Grounded Lithium Reports 2024 Year End Financial and Operating Results with President's Message
Grounded Lithium Reports 2024 Year End Financial and Operating
Results with President's Message
CALGARY, AB
,
April 17, 2025
/CNW/ - (TSXV: GRD) (OTCQB: GRDAF) - Grounded Lithium Corp. ("
GLC
" or the "
Company
") announces our financial and
operating results for the three and twelve month period ended
December 31, 2024
. Selected financial and operational information is set out below and should
be read in conjunction with the Company's
December 31, 2024
financial statements and the related management's discussion and analysis, which are
available for review at
www.sedarplus.ca
or the Company's website at
www.groundedlithium.com
.
2024 Financial and Operational Highlights
Our most significant highlight involved the entering of a series of agreements with Denison Mines Corp ("
Denison
") on
January 15, 2024
wherein Denison
has the option to become a majority working interest owner in the Kindersley Lithium Project ("
KLP
") by funding project expenditures, in addition to cash
payments directly to GLC, over three distinct phases. Denison is a well-capitalized
Saskatchewan
focused uranium development company. The
agreements with Denison provide for the potential of significant development of the KLP without the need for GLC to dilute interests either at the asset or
corporate level; and
Under those agreements with Denison, the partnership commenced technical studies to support the filing of a Pre-Feasibility Study ("
PFS
") later in 2025;
inclusive of re-entering the dedicated lithium well ("
4-15 Well
"), lab pilot studies from produced brine and engineering studies.
Financial Results
(CAD$, except per share amounts and common shares outstanding)
Three Months Ended
December 31,
Twelve Months Ended
December 31,
2024
2023
2024
2023
FINANCIAL RESULTS
Net comprehensive loss
141,079
776,549
1,073,898
4,187,227
Per share - basic and diluted
-
0.01
0.01
0.06
Cash flow used in operating activities
95,446
368,654
720,313
3,057,030
Per share - basic and diluted
-
-
0.01
0.04
Funds flow used in operations
55,234
451,375
710,696
3,152,068
Per share - basic and diluted
-
0.01
0.01
0.04
Capital expenditures
Capital expenditures (dispositions)
-
-
(800,000)
451,846
Liquidity
Working capital surplus (deficit)
80,725
(67,543)
80,725
(67,543)
Common shares outstanding
Weighted average - basic and diluted
78,279,227
76,613,873
77,992,568
71,245,719
Outstanding, end of period
78,279,227
76,613,873
78,279,227
76,613,873
President's Message
Our current financial position demonstrates our capacity to manage our balance sheet by minimizing our corporate spending profile while also progressing the
KLP through a rigorous technical process with our competent partner, Denison. The next major milestone on our path towards commercial production involves
the completion of a PFS. Our Earn-In Agreement with Denison funds the progression of the KLP through the key stages necessary to develop a lithium-from-
brine mining project, as well as cash payments directly to GLC at key progression milestones. Ongoing technical studies move the KLP toward a PFS to be
completed later this year by Stantec Inc. In October of 2024, we announced the
$4.5 million
budget by Denison to ultimately produce a PFS during 2025.
The budget involved the additional drilling and production testing of the 4-15 Well in the
Kindersley
area in
November 2024
. Sampling of brine from the 4-15
Well occurred at 11 distinct levels within the Duperow/
Leduc
rock sequence, examining the lithium concentrations and productive capacity of each zone.
We further collected significant volumes of brine across most horizons of the Duperow and sent large volumes to three unique Direct Lithium Extraction
("
DLE
") firms to evaluate the economics of their technology. We note that our industry peers continue to prove commerciality of DLE on brines utilizing a
variety of technology firms to produce lithium-rich eluate and advancing towards commercial production. The evaluation and selection of the DLE technology
process informs our design for the construction and operation of an extraction facility in the PFS.
Productivity and lithium concentration data collected from the 4-15 Well contributes to GLC's existing technical inputs which forms the basis of an extensive
depletion model. Iterations of the depletion model better define the optimal design for the field layout of producing wells and associated infrastructure.
We look forward to creating corporate value for our shareholders through ongoing technical work and the completion of a technically strong PFS, while
continuing to manage our balance sheet.
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 NPV
8
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 timing of filing a PFS, GLC's vision of becoming a best-in-class, environmentally
responsible, Canadian lithium producer supporting the global energy transition.
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; 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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For further information:
For more information, please contact: Gregg Smith, President & CEO; Greg Phaneuf, SVP Corporate Development & CFO, Email:
CO: Grounded Lithium Corp.
CNW 07:00e 17-APR-25