Wealth Minerals Signs Memorandum of Understanding with Uranium One Group
Suite 2300 – 1177 West Hastings Street, Vancouver, BC Canada V6E 2K3
Tel 604.331.0096 Fax 604.408.7499 www.wealthminerals.com
NR19-21 October 15, 2019
Wealth Minerals Signs Memorandum of Understanding
with Uranium One Group
FOR IMMEDIATE RELEASE....Vancouver, British Columbia: Wealth Mi nerals Ltd. (the
“Company” or “Wealth”) - (TSXV: WML; OTCQX: WMLLF; SSE: WMLCL; Frankfurt: EJZN),
is pleased to announce it has signed a strategic memorandum of understanding (the “MOU”) with
Uranium One Group (“U1G”). The MOU provides for the acquisition (the “Proposed
Transaction”) by U1G of up to a 51% ownership interest in the C ompany’s Atacama lithium
project (the “Atacama Project”), an approximately 46,200 hectare licensed position located in the
Atacama Salar in Region II of Antofagasta, northern Chile (see news release dated November 23,
2016) on commercial terms to be agreed upon by the parties. The MOU provides for a due
diligence period during which U1G can conduct technical, geolog ical, legal, tax, financial and
other due diligence on the Atacama Project, at U1G’s expense. T he MOU gives U1G the right to
match the terms of any proposed alternative transaction.
The closing of the Proposed Tran saction would be subject to cus tomary closing conditions and
approvals, including the ability of the parties to enter into a definitive purchase and sale agreement,
U1G being satisfied with the results of its due diligence, and the receipt of all required regulatory
and corporate approvals, including, of the TSX Venture Exchange (“TSXV”) in respect of the
Proposed Transaction. The MOU provides that the parties will en ter into an off-take agreement,
upon mutually agreed terms and conditions, whereby U1G would have the right to purchase 100%
of the products produced from the Atacama Project, provided the Proposed Transaction closes.
The MOU provides for increased co-operation between the parties for the development of the
lithium projects. Such development is expected to include, among other things, the application of
U1G’s ecologically friendly sorption lithium extraction technology.
Tim McCutcheon, President of Wealth, commented, “The lithium industry’s future growth is about
the profound changes happening in the way the world uses energy . Wealth’s team has invested
significant time in studying a nd evaluating the best methodolog ies for developing its lithium
assets, with a view to avoid using solar evaporation. Partnerin g with U1G will help Wealth
accelerate the development of lithium projects by using modern technology and moving away from
outdated solar evaporation to a more efficient and environmentally friendly sorption technology.”
Background
Lithium production operations that utilize salars (underground brine reservoirs) typically use solar
evaporation as the major part of the lithium recovery process. While this process has a low
operating expense and is technologically simple, it also requires significant land for ponds in which
lithium brine, after subsurface pumping, is placed for drying. Additionally, water in the brine is
Wealth Minerals Ltd. - 2 - October 15, 2019
NR19-21 – Continued
evaporated into the atmosphere, lost from the locality forever. In extremely dry areas like the high
Andes Mountains, where most lithium brine operations are locate d, solar evaporation is seen as
having long term sustainability issues. There are several new t echnologies for recovering lithium
from brine, however, most of these technologies have negative points in their methodology which
have stalled their commercial implementation.
U1G provides a lithium extraction technology for processing lithium-bearing brine material which
uses a reusable catalyst material to attract lithium out of brine, thus eliminating the need for solar
evaporation. Using this sorption technology greatly reduces the physical footprint typically needed
in a solar evaporation operation, specifically large, multi-pha se, lined evaporation ponds. Its
technology also enhances the quality of lithium extraction and recovery levels as compared to
traditional solar evaporation. Lastly, after lithium recovery, the brine can then be pumped back
into the salar, helping to ensure long-term operational and environmental viability.
About U1G
U1G is a global energy company and one of the world’s largest uranium producers, with a diverse
portfolio of assets worldwide, including in Kazakhstan, the United States, Tanzania and elsewhere.
U1G is committed to the highest environmental standards, the he alth and safety of its employees
and the long-term sustainability of the diverse communities across the globe in which it operates.
See: http://www.uranium1.com/.
About Wealth Minerals Ltd.
Wealth is a mineral resource company with interests in Canada, Mexico, Peru and Chile. The
Company’s main focus is the acquisition and development of lithium projects in South America.
Lithium market dynamics and a rapidly increasing metal price are the result of profound structural
issues with the industry meeting anticipated future demand. Wea lth is positioning itself to be a
major beneficiary of this future mismatch of supply and demand. The Company also maintains
and continues to evaluate a portfolio of precious and base metal exploration-stage projects.
For further details on the Compa ny readers are referred to the Company’s website
(www.wealthminerals.com) and its Canadian regulatory filings on SEDAR at www.sedar.com.
On Behalf of the Board of Directors of
WEALTH MINERALS LTD.
“Hendrik van Alphen”
Hendrik van Alphen
Chief Executive Officer
For further information, please
contact:
Marla Ritchie, Henk van Alphen or Tim McCutcheon
Phone: 604-331-0096 Ext. 3886 or 604-638-3886
E-mail: [email protected]
Neither 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.
Wealth Minerals Ltd. - 3 - October 15, 2019
NR19-21 – Continued
Cautionary Note Regarding Forward-Looking Statements
This news release contains forward-looking statements and forward-looking information (collectively, “forward-
looking statements”) within the meaning of applicable Canadian and U.S. securities legislation, including the United
States Private Securities Litigation Refo rm Act of 1995. All statements, other than statements of historical fact,
included herein including, without limitation, statements with respect to the Company’s anticipated exploration
program results from exploration activities, the Company’s expectation that it will be able to obtain the necessary
permits to exploit, develop, produce and export lithium, and the anticipated business plans and timing of future
activities of the Company, are forward-looking statements. Although the Company believes that such statements are
reasonable, it can give no assurance that such expectations will prove to be correct. Forward-looking statements are
typically identified by words such as: “believes”, “expects”, “anticipates”, “intends”, “e stimates”, “plans”, “may”,
“should”, “would”, “will”, “potential”, “scheduled” or variations of such words and phrases and similar
expressions, which, by their nature, refer to future events or results that may, could, would, might or will occur or be
taken or achieved. In making the forward-looking statements in this news release, th e Company has applied several
material assumptions, including without limitation, that the Company will be able to negotiate and enter into definitive
agreements for the Proposed Transaction, that TSXV acceptance and the required corporate approvals of same will
be obtained by the Company, that market fundamentals will result in sustained lithium demand and prices, the receipt
of any necessary permits, licenses and regulatory approval s in connection with the future development of the
Company’s Chilean lithium proj ects in a timely manner, the availability of financing on suitable terms for the
development, construction and continued operation of the Company’s projects, that the U1G's technology can be
successfully applied to the Company’s lithium projects, including the Atacama Project, and the Company’s ability to
comply with environmental, health and safety laws.
Forward-looking statements by the Company are not guarantees of future results or performance, and actual results
may differ materially from those in forward-looking statements as a result of risks and other various factors, including,
operating and technical difficulties in connection with mineral exploration and development activities, actual results
of exploration activities, including on the Atacama Project, the estimation or realization of mineral reserves and
mineral resources, the timing and amount of estimated future production, the costs of production, capital expenditures,
the costs and timing of the development of new deposits, requirements for additional capital, future prices of lithium,
changes in general economic conditions, changes in the financial markets and in the demand and market price for
commodities, accidents, labour disputes and other risks of the mining industry, delays in obtaining governmental
approvals, permits or financi ng or in the completion of development or construction activities, changes in laws,
regulations and policies affecting mining operations, title disputes, the inability of the Company to enter into definitive
agreements and/or obtain any necessary permits, consents, approvals or authorizations, including acceptance by the
TSXV, required for the Propose d Transaction, the inability of the Company successfully apply U1G's technology to
the Company’s lithium projects, the timing and possible outcome of any pending litigation, environmental issues and
liabilities, risks related to joint venture operations, and other risks and uncertainties disclosed in the Company’s latest
interim Management’s Discussion and Analysis and filed with certain securities commissions in Canada. All of the
Company’s Canadian public disclosure filings may be accessed via www.sedar.com and readers are urged to review
these materials, including the technical reports filed with respect to the Company’s mineral properties.
Readers are cautioned not to place undue reliance on forward-looking statements. The Company undertakes no
obligation to update any of the forward-looking statements in this news release or incorporated by reference herein,
except as otherwise required by law.