International Lithium Files Technical Report with Indicated Resource Estimate of 1.25 Million Tonnes LCE at the Mariana Lithium Brine Project, Argentina
International Lithium Files Technical Report with
Indicated Resource Estimate of 1.25 Million Tonnes LCE
at the Mariana Lithium Brine Project, Argentina
Vancouver, B.C. April 20, 2017: International Lithium Corp. (the “ Company” or “ILC”)
(TSX VENTURE: ILC) is pleased to announce , with strategic partner Ganfeng Lithium
Co. Ltd., (“GFL”) and together the “Companies”, the filing of a technical report that
contains a maiden resource estimate for the Mariana lithium brine project (the “Project”)
located in Salta, Argentina.
Summary
Further to the Company’s news release dated March 8, 2017, ILC has filed a technical
report for the Mariana lithium brine project containing a maiden resource estimate for
the project. ILC requested Geos Mining Minerals Consultants (“Geos”) based in Sydney,
Australia to prepare an independent lithium brine resource e stimate for the Companies’
Mariana lithium brine deposit in Argentina , and with Geos consent, ILC prepared a
technical r eport in accordance with National Instrument 43 -101 - Standards of
Disclosure for Mineral Projects (the “Technical Report”).
The Technical Report , entitled “Technical Report; Mariana Lithium Project, Salar de
Llullaillaco, Argentina” and dated April 10, 2017, is now available under the Company’s
profile at www.SEDAR.com. The effective date for the resource estimat e is January 20,
2017, which represents the date of the most recent data that supports the brine
estimate in the Technical Report.
Report Highlights - Mariana Lithium Brine Project, Argentina
The following highlights taken from the Technical Report, and set out below, should be
considered in the context of the detailed information given there.
Indicated resource contains an estimated 1,248,000 tonnes of lithium carbonate
equivalent (LCE), previously reported with at a 60% recovery rate to be 747,000
tonnes LCE which is now calculated as 749,000 tonnes of LCE.
Inferred resource contains an estimated 618,000 tonnes of LCE.
1111 Melville Street, Suite 1100
Vancouver, British Columbia
V6E 3V6, Canada
T: 604-700-8912
www.internationallithium.com
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The indicated resource is estimated at 765 billion litres of brine grading 306 mg/L
lithium (“Li”) and 9,457 mg/L potassium (“K”).
The inferred resource is estimated at 361 billion litres of brine grading 322 mg/L
lithium (“Li”) and 10,316 mg/L potassium (“K”).
Brine resources are tabulated and reported for average specific yield (SY) of 15%
and a cut -off value of 230 mg/L Li. Effective date for this resource estimate is
January 20, 2017.
The preliminary estimates for lithium brine are in the upper end of the Companies’
expectations.
Further Report Details
ILC has completed four drilling campaigns on the Project since 2009: 7 reverse
circulation (RC) holes and 16 cored holes. A total of 2,880 m were drilled on the Project
during the last 10 months. A final campaign hole , MA16-24, was in-process as at the
effective date of th e Technical R eport. Geophysical surveys were conducte d downhole
for the completed drill holes , using an electrical probe. Resistivity and spontaneous
potential were measured. As part of a bulk extraction of li thium from brine bulk testwork
undertaken in 2015 a pumping well, MA15 -09-PW, and 2 monitoring wells , MA15 -08-
MW, MA15 -10-MW, were drilled and constructed. Drill hole MA12 -07 was used as a
third monitoring well. The drilling and hydrogeological data indicates that the Mariana
Project at Salar de Llullaillaco is a brine -bearing sedimentary filled basin co mplex with
unconfined interconnected aquifer to considerable depth of 328m and possibly deeper.
Based on the preliminary drill information, eight lithological classes were identified in the
drill hole cores, shown in the west, east and southern extents of the basin. The aquifer
volume is still open at depth in the majority of the salar since only two drill holes (MA16 -
23 and MA16 -18) potentially intercepted suspected basement Oligocene to Pliocene
volcanic lithologies.
Brine deposits are unlike the majority of mineral deposits in that they are fluid. Fluids
within a brine deposit can move, and can mix with adjacent fluids when exploitation of a
brine deposit begins. Evaluation of such deposits therefore requires special
considerations that are not, in general, applied to other style of mineral deposits.
The assessment of brine deposit has been limited to defining mineral resources at
different levels of certainty, varying from Indicated Resource to Exploration Target,
based on the certainty provided by the data collected during fieldwork. Levels of
assessment, as linked to data certainty are listed below, covering those areas that fall
within the Project tenements only.
Brine resources are tabulated and reported for average specific yield (SY) of 15 % and
use a cut-off value of 230 mg/L Li in Table 1.
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Table 1: Total indicated and total inferred resource estimates.
Category
Effective
Volume
M m3
Brine
Densit
y
g/mL
Li
mg/L
B
mg/L K mg/L SO4
2-
mg/L Mg mg/L HCO3
-
mg/L
Li
K t
LCE#
K t
Indicated 766 1.218 306 599 9,456 15,530 4,291 529 234 1,248
Inferred 361 1.222 322 642 10,316 15,315 4, 566 535 116 618
The Indicated Resource of 766 Mm 3 at a grade of 306 mg/L Li equates to 234Kt of
lithium as Li ion. Upon conversion of Li to lithium carbonate (Li 2CO3) using a conversion
factor of 5.324, gives an equivalent of approximately 1.3 Mt of Li 2CO3. However, using a
conservative 60% estimated total recovery return from processing gives a conservative
estimate of 749 Kt of Li2CO3 equivalent (LCE).
In prepar ing this resource estimates , Geos considered and applied processes to be
appropriate for brine style deposits, using the principles set out in National Instrument
43-101 (“NI 43-101”), Joint Ore Resources Code JORC (2012) for mineral projects, and
CIM Best Practice Guidelines for Resource and Reserve Estimation for Lithium Brines.
The Company cautions the reader that no economic studies have been carried out on
the Project. Mineral resources are not mineral reserves as defined by the Canadian
Institute of Mining and Metallurgy, and the Compan y cannot guarantee that the
resources reported here will be converted to mineral reserves.
The initial brine resource estimate for the Project is based on limited knowledge of the
geometry of individual aquifer units between broadly spaced drill holes, and the
variation in porosity and brine grade within these aquifers. Specific yield values are
based on porosity test results from a restricted sample population and compared with
data from analogous salars in the region and technical references. In order to assess
the recoverable brine resource with a higher level of confidence, further information on
the permeability and flow regime in the aquifer, and watershed basin water balance are
necessary.
Conclusions and Recommendations from the Report
The project is moving forward from early stage exploration to advanced exploration .
Work on the following tasks is currently underway and was originally scheduled to be
completed by the end of 2017:
1. Detailed pump test;
2. Construction of evaporation ponds;
3. Water balance studies;
4. Transportation studies;
5. Environmental baseline and archaeological study; and
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6. Preliminary feasibility study.
Updating of the mineral resources estimated in th e Technical report is another
recommendation which will help to support the preliminary feasibility study. This work
will include further exploration to bring the remaining inferred resource to indicated
stage, and indicated resource to measured resource.
Kirill Klip, Executive Chairman of ILC stated, “We are very pleased with the results of
the maiden resource estimation at the Mariana lithium potash brine project, together
with our strategi c partner Ganfeng Lithium. T his project is now moving from an early
exploration stage to an advanced exploration stage where it will be more easily
compared to other lithium brine projects in Argentina. We are looking forward to follow
up with Ganfeng Lithium on the recommendations of this report in order to ensure the
rapid advan cement of the project towards the pilot stage and to conduct furthe r
feasibility studies that will investigate the economic viability of the Mariana project.”
The following Qualified Person (QP’s) are responsible for preparation of the Report:
• Llyle Sawyer, Senior Consultant, Geos Mining;
• Oliver Willetts, Senior Resource Geologist, Geos Mining; and
• Afzaal Pirzada, M.Sc., P.Geo.
Llyle Sawyer is a senior geological consultant with over 20 years of experience in
geology, mineral exploration, mineral resource estimation and mineral project
assessment. He is a Registered Professional and is currently a Member of the Australia
Institute of Geoscientists (member number 3512). Llyle Sawyer is an independent
technical consultant contracted by Geos Mining and has worked on similar lithium brine
salar deposits in Argentina and other brine style deposits within Australia. He has the
required level of experience and expertise to qualify as a Qualified Person (QP) as
defined in the National Instrument 43 -101 - Standards of Disclosure for Mineral
Projects, Form 43-101F1 Technical Report and related consequential amendments.
Mr. Sawyer is independent of Litio Minera Argentina S.A. (and International Lithium
Corp.) as independence is described by Section 1.4 of NI 43–101. He has visited the
Mariana Project on 4 occasions during drilling operations since May 2016. Mr. Sawyer
has been involved with the Project since August 2010 in the form of ongoing advice
upon request, discussion of exploration programs and durin g preparation of the brine
resource estimate and the Report.
Geos Mining is a n independent consulting firm recognized for providing expertise in
geological, mineral exploration, resource modelling, and mining advice; as specialists in
the fields of geolog y, exploration, mineral resource and mineral reserve estimation and
classification, and project valuation. Litio Minera Argentina S. A. (the joint venture
company formed by the Companies to advance the Mariana project in Argentina,
“LMA”) have continued to engage Geos Mining to prepare this independent preliminary
resource report for the Project.
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Oliver Willetts is a senior resource geologist with over 9 years of experience in geology,
mineral exploration, mineral resource estimation and mineral project assessment. He is
a Registered Professional and is currently a Member of the Australasian Institute of
Mining and Metallurgy (member number 312940). Mr. Willetts is an independent
technical consultant contracted by Geos Mining and has worked o n resource estimation
for a variety of minerals (phosphate, potash (from brines), gold, coal, base metals)
within Australia, Africa and South America.
Afzaal Pirzada, Geological Consultant of the Company, and a “Qualified Person” for the
purposes of Natio nal Instrument 43 -101 - Standards of Disclosure for Mineral Projects ,
has reviewed and approved the scientific and technical information contained in this
news release.
About International Lithium Corp.
International Lithium Corp. has a significant portfolio of projects, strong management,
robust financial support, and a strategic partner and keystone investor, Ganfeng Lithium
Co. Ltd., a leading China-based lithium product manufacturer.
The Company’s primary focus is the strategic stake in the Mar iana lithium-potash brine
project located within the renowned South American “Lithium Belt” that is the host to the
vast majority of global lithium resources, reserves and production. The Mariana project,
strategically encompasses an entire mineral rich e vaporite basin, totalling 160 square
kilometres, that ranks as one of the more prospective salars or ‘salt lakes’ in the region.
Current ownership of the project is through a joint venture company, Litio Minera
Argentina S. A., a private company registered in Argentina, owned 80% by Ganfeng
Lithium Co. Ltd. (“GFL”), and 20% by ILC. In addition, ILC has an option to acquire 10%
in the Mariana project through a back-in right.
Complementing the Company’s lithium brine project are three rare metals pegmatite
properties in Canada known as the Mavis, Raleigh, and Forgan projects, and the
Avalonia project in Ireland, which encompasses an extensive 50km -long pegmatite belt.
The Avalonia project is under option to strategic partner GFL, that currently owns 55%
of t he project. The Mavis and Raleigh projects are under option to strategic partner
Pioneer Resources Limited (ASX:PIO) pursuant to which Pioneer can acquire up to a
51% interest in the projects.
The Mavis, Raleigh and Forgan projects together form the basis of the Company’s
newly created Upper Canada Lithium Pool designated to focus on acquiring numerous
prospects with previously reported high concentrations of lithium in close proximity to
existing infrastructure.
With the increasing demand for high tech rechargeable batteries used in vehicle
propulsion technologies and portable electronics, lithium is paramount to tomorrow’s
“green-tech”, sustainable economy. By positioning itself with solid strategic partners and
acquiring high quality assets for the Energy rEVolution supply chain, ILC aims to be the
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partner of choice for investors in green -tech and to continue to build value for its
shareholders.
On behalf of the Board of Directors,
Kirill Klip
Executive Chairman
For further information concerning this news release please contact +1 604-700-8912
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term
is defined in the policies of the TSX Venture Exchange) accepts responsibility f or
the adequacy or accuracy of this release.
Cautionary Statement Regarding Forward-Looking Information
Except for statements of historical fact, this news release contains certain “forward -
looking information” within the meaning of applicable securities law. Forward -looking
information is frequently characterized by words such as “plan”, “expect”, “project”,
“intend”, “believe”, “anticipate”, “estimate”, “will”, “could” and other similar words, or
statements that certain events or conditions “may” or “co uld” occur. Such forward -
looking information is based on a number of assumptions and subject to a variety of
risks and uncertainties, including but not limited to those discussed in the sections
entitled “Forward -Looking Statements” in the interim and annu al Management’s
Discussion and Analysis which are available at www.sedar.com. While our management
believes that the assumptions made are reasonable, should one or more of the risks,
uncertainties or other factors materialize, or should underlying assumpti ons prove
incorrect, actual results may vary materially from those described in forward -looking
information. Forward -looking information herein, and all subsequent written and oral
forward-looking information are based on estimates and opinions of management on the
dates they are made and are expressly qualified in their entirety by this cautionary
statement. Except as required by law, the Company assumes no obligation to update
forward-looking information should circumstances or management’s estimates or
opinions change.