define a resource.