Lithium X Energy Corp. completed the consolidation of the Sal de los Angeles lithium project in Argentina and now controls 100% of the mineral titles contained within the brine-bearing regions of the Diablillos basin.
Lithium X and its unit Potasio y Litio de Argentina SA entered into agreements with Borax Argentina SA, South American Salars SA and their parent Orocobre Ltd. to acquire the mineral titles for a payment of US$1 million and the issuance of 650,000 shares.
The consolidation involved the acquisition of 2,700 hectares of claims from Borax, replacing the usufruct lithium rights previously held by Lithium X over the Borax claims, and the purchase of a further 700 hectares owned by South American Salars.
The companies also agreed to cancel a 1.5% royalty on the Borax-held tenements, in consideration of a 1% net revenue royalty over the Sal de los Angeles project, according to an Oct. 4 release.
The transaction also includes other provisions related to artesian brine management, which is the source of brine for the initial ponding facility.
The agreements are subject to the receipt of all necessary approvals, including the approval of the TSX Venture Exchange.