- Option to acquire 100% of a Strategic Lithium Project
- Project is situated in the Clayton Valley area of Nevada
- Clayton Valley hosts North America’s largest Lithium Carbonate production operations derived from Lithium Brines
- Objective to develop an economic Lithium Brine Project
- Due diligence under way/exploration planning in progress
- The company has a well-diversified project portfolio of Platinum Group Metals and Lithium Projects (GREEN METALS in Canada and at the U.S.A.)
- The company’s 100% owned River Valley PGM resources is one of the largest undeveloped primary PGM resources in Canada (pfncapital.com)
April 25, 2016 Vancouver, Canada — Pacific North West Capital Corp. (“PFN” and the “Company”) (TSX.V: PFN; Frankfurt: P7J.F; OTC Pink: PAWEF announces that is has acquired, through option, a lithium brine project in Clayton Valley, Esmeralda County, Nevada.
The company is near completion of its due diligence period with regard to the agreement. Ongoing forward plans for the project will be released after the due diligence period is complete. Announcements concerning the technical aspects of the project and the terms and conditions of the agreement will be forthcoming. Once the due diligence is completed, the project location and technical overview of the project in the Clayton Valley area of Nevada will be explained.
Management previously announced (April 6th, 2016, April 14th, 2016, April 21st, 2016) that PFN is developing a Lithium and Rare Earth Division. The Company’s management team has added an additional “green metal, GM” to its existing Platinum group metals (PGM’s) division. These new age metals, Lithium, PGM’s and Rare Earths, have robust macro trends with surging demands and limited supply. Going forward, this new division will explore for the minerals needed to fuel the demand for energy storage and other core 21st Century Technologies.
Nevada the Lithium Hub
Clayton Valley is located in Esmeralda county of Nevada host to the Albemarle Corporation’s Silver Peak Lithium Mine and brine processing operations. The mine has been in operation since 1967 and remains the only brine based Lithium Producer in North America. The new project acquisition in Nevada will allow the company a project in an area that is well known for its Lithium Carbonate Production. Clayton Valley is a centralized location in Nevada with highway access, power infrastructure, water and local labor. The company’s new lithium brine project will be approximately 3.5 hours away from Tesla’s Gigafactory, which has a planned annual lithium-ion battery production capacity of 35 gigawatt-hours per year by 2020. The company’s new project is also 3 hours north of the Faraday Electric Car Factory to be operated in Las Vegas, Nevada.
Clayton Valley was one of the few locations globally known to contain commercial-grade lithium-enriched brines.
The company is planning a detailed exploration program on its Clayton Valley lithium project for upcoming exploration season.
Nevada Building a Future for Green Energy Manufacturing
The Nevada government is actively embracing the Lithium Energy market and future ventures. In March 2016 the Nevada Board gave final approval to the Faraday Futures $1 Billion dollar electric car factory in North Las Vegas. Once this plant is operating it is estimated that it will create over 4500 jobs for the area. Tesla received over $1.25 Billion in tax incentives from the Nevada government to start up their $5 Billion Giga-factory in Reno, Nevada. The Nevada government is backing the new growth in the lithium- ion battery and electric car market. Future projected market growth will also increase the need for lithium-ion batteries. At present, the Clayton Valley area produces 4% of the world’s Lithium Carbonate production.
About The Company’s Lithium Division
The company’s new Lithium Division will focus on the acquisition, exploration and development of Lithium Projects in Canada. In the United States the company will use its wholly owned U.S.A subsidiary to acquire and develop projects in active mining camps in Nevada, Arizona and California.
The recent addition of the “Lithium One Project” in southeastern Manitoba (PFN April 24th, 2016 news release) has given the company a strategic opportunity for hard rock Lithium mineralization in Canada. The project is located 8.5 kilometers south of the Tanco Mine Site, North America’s richest and longest operating hard rock mine for tantalum, lithium and cesium.
Lithium and Platinum group metal prices have improved dramatically in recent months. Lithium supplies remain in deficit relative to their demand. Both metals groups are used for the expanding worldwide automobile industry (conventional and electric). In the case of PGM’s, demand is increasing for autocatalysts, a key component for reducing toxic emissions for automotive, gasoline and diesel engines. In regards to Lithium, there is an ever increasing demand for batteries in cellphones, laptops, electric cars, solar storage, wireless charging and renewable energy products.
About the company’s Platinum Group Metals Division
Achievements to date and future plans for River Valley are outlined below as follows:
- PFN currently has 100% ownership in the River Valley Project, subject to a 3% NSR;
- Completed exploration and development programs on the River Valley property include more than 600 holes drilled since year 2000 and several mineral resource estimates and metallurgical studies;
- Results for the current (2012) mineral resource estimate are below;
- 2015 drill program confirms new high grade T2 discovery
- Exploration and development plans outlined for 2016
- Ongoing strategic partner search for River Valley project
- Formation of Lithium Canada Inc., a wholly owned subsidiary
- Prepared by Tetra Tech (Wardrop)
- High Confidence: Measured plus Indicated = 72% of total
- Reported on PdEq basis: Pd=40% & Pt=20% of the payable metals
- Pd to Pt ratio = 2.5:1; Cu to Ni ratio = 3:1
- High Grade potential, particularly in the north part of River Valley deposit
- Resources under evaluation for development potential as open pit mining operation
- Results for the most recent Metallurgical Testwork Study are summarized below:
- Results for the 2015 discovery drill program on the T2 target are as follows:
- Drill hole intercepts much higher than the average grade of current mineral resource estimate
- Possible new mineralized zone at the north end of the River Valley deposit
- Show potential to take the River Valley PGM Project in a new direction
- More drilling required
- Exploration and Development Plans for 2016
- Mineral prospecting and geological mapping on surface
- Drill programs targeted to add more higher grade
- Geological interpretation and 2D/3D modelling of all drill and surface results
- Application to the OPA’s Junior Exploration Assistance Program (JEAP) for 33% refund of all exploration expenditures up to $300,000
- Strategic Partner Search for River Valley
For further information, please see the press releases dated Apr 14, 2016, April 6, 2016, visit PFN’s website at www.pfncapital.com, or email us at email@example.com
On behalf of Management and the Board of Directors, I wish to thank our shareholders for their patience and continued support over the last 5 years as we look forward to a strong recovery in the Junior Mining industry.
The contents contained herein that relates to Exploration Results or Mineral Resources is based on information compiled, reviewed or prepared by Dr. Bill Stone, Principal Consulting Geoscientist for PFN. Dr. Stone is the Qualified Person as defined by National Instrument 43-101 and has reviewed and approved the technical content.
On behalf of the Board of Directors
Chairman and CEO
Neither the 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 release.
Cautionary Note Regarding Forward Looking Statements. This release contains forward-looking statements that involve risks and uncertainties. These statements may differ materially from actual future events or results and are based on current expectations or beliefs. For this purpose, statements of historical fact may be deemed to be forward-looking statements. In addition, forward-looking statements include statements in which the Company uses words such as “continue”, “efforts”, “expect”, “believe”, “anticipate”, “confident”, “intend”, “strategy”, “plan”, “will”, “estimate”, “project”, “goal”, “target”, “prospects”, “optimistic” or similar expressions. These statements by their nature involve risks and uncertainties, and actual results may differ materially depending on a variety of important factors, including, among others, the Company’s ability and continuation of efforts to timely and completely make available adequate current public information, additional or different regulatory and legal requirements and restrictions that may be imposed, and other factors as may be discussed in the documents filed by the Company on SEDAR (www.sedar.com), including the most recent reports that identify important risk factors that could cause actual results to differ from those contained in the forward-looking statements. The Company does not undertake any obligation to review or confirm analysts’ expectations or estimates or to release publicly any revisions to any forward-looking statements to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events. Investors should not place undue reliance on forward-looking statements.