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News Release -  August 12, 2016 4:32 PM ET 

 

 

American Lithium Corp. Assays Lithium Grades on Par with Robust Areas of Neighboring Clayton Valley at Fish Lake Valley Lithium Brine Project, Nevada

 

American Lithium Corp. is executing on a strategy with goal of becoming largest resource holder in Nevada.

 

NEW YORK, NY, August 12, 2016 /Sector Newswire/ - American Lithium Corp. (TSX-V: LI) (US Listing: MNIKF) (Frankfurt: 5LA) announced this week the Company has received assays from the recently completed 6 initial shallow (2 m) auger drill holes on the North Bowl Playa in its Fish Lake Valley lithium brine project, Esmeralda County, Nevada (see excerpt copy of that release further below).  Assays of the samples returned lithium values from 25 to 389 mg/L Lithium and 58 to 2210 mg/L Boron. These holes are part of a comprehensive Drill Program at its Fish Lake Valley Lithium-Brine Property; the Company is moving forward with sonic drilling to test deeper aquifers with the 13 permitted drill sites this month. The Company has plans to follow-up with a NI 43-101 report on the Fish Lake Lithium Brine Project project by the end of 2016. The CEO of American Lithium recently commented "We are confident that Fish Lake Valley will become one of the largest lithium brine basins in Nevada." Earlier this year American Lithium assembled 100% control of a contiguous lithium brine land package in Fish Lake Valley, Esmeralda County, Nevada, totaling 18,552 acres, and considered by many to be the most prospective lithium-brine project in North America. At Fish Lake Valley American Lithium Corp. is developing a lithium brine project with world-class potential, approximately 25 km from Albemarle's Silver Peak (the only commercially producing lithium project in North America). American Lithium Corp.'s fish Lake Valley Lithium-Brine claims encompassing both the South and North bowl structures, Fish Lake Valley is believed analogous to the neighboring Clayton Valley (home to Albemarle, Pure Energy Minerals, and Lithium X), both valleys have similar hydrothermal enrichment models. American Lithium's Fish Lake Valley Project is advanced-stage and lithium values are encouraging enough for the Company to start to delineate the resource in the sediments of the brines. How big this gets is where things get interesting; the project exhibits hallmarks of major lithium resource presence with the footprint, scope, and scalability that will allow the Company to create a large critical mass presence -- something the market is thirsting for as global industrial manufactures look to ensure they have adequate domestic supplies of lithium to satisfy growing demands. American Lithium Corp. is the dominant lithium claim holder in Fish Lake Valley, and with the addition of the 2,240 acre San Emidio Project, located 100 km NE of Reno to its portfolio this May-2016, and the 1,540 acre Clayton-Valley-1 Project (announced July 5, 2016), part of the original Clayton Valley playa, strategically located approximately 250 meters from Albemarle's lithium property, American Lithium Corp. now has a total of 22,332 acres of lithium brine claims in Nevada.

  

The Company is spearheaded by an experienced management team that is no stranger to major success, having individually employed well-timed visionary big-picture strategies at other companies. The team behind LI.V now was part of the same group that that were involved, long before the current lithium rush ever happened, with Pure Energy Minerals in its early-days; Pure Energy was recapitalized and advanced its flagship to resource (PE now hosts an inferred lithium resource of 816,000 LCE). Other past successes include major oil sand projects (e.g. Osum Oil Sands Corp. which attained a multi-billion dollar market cap) -- In short, American Lithium shareholders are in solid hands of people that are proven, technically savvy, responsible, prudent and plan with large-scale in mind.

Fig. 2. (above) American Lithium's Fish Lake Valley playa, in area of anomalous lithium / boron / potash brine mineralization.

 
American Lithium Corp. has ~42.3 million shares outstanding (post recent C$2 million financing), ~51.8M fully-diluted. The market cap is miniscule relative to the potential and the current share price presents an opportunity for shareholders to reap large returns as the Company advances to de-risk the Fish Valley Asset this H2-2016 and prove its resource merit. Li values at the Fish Lake Valley Lithium Project to date are comparable on par with those found at projects in Clayton Valley such as Albemarle (Silver Peak) and Pure Energy Minerals, more importantly the values are at a much shallower depth of almost from surface to 140 feet. By focusing initially on the shallows the Company will aim to advance/re-risk the Project quickly and relatively inexpensively, then as encouraging results come in, potentially turn the shallows into a resource/reserve and move out deeper.
 

This H1-2016 American Lithium Corp. announced the acquisition of the different pieces that make up the Fish Lake Valley land package that encompass the entirety of key structures of the South and North bowls, which contain the lithium-rich laden brines, and where gravity data shows distinct gravity lows. Previous owners included project generators that had been holding on to these coveted assets individually, waiting for the right suitor capable of meaningfully advancing the project with a cohesive strategy. In the North bowl American Lithium now has 100% control via 100% earn-in interest, with initial principal consideration already issued and development plan in place to attain 100%. In the South bowl the Company controls 100% via 80% earn-in interest.
 

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A robust hydrothermal enrichment situation exists in Fish Lake Valley

  

Neighboring Pure Energy has developed a model in Clayton Valley whereby Li concentrations are hydrothermally enriched along different fault lines, and so too, similarly, has American Lithium Corp. from the data collected at Fish Lake Valley. Past explorers of the two bowls in Fish Lake Valley approached from differing focus/perspectives; the south bowl playa and surrounding area was explored for the most part structurally (chasing other minerals), mapping structures in the process. The north bowl playa had been explored mainly peripherally (in the shallows, around the main body of the basin) for Lithium with great success, however past operators were not in a position to develop or explore further inward. American Lithium Corp. has the wherewithal to advance this to fruition and has the advantage of combining the data sets from both past explorers (which relate directly to each other) and correlate it to the understanding of the enrichment model that Pure Energy has proven.

Figure 3 a, b, & c (above);

 

a) Annotated area location map highlighting topographics, Northern Esmeralda County Nevada, lithium-bearing rocks in the ranges drain into the basins.

 

b) Inset (upper right); location map (click to access via Google maps).

 

c) Inset (lower left); gravity data shows a distinct gravity low (blue - violet color) in the heart of the Fish Lake Valley bowls.

   

Summary of Fish Lake Valley Lithium-Brine Claims (18,552 contiguous acres)

 

Figure 4. (above) American Lithium Corp.'s Fish Lake Valley Claims (18,552 contiguous acres). Fish Lake Valley is one of the most promising and largely undeveloped lithium brine basins in the State of Nevada.

Below is an overview of each section of the assembly that makes up the Fish Lake Valley Lithium-Brine Project claims

 

1) The North bowl playa (7,840 acres):

 

Figure 5a. North bowl

 

 

 North bowl playa claims:

 

Fig. 5b (above) Partial map of near Surface Brine & Direct Push Drill Sample Locations, see NI 43-101 technical report [PDF] for expanded version, results, and analysis. In short, the Li values are quality, on par with Albemarle and Pure Energy Minerals.

  

Note how the drill holes (marked as blue dots) act as post marks, in the shallows, around the main body of the basin. Past operators were prevented from testing deeper due to wet conditions and needed to construct road access to go further inward. American Lithium Corp. will build access roads further in.

 

click to access

Q4 2015 NI 43-101

Technical Report

Summary of North bowl playa claims going into the 2016 exploration program: The valley fill sediments are thought to be 300 to 600 meters (985 to 1970 feet) thick at Fish Lake Valley based on the borehole and gravity data available. Data extracted from the 43-101 Technical Report on the Fish Lake Valley Lithium-Brine Project, November 30, 2015 indicate Lithium in sediments ranging in concentration from 116 ppm to 1040 ppm (average 540.7 ppm), boron from 110 ppm to 4070 ppm (average 1772 ppm), potassium from 0.7% to 2.24% (average 1.53%), and magnesium from 0.35% to 6.37% (average 2.09%). Sodium is abundant on the property with values ranging from 0.47% to >10% (upper detection limit). Brines tested to date also contain anomalous concentrations of the above listed elements, with lithium ranging from 0.81 mg/L to 150 mg/L, boron from <1 mg/L to 2670 mg/L, potassium from 30 to 13300 mg/L, and magnesium from 0.116 mg/L to 41.5 mg/L. In all, approximately 1080 meters (3545 feet) of direct push drilling was completed within 41 holes drilled at 25 sites. Depths probed ranged from 13.11 meters (43.01 feet) to 47.24 meters (154.99 feet). In addition 42 brine samples have been collected from hand held auger holes and surface waters. The property has proven to contain economically interesting lithium/boron/potassium brine mineralization. Important to note is that there is near total absence of magnesium in the brines, which is excellent as high levels of magnesium are problematic (costs go up significantly) when it comes to a production scenario due to its similarity to lithium.

 

 

Fig. 5c (above) Sonic drill northeast section of playa looking northeast - 2012.

  

2) The South bowl playa (2,882 acres, A.K.A. the 'Atlantis' claims): The entity vending the Atlantis claims to American Lithium Corp. made the decision to acquire Atlantis after a review of geological mapping that showed the presence of lithium-bearing rocks in the ranges draining into the Property, and historical ground gravity data that showed a distinct gravity low in the heart of the Atlantis claims. The gravity low was interpreted as a strong indication for the presence of a sub-basin that could host lithium-bearing brines. Dr. John Oldow's more detailed gravity survey work in Esmeralda County in recent years better defined the historical gravity low as a deep, sub-basin, which led to the staking additional claims at Atlantis in January 2016, to expand the Property. Geophysical exploration at Atlantis in the form of additional gravity and electromagnetic surveys would assist in determining if conductive brines might be present at depth, followed by exploratory drilling of interpreted geophysical targets. As part of a regional lithium exploration program, the United States Geological Survey ("USGS") reported in Open-File Report 81-962 (1981) that historical drill hole FL-11a is located outside the eastern boundary of the Property, approximately 3 miles (4.5 kilometres) east of the centre of the interpreted sub-basin. Hole FL-11a was drilled to a depth of 450 feet (147 metres) and encountered lithium values in sediments ranging from 10 parts per million ("ppm") to 115 ppm and averaging 61.7 ppm for 67 samples analyzed. Lithium in sampled ground water ranged from trace at the end of the hole to 21 ppm at a depth of 55 feet (18 metres). American Lithium believes that drilling deeper holes at Atlantis within the area of the interpreted sub-basin could intersect aquifers potentially hosting trapped brines with higher contents of lithium than were encountered in the relatively shallow USGS hole drilled to the east of the gravity low anomaly. Also reported in USGS Open File Report 77-54 (1977) were the collection of 10 surface brine samples with lithium contents ranging 37 350 mg/l (ppm), averaging 159 mg/l (ppm), to the north of the sub-basin.

 

3) Fish South Lithium Property, Esmeralda County, Nevada (2,960 acres): The Fish South is a significant lithium brine exploration assets. Following completion of payments and share issuances, LI.V will hold an 80% interest in Fish South, subject to a 2.5% percent net smelter returns royalty in favour of the underlying property owner. LI.V plans to commence an initial work program during the second half of 2016.

 

4) 'Colorado Lithium Property', Esmeralda County, Nevada (~4,870 acres): 193 placer and 44 lode claims, American Lithium Corp. has rights to acquire a one-hundred (100%) interest in the Colorado Property, subject to a one (1.0%) percent net smelter returns royalty. The underlying holding company for the property (to be wholly owned by LI.V) is required make the following cash and common share payments (for these claims): an initial cash payment of C$200,000 (paid), and issue 400,000 common shares of the Company.

 

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2016 Development Plans for Fish Lake Valley Lithium-Brine Project: American Lithium Corp. will follow through with a development program in the range of US$1 million - $1.5 million for its Fish Lake Valley Lithium Project; building out ~3 - 4 miles of roads further into the playa (cost ~$15K/mile), and following additional ground gravity surveys, the team will probably set up a sonic drilling program, which is the most cost effective way (relatively inexpensive) to get the samples geologists need from the sediments. The Company's August 11, 2016 release entitled "American Lithium announces grades from 25 to 389 mg/L Li and 58 to 2210 mg/L B from lithium brine extracted from 6 Auger Drill Holes at the Fish Lake Valley Lithium Brine Project, Nevada" confirms LI.V is on track in the initial Phase 2 Exploration Drill Program underway at its Fish Lake Valley Lithium-Brine Property. The Company is expected to follow-up with a NI 43-101 report in Q4-2016. The team should be able to keep to under 5 acres of disturbed land, thus avoiding major permitting issues. The team will also conduct brine recovery, and evaporating testing. In short, the team will hone in on structures and sweet spots. A fault system has already been mapped leading directly through the claim blocks.

 

Grades at LI.V's Fish Lake Valley Lithium Project on Par with Robust Areas of Clayton Valley

 

Excerpt from above referenced August 11, 2016 Company release; "The Lithium values from these brine assays are significantly higher than the historical brine results from Fish Lake Valley and well within the range that has been reported in the adjacent Clayton Valley. This really demonstrates the robust lithium and boron potential in Fish Lake Valley." commented Michael Kobler, CEO of American Lithium. "The Company is excited to move forward with sonic drilling to test deeper aquifers with the 13 permitted drill sites this month."

 

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Other area Nevada acquisitions:

American Lithium Corp. is accumulating a large, high quality portfolio of strategically located lithium brine properties in a region.

 

Clayton Valley-1 Lithium Brine Property, Esmeralda County, Nevada (1,540 acres): The Clayton Valley-1 Lithium Brine Property provides American Lithium Corp. with a geologically significant property in the original Clayton Valley playa, strategically located approximately 250 meters from Albemarle's lithium property, the only brine based lithium producer in North America. A National Instrument 43-101 Technical Report completed on the property in May 2016, concluded that geologic and geophysical mapping documented in 2008, indicates a deep graben lies between the Silver Peak Range front and outcrops at Goat Island and Alcatraz Island. This graben is the immediate exploration target for the project as it may represent a separate sub-basin in the Clayton Valley that holds brines not subject to pumping by production wells currently operated by Albemarle on the eastside of the main valley. [see expanded details in the July 5, 2016 news release excerpt located below]

 

San Emidio Lithium Property located in north Nevada, Washoe County, Nevada (2,240 acres): The San Emidio property was the focus of extensive exploration programs carried out over a four year period including a gravity geophysical survey completed in 2011, which indicates that an earlier discovered near surface lithium brine anomaly occurs on the west side of a basinal low. The proximity to a feature of this nature and the presence of lithium in the brines are criteria that are necessary for the formation of a Silver Peak style lithium brine deposit. Project generator Lithium Corporation completed exploration programs on the San Emidio property from 2009 to 2012, including sediment and brine geochemical studies, gravity geophysics, and two phases of direct push drilling. Anomalous lithium values were detected during the brine sampling program with assays ranging from trace to the highest lithium value of 81 mg/L. The gravity survey defined a basinal depression proximal to the San Emidio lithium in brine anomaly, similar to that seen in the area of the producing brine field in Clayton Valley, which is a direct analog of the San Emidio prospect. The direct push drilling confirmed the presence of lithium in the brines and outlined a lithium-in-brine anomaly approximately 1 km wide, and more than 5 km long, within which anomalous lithium enriched brines with concentrations ranging from trace up to 23.7 mg/L were encountered at depths ranging from 24 to 39 meters subsurface. As is the case at Clayton Valley, lithium concentrations in brines at San Emidio may be reasonably be expected to increase at depth. American Lithium Corp. has rights to earn an 80% interest in the San Emidio Property following an initial cash payment of US$100,000, and upon completion of exploration expenditures of not less than US$600,000, and the issuance of 300,000 common shares of the Company. Once 80% is obtained, it can acquire the balance of the property, subject to a two-and-one-half (2.5%) percent net smelter returns royalty, through the payment of US$1,000,000.

 

Brine is by far the easiest and lowest cost type of lithium resource to process (compared to rock and clays), generally easier to explore, has a small environmental footprint, is faster to put into production, and requires less capital. Below is expanded insight on American Lithium's Fish Lake Valley Lithium Project.

 

Sector Newswire has identified the following research links for additional DD on American Lithium Corp.:

  

- American Lithium Corp. corporate website: http://www.americanlithiumcorp.com

- American Lithium corp. corporate presentation: http://www.americanlithiumcorp.com/assets/pdf/Li-PPT-May-2016.pdf

- SEDAR filings for American Lithium Corp.: http://sedar.com/DisplayProfile.do?lang=EN&issuerType=03&issuerNo=00005831

- Recent mining journal review of American Lithium Corp.: http://miningmarketwatch.net/li.htm

 

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Recent (August 11, 2016) news from American Lithium Corp.:

 

American Lithium announces grades from 25 to 389 mg/L Li and 58 to 2210 mg/L B from lithium brine extracted from 6 Auger Drill Holes at the Fish Lake Valley Lithium Brine Project, Nevada

 

VANCOUVER, August 11, 2016 /CNW/ - American Lithium Corp. (TSXV: LI) (OTCQB: LiACF) (Frankfurt: 5LA; WKN: A2AHEL) ("American Lithium" or the "Company"),  has received assays from the recently completed 6 initial shallow (2 m) auger drill holes on the North Bowl Playa in its Fish Lake Valley lithium brine project, Esmeralda County, Nevada. Assays of the samples returned lithium values from 25 to 389 mg/L Lithium and 58 to 2210 mg/L Boron (see table below).
 

Element

Li

B

Mg

Reporting unit:

mg/L

mg/L

mg/L

AA

389

2210

0.6

BB

321

1340

0.3

CC

99

205

1.9

EEE

39

58

96.9

JJ

37

113

27.8

NN

25

65

34.8

North Playa Fish Lake Valley Auger Drilling Lithium Brine samples
 
The auger drill holes targeted infill drilling in areas of interest from the 2010-11 Phase I exploration as well as extensions of these areas. These results show increased lithium brine grades from the Phase I program which reported maximum values of 150 mg/L Lithium and 2670 mg/L Boron, (NI 43-101 Technical Report, Fish Lake Valley Lithium-Brine Property, Esmeralda County, Nevada, USA, Nov 2015). The sample results also continue to demonstrate an inverse relationship between Li and Mg grades which is beneficial as Mg is seen as a deleterious metal in processing lithium brines.

 

"The Lithium values from these brine assays are significantly higher than the historical brine results from Fish Lake Valley and well within the range that has been reported in the adjacent Clayton Valley. This really demonstrates the robust lithium and boron potential in Fish Lake Valley." commented Michael Kobler, CEO of American Lithium. "The Company is excited to move forward with sonic drilling to test deeper aquifers with the 13 permitted drill sites this month."

 

As reported in the July 19, 2016 news release, the Company has also conducted auger sampling in the South Playa of Fish Lake Valley. Six auger holes were drilled but did not penetrate the over burden covering the near surface aquifer and so no samples were taken. The South Playa lithium brine target will be drill tested in the upcoming deeper sonic drill program.

 

The near surface auger program is the first of three drill stages planned during the 2016 Fish Lake Valley Exploration Program and will be followed by Sonic drilling up to a maximum depth of up to 500 feet. A total of 13 drill locations have been permitted for the Sonic drill programs to date. It is anticipated that the drill program will give a greater understanding of the lithium content of playa soils and brines, along with other potentially economically important minerals, as well as porosity and permeability of lithium bearing brine aquafers within the North and South Bowl Playas of the Fish Lake Valley lithium brine project.

 

The Company continues to integrate results of surface mapping and sampling with the ongoing gravity survey currently being conducted by Dr. John Oldow, Director of the Ellison Miles Center for Geological Field Studies at the University of Texas, Dallas, to further define drill targets for the Company's second stage drill program.

 

The brine samples were drawn from the bottom of the auger hole (2m depth), through a perforated PVC pipe. The sampling was supervised by Dr. Paul Lechler who delivered them to Florin Analytical Services of Reno Nevada. The samples were screened for suspended solids and then analyzed by the ICP OES protocol excepting for Lithium which was analyzed by AAS.

 

Michael Collins, P.Geo., is the Company's designated Qualified Person within the meaning of National Instrument 43-101 and has reviewed and approved the technical information contained in this news release.

 

ABOUT American Lithium Corp.
American Lithium Corp. is actively engaged in the acquisition, exploration and development of lithium deposits within mining-friendly jurisdictions throughout the Americas. American Lithium holds options to acquire Nevada lithium brine claims totaling 22,332 acres (9,038 ha), including 18,552 contiguous acres (7,508 ha) in Fish Lake Valley, Esmeralda County; 2,240 acre (907 ha) San Emidio Project in Washoe County; and the 1,540 acre (623 ha) Clayton-Valley-1 Project. The Company's Fish Lake Valley lithium brine properties are located approximately 38 kilometers from Albemarle's Silver Peak, the largest lithium operation in the U.S., approximately 3.5 hours from the Tesla Gigafactory. American Lithium is listed on the TSXV under the trading symbol "Li". For further information, please visit the Company's website at www.americanlithiumcorp.com ....

....click here for full copy from source

 

 

This release may contain forward-looking statements regarding future events that involve risk and uncertainties. Readers are cautioned that these forward-looking statements are only predictions and may differ materially from actual events or results. Articles, excerpts, commentary and reviews herein are for information purposes and are not solicitations to buy or sell any of the securities mentioned.

 

 

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