Argentina Lithium Strengthens Amelia Option Agreement
Argentina Lithium & Energy Corp. (TSXV: LIT) (FSE: OAY3) (OTCQB: LILIF) is thrilled to share that it has successfully amended the Option Agreement known as the Fourth Addendum. This new update modifies the terms of the existing Amelia Option Agreement, allowing the company to enhance its operations and strategic investments in the lithium sector.
Details of the Fourth Addendum
The Fourth Addendum establishes the valuations for Option Shares to be issued under this updated agreement, confirming Argentina Lithium's commitment to advancing its projects. Historically, on March 31, 2022, Argentina Lithium's subsidiary, ALE, engaged in the Amelia Option Agreement to acquire a complete interest in three mine concession properties, covering 5,411 hectares.
Previous Amendments and Payment Schedule
In a previous amendment, known as the Third Addendum, which took place on March 10, 2025, the terms regarding the payment and investment schedule were adjusted. Future cash payments to the Amelia Optionor are outlined and must be completed by specific deadlines:
- US$400,000 by December 31, 2025,
- US$500,000 by June 30, 2026,
- US$600,000 by December 31, 2026, and
- US$620,000 by June 30, 2027.
Besides the cash payments, ALE is dedicated to investing a total of US$6 million across the Amelia properties during the years 2026 and 2027. This investment demonstrates the company’s ambition to maintain competitive advantage in the booming lithium market.
Issuance of Option Shares
According to the Fourth Addendum, Argentina Lithium must also issue a number of shares equal to a value of US$100,000 to the Amelia Optionor. The price per share is set at $0.06, utilizing the Bank of Canada's exchange rate from the time of the Third Addendum. This share issuance is contingent upon approval from the TSX-V.
About Argentina Lithium & Energy Corp.
Argentina Lithium & Energy Corp is committed to acquiring premier lithium projects primarily focused on meeting the growing global demand fueled by the battery sector. The company, supported by a significant strategic investment from Peugeot Citroen Argentina S.A., a Stellantis N.V. subsidiary, is ideally positioned to explore and advance its lithium projects across an expansive area of over 70,000 hectares within the Lithium Triangle. Management reflects extensive success and experience in developing resource projects that cater to the evolving needs of the lithium market.
Exploring Future Opportunities
The continuous developments within the lithium sector signify an exciting journey ahead for Argentina Lithium. By nurturing its existing assets and fostering investments, the company is poised for potential growth and sustainability. With management's pronounced history of success in resource development, the organization aims to capitalize on its opportunities in the vibrant lithium industry.
Frequently Asked Questions
What is the Amelia Option Agreement?
The Amelia Option Agreement allows Argentina Lithium to acquire a 100% interest in several lithium mine concession properties located in Argentina.
What does the Fourth Addendum include?
The Fourth Addendum modifies the original Amelia Option Agreement, detailing the payments and structuring share issuance to the Amelia Optionor.
What is the total investment required by ALE for 2026 and 2027?
ALE is required to invest a total of US$6 million in the Amelia Properties over the years 2026 and 2027.
What are the cash payment deadlines under the agreement?
ALE must make several cash payments between December 2025 and June 2027 as part of the agreement.
How does the strategic investment impact Argentina Lithium?
The strategic investment from Peugeot Citroen Argentina S.A. places Argentina Lithium in a favorable position to further its exploration and development efforts in the lithium sector.
