PERTH (miningweekly.com) – ASX-listed lithium player Lepidico has signed a binding term sheet with fellow-listed Maximus Resources to earn a 75% interest in the lithium rights of the Spargoville gold project, in Western Australia.
The lithium rights will be known as the Moriarty lithium project.
The project is estimated to contain several known occurrences of lithium-caesium-tantalum type pegmatites, including lithium-mica.
Under the terms of the agreement, announced on Monday, Lepidico will pay Maximus A$80 000 in shares, with the shares to be priced at a five-day volume-weighted average price.
Six months after executing the agreement, Lepidico will pay a A$120 000 in either cash or shares, and will pay a further A$150 000 in either cash or shares 12 months after the acquisition.
Lepidico can choose to take full ownership of the Moriarty project at any time within three years of the third payment, by paying an additional A$400 000 in either cash or shares, or a combination of both.