TNR Gold Royalty Holding Update: ILC Reports Ganfeng Subsidiary Litio Minera Argentina Assumes All Rights and Obligations in Respect of Mariana Lithium
NEWS RELEASE
TNR Gold Royalty Holding Update: ILC Reports Ganfeng Subsidiary Litio
Minera Argentina Assumes All Rights and Obligations in Respect of
Mariana Lithium
Vancouver, British Columbia – October 21, 2021: TNR Gold Corp. (TSX-V: TNR) (“TNR”, “TNR Gold”
or the “Company”) is pleased to announce that, further to the Company’s news release dated September
27, 2021, International Lithium Corp. (“ILC”) announced the completion of the sale to Ganfeng Lithium of
ILC’s remaining 8.58% stake in Litio Minera Argentina S.A., the owner of the Mariana Lithium Project in
Salta, Argentina. The deal included confirmation that Ganfeng’s subsidiary, Litio Minera Argentina, would
assume all rights or obligations that ILC had in respect of the Mariana property. TNR Gold holds a 2.0%
net smelter returns (“NSR”) royalty on the Mariana Lithium Project.
ILC’s news release issued on October 20, 2021 stated:
“The Company announced on September 21, 2021 that it had contracted to sell its remaining 8.58%
stake in Litio Minera Argentina S.A. and the Company’s remaining rights and obligations related to the
Mariana project to ILC’s partner Ganfeng Lithium. The deal included confirmation that Litio Minera
Argentina would assume all rights or obligations that the Company had in respect of the Mariana property.
On October 4, 2021 the Company announced that it expected this sale to complete in mid -October.
Completion has now taken place.”
Kirill Klip, Executive Chairman of the Company commented, “We are pleased with the great news
regarding Ganfeng Lithium, our NSR Royalty holding and advance of the Mariana Lithium Project to
construction. I am also very pleased to see that this deal between ILC and Ganfeng Lithium included
confirmation that Ganfeng’s subsidiary, Litio Minera Argentina, assumes all rights and obligations that
ILC had in respect of the Mariana Lithium Project, including in respect to TNR Gold NSR Royalty Holding.
Ganfeng Lithium has now consolidated 100% of the Mariana Lithium Project and advanced it to the
construction stage. This news comes after a 55% increase in the measured and indicated resource
estimate from the previously announced 2020 increase of more than 250% in measured and indicated
resources at the Mariana Lithium Project. We extend our congratulations to Ganfeng and salute the
people of Argentina on the celebration of ‘Pachamama’ - the ritual that thanks the earth for all that we
receive from it. This ritual was performed at Mariana Lithium in September after successful approval of
the Environmental Impact Report by the Salta regional government in Argentina and approvals for the
construction of a plant with a designed annualized capacity of 20,000 tonnes per annum of lithium
chloride.
1055 Dunsmuir Street, Suite 3500
Vancouver, British Columbia
V7X 1H7, Canada
T: +1 (604) 229-8129
E-mail: [email protected]
Website: http://www.tnrgoldcorp.com
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We are very pleased to see that this new plan represents a 100% increase of the previously planned
lithium annual production rate presented in the Mariana Project preliminary economic assessment
(“PEA”), announced in our news release of January 28, 2019. It was the first PEA on the project and
provided a potential value for the total NSR Royalty from Mariana’s life of mine cashflow, which has now
been very significantly increased. We welcome the news from the Salta regional government, following
its discussions with Ganfeng, that the likely project expenditure to bring the Mariana Project to full
production is approximately US$600 million.
TNR does not have to contribute any capital for the development of the Mariana Project. The 2.0%
Mariana NSR Royalty on the Mariana Project with Ganfeng Lithium is a very important part of TNR Gold’s
portfolio, (TNR holds a 0.2% NSR on behalf of a shareholder). The essence of our business model is to
have industry leaders like Ganfeng Lithium as operators on the projects that will potentially generate
royalty cashflows to contribute significant value for our shareholders.”
The ILC press releases and website material appear to be prepared by Qualified Persons and the
procedures, methodology and key assumptions disclosed therein are those adopted and consistently
applied in the mining industry, but no Qualified Person engaged by TNR has done sufficient work to
analyze, interpret, classify or verify ILC’s information to determine the current mineral resource or other
information referred to in its press releases. Accordingly, the reader is cautioned in placing any reliance
on the disclosures therein.
ABOUT TNR GOLD CORP.
TNR Gold Corp. is working to become the green energy metals royalty and gold company.
Over the past twenty-five years, TNR, through its lead generator business model, has been successful
in generating high -quality exploration projects around the globe. Wit h the Company’s expertise,
resources and industry network, it identified the potential of the Los Azules Copper Project in Argentina
and now holds a 0.4% NSR Royalty on the project, which is being developed by McEwen Mining Inc ,
(TNR holds a 0.04% NSR on behalf of a shareholder).
In 2009, TNR founded International Lithium Corp. (“ILC”), a green energy metals company that was made
public through the spin-out of TNR’s energy metals portfolio in 2011. ILC held interests in lithium projects
in Argentina, Ireland and Canada.
TNR retains a 2.0% NSR Royalty on the Mariana Lithium Project in Argentina with Ganfeng Lithium ,
(TNR holds a 0.2% NSR on behalf of a shareholder). Ganfeng’s subsidiary, Litio Minera Argentina, has
a right to repurchase 1.0% of the NSR Royalty on the Mariana Project, of which 0.9% relates to the
Company’s NSR Royalty interest. The Company would receive $900,000 on the completion of the
repurchase. The project is currently being advanced by Ganfeng Lithium International Co. Ltd.
TNR provides significant exposure to gold through its 90% holding in the Shotgun Gold porphyry project
in Alaska. The project is located in South western Alaska near the Donlin Gold project, which is being
developed by Barrick Gold and Novagold Resources Inc.
The Company’s strategy with Shotgun Gold Project is to attract a joint venture partner ship with one of
the gold major mining companies. The Company is actively introducing the project to interested parties.
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At its core, TNR provides significant exposure to gold, copper , silver and lithium through its holdings in
Alaska (the Shotgun Gold porphyry project) and Argentina ( the Los Azules Copper and the Mariana
Lithium projects) and is committed to the continued generation of in-demand projects, while diversifying
its markets and building shareholder value.
On behalf of the Board of Directors,
Kirill Klip
Executive Chairman
www.tnrgoldcorp.com
For further information concerning this news release please contact +1 604-229-8129
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is
defined in the policies of the TSX Ventur e Exchange) accepts responsibility for 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 “could” occur, although not
all forward-looking statements contain these identifying words. Specifically, forward -looking statements
in this news release include, but are not limited to, statements made in relation to: TNR’s corporate
objectives, changes in share capital, market conditions for energy commodities, the results of McEwen
Mining’s and Ganfeng Lithium’s PEAs, and improvements in the financial performance of the Company.
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 “Risks” and
“Forward-Looking Statements” in the Company’s interim and annual Management ’s Discussion and
Analysis which are available under the Company’s profile on www.sedar.com. While management
believes that the assumptions made and reflected in this news release are reasonable, should one or
more of the risks, uncertainties or other fact ors materialize, or should underlying assumptions prove
incorrect, actual results may vary materially from those described in forward -looking information. In
particular, there can be no assurance that: TNR will be able to repay its loans or complete any fu rther
royalty acquisitions or sales; debt or other financing will be available to TNR; or that TNR will be able to
achieve any of its corporate objectives. TNR relies on the confirmation of its ownership for mining claims
from the appropriate government ag encies when paying rental payments for such mining claims
requested by these agencies. There could be a risk in the future of the changing internal policies of such
government agencies or risk related to the third parties challenging in the future the owne rship of such
mining claims. Given these uncertainties, readers are cautioned that forward-looking statements included
herein are not guarantees of future performance, and such forward -looking statements should not be
unduly relied on.
In formulating the forward-looking statements contained herein, management has assumed that business
and economic conditions affecting TNR and its royalty partners, McEwen Mining Inc. and Ganfeng
Lithium will continue substantially in the ordinary course, including without limitation with respect to
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general industry conditions, general levels of economic activity and regulations. These assumptions,
although considered reasonable by management at the time of preparation, may prove to be incorrect.
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. Exce pt as required by law, the Company assumes no
obligation to update forward -looking information should circumstances or management’s estimates or
opinions change.