TSX-V-listed American Lithium will buy back the royalty on its TLC lithium project, in Nevada.
The company entered into an agreement with Nevada Alaska Mining, an arms-length party, to buy back the remaining 1% overriding royalty on the TLC project, in the Esmerelda lithium district, north-west of Tonopah.
Pursuant to the terms of the agreement, American Lithium will issue 950 000 common shares in the capital of the company to Nevada Alaska Mining.
“We are very pleased to have reached this agreement with the royalty holder to buy back this valuable royalty, which also ensures that the company will control 100% of all concessions comprising TLC.
“As TLC moves through development and into production, this transaction should be highly accretive and will maximise project value. Removing this remaining royalty also enables us to present TLC as wholly unencumbered in our maiden PEA which is expected to be released in the next few days,” says CEO Simon Clarke.