Monumental Minerals Signs Letter of Intent to Acquire up to 50.01% of the Salar de Turi Project from Lithium Chile IN the Lithium Triangle, Chile
MONUMENTAL MINERALS SIGNS LETTER OF INTENT TO ACQUIRE UP TO
50.01% OF THE SALAR DE TURI PROJECT FROM LITHIUM CHILE IN THE
LITHIUM TRIANGLE, CHILE
News Release - Vancouver, British Columbia – August 23, 2022: Monumental Minerals Corp.
(“Monumental” or the “ Company”) (TSX -V: MNRL; FSE: BE5; OTCQB: MNMRF) is pleased to
announce that it has signed a letter of intent (“LOI”) to acquire a 50.01% interest in the Salar de Turi
Project (the “Project”) from Lithium Chile Inc. (“Lithium Chile”) located within the Lithium Triangle
about 120 km northwest from the Salar de Laguna Blanca and 60 km northeast from the City of Calama,
Chile.
The Salar de Turi Project is located within the prolific Lithium Triangle (“LT”), a zone within the central
Andes high desert that includes Chile, Argentina, and Bolivia (Figure 1). Th e LT zone is estimated to
contain more than half of the world’s lithium supply beneath the many salt flats, also known as salars, that
are common to the region. The Project comprises 31 exploration concessions totalling 8,500 hectares, 100%
owned by Lithium Chile through its wholly owned Chilean subsidiary Minera Kairos Chile Limitada
(“Minera Kairos”). The Project is accessible from the City of Calama (60 km to t he southwest) via the
paved roads 21CH, and B -165 and is close to infrastructure. Travel time from Calama to the Project is
approximately 1 hour.
Figure 1. Location of the Salar de Turi Project and the 31 claims (8,500 ha) that it encompasses. Map also includes the transient
electromagnetic (TEM) survey lines (L1 to L5) contracted by Lithium Chile in 2019.
Jamil Sader, CEO and Director of Monumental Minerals comments , “The relationship we have built with
Lithium Chile continues to develop into a growing joint effort to advance high-value salars towards lithium
brine resource s. The Salar de Turi Project represents a great opportunity, with highly compelling
geophysics and geochemistry, excellent infrastructure, and year-round access. Monumental plans to move
forward with exploration activities with the same vigour as with our other two critical metals projects,
Laguna Blanca lithium brine, and Jemi heavy rare earth elements.”
Steve Cochrane, CEO and Director of Lithium Chile comments, “During a recent trip to Chile, I met with
Monumental Minerals technical and social governance team, and I feel that they have the capability as
demonstrated with Laguna Blanca, to advance the Salar de Turi Project. This joint venture will benefit both
parties substantially with Lithium Chile being the largest shareholder of Monumental Minerals. The Joint
venture is consistent with our desire to maximize the return on our Chilean assets while our focus is on our
Arizaro Argentinian development program.”
During 2019 , Minera Kairos completed preliminary reconnaissance and detailed geochemical and
geophysical surveys:
• Transient electromagnetic (TEM) geophysics exploration work conducted by Lithium Chile
delineated highly prospective brine aquifers that could contain economic grades of lithium over a
63 square kilometre (km2) area. These geophysical anomalies are shallow northeast-dipping at 150
– 300 metres (m) below surface and are at least 200 to 300 m thick, often open at depth (see Lithium
Chile Press Release April 30, 2019) (Figure 2).
• Near surface brine samples return values of lithium to 590 mg/L (see Lithium Chile Press Release
January 16, 2019). The samples also reveal favourable chemistry with ratios of lithium to potassium
of 0.06 and magnesium to lithium of 7.8.
Figure 2. Cross-sectional profiles of the TEM surface contracted by Lithium Chile in 2019.
Terms of the Proposed Transaction
Subject to the execution of a definitive agreement (“ Definitive Agreement”), Monumental will have the
option to earn-in up to a 50.01% interest in the Salar de Turi Project by making certain staged cash payments
and issuing common shares to Lithium Chile and incurring exploration expenditures on the Salar de Turi
Project as follows:
(a) Make cash payments of an aggregate of C$700,000 according to the following schedule:
(i) $200,000 upon final TSX Venture Exchange approval of this proposed transaction (the
“Acceptance Date”);
(ii) $250,000 on or before the fourteenth (14) month anniversary of the Acceptance Date; and
(iii) $250,000 on or before the second anniversary of the Acceptance Date.
(b) Incur minimum expenditures on the Salar de Turi Project of not less than an aggregate of
C$1,400,000 according to the following schedule:
(iv) $700,000 on or before the first anniversary of the Acceptance Date; and
(v) $700,000 on or before the second anniversary of the Acceptance Date.
(c) Issue and deliver to Lithium Chile, that number of common shares of Monumental that would result
in Lithium Chile holding, on a non -diluted basis, 9.9% of the issued and outstanding common
shares of Monumental (the “ Payment Shares ”), within ten (10) days of the closing of
Monumental’s next completed financing (if any occurs) following the Acceptance Date, but no
later than the twelve (12) month anniversary of the Acceptance Date, unless otherwise mutually
agreed to by both parties.
In addition to the statutory hold period of four months and a day from the date of issuance, the Payment
Shares will be subject to a 12 -month voluntary hold period from the date of issuance. Upon Monumental
earning a 50.01% interest in the Salar de Turi Project, Monumental and Lithium Chile will use
commercially reasonable efforts to ne gotiate and execute a joint venture agreement for the purpose of
jointly carrying out exploration, evaluation and development of the Salar de Turi Project.
Further details regarding the proposed transaction with Lithium Chile will be provided in a comprehensive
news release if, and when, the parties enter into the Definitive Agreement. The proposed transaction
between Monumental and Lithium Chile is subject to, among other things, the execution of the Definitive
Agreement and TSX Venture Exchange approval.
Qualified Person
The scientific and technical information contained in this news release has been reviewed and approved
by Kristopher J. Raffle, P.Geo. (BC) Principal and Consultant of APEX Geoscience Ltd. of Edmonton, AB,
a Director of the Company and a “Qualified Person” as defined in National Instrument 43-101 – Standards
of Disclosure for Mineral Projects.
About Monumental Minerals Corp.
Monumental Minerals Corp. is a mineral exploration company focused on the acquisition, exploration, and
development of mineral resource properties in the critical and electric metals sector. The Company’s
flagship asset is the Jemi HREE project located in Coahuila, Mexico near the Texas, USA border which the
Company has an option to acquire 100% of the 3,650-hectare project. The Company has an option to acquire
a 75% interest and title to the Laguna cesium-lithium brine project located in Chile and is actively seeking
new lithium brine opportunities in Chile.
On behalf of the Board of Directors,
/s/ “Jamil Sader”
Jamil Sader, Chief Executive Officer and Director
Contact Information:
Email: [email protected]
Or
Max Sali, VP Corporate Development and Director
Email: [email protected]
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the
policies of the TSX Venture Exch ange) accepts responsibility for the adequacy or accuracy of this news
release.
Forward Looking Information
This news release contains “forward‐looking information or statements” within the meaning of applicable securities
laws, which may include, without limitation, the potential plans for the Company’s projects , the completion of the
definitive agreement with Lithium Chile and the TSX Venture Exchange’s approval of the proposed Turi transaction,
other statements relating to the technical, financial and business prospects of the Company, its projects and other
matters. All statements in this news release, other than statements of historical facts, that address events or
developments that the Company expects to occur, are forward-looking statements. Although the Company believes
the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements
are not guarantees of future performance and actual results may differ materially from those in the forward-looking
statements. Such statements are based on numerous assumptions regarding present and future business strategies and
the environment in which the Company will operate in the future, including the price of metals, the ability to achieve
its goals, that general business and economic conditions will not change in a material adverse manner and that
financing will be available if and when needed and on reasonable terms. Such forward -looking information reflects
the Company’s views with respect to fut ure events and is subject to risks, uncertainties and assumptions, including
the risks and uncertainties relating to the interpretation of exploration results, risks related to the inherent uncertainty
of exploration and cost estimates and the potential for unexpected costs and expenses and those other risks filed under
the Company’s profile on SEDAR at www.sedar.com. While such estimates and assumptions are considered
reasonable by the management of the Company, they are inheren tly subject to significant business, economic,
competitive and regulatory uncertainties and risks. Factors that could cause actual results to differ materially from
those in forward looking statements include, but are not limited to, continued availability of capital and financing and
general economic, market or business conditions, failure to secure personnel and equipment for work programs ,
adverse weather and climate conditions, risks relating to unanticipated operational difficulties (including failure of
equipment or processes to operate in accordance with specifications or expectations, cost escalation, unavailability of
materials and equipment, government action or delays in the receipt of government approvals, industrial disturbances
or other job action, and unanticipated events related to health, safety and environmental matters), risks relating to
inaccurate geological assumptions, failure to maintain all necessary government permits, approvals and authorizations,
failure to obtain surface access agreements or understandings from local communities, land owners or Indigenous
groups, fluctuation in exchange rates, the impact of Covid-19 or other viruses and diseases on the Company’s ability
to operate, an inability to predict and counteract the effects of COVID-19 on the business of the Company, including
but not limited to, the effects of COVID -19 on the price of commodities, capital market conditions, restriction on
labour and international travel and supply chains, decrease in the price of rare earth elements , lithium, cesium and
other metals, loss of key employees, consultants, or directors, failure to maintain community acceptance (including
from the Indigenous communities) , increase in costs , litigation, and failure of counterparties to perform their
contractual obligations. The Company does not undertake to update forward‐looking statements or forward‐looking
information, except as required by law.