Wednesday, December 7, 2011

Li3 Energy, Inc. (LIEG) Signs LOI to Acquire Important Chilean Land Package

Li3 Energy, a South American based lithium-focused exploration and development company, announced that it has signed an LOI (letter-of-intent) to acquire 100% mining interests in one of the largest possible land packages available near the Maricunga Salar in northern Chile, South America. The LOI covers four projects: SLM Bongo, SLM Clarita, SLM Lithium, and SLM Corral, collectively comprising 74 mining concessions and covering a total of 9,257 hectares, or just under 36 square miles.

The SLM Clarita, SLM Bongo and SLM Lithium projects, totaling 1,507 hectares and 43 concessions, are classified as exploration concessions. The SLM Corral, totaling 7,750 hectares and 31 concessions, is just north of Li3’s Maricunga Project Base Camp, and could possibly serve as a site for a commercial processing facility and evaporation ponds. Upon closing, the arrangement would make Li3 Energy one of the largest exploration and land companies in the area, and one of the only companies conducting development work within Maricunga. It would also provide the company a major competitive barrier, effectively neutralizing the ability of other entities to acquire large land assets and encroach upon Li3’s Maricunga Project.

Li3 CEO, Luis Saenz, commented on the importance of the intended acquisition to Li3’s stated strategy: “Li3 continues to execute on every aspect of its business, exploration and development plan. We are very pleased to have signed this letter of intent for the Bongo, Clarita, Lithium and Corral Projects. These projects are representative of Li3′s overall strategy and if successful, upon development and commercialization, when combined with our flagship Maricunga Project, could bring us one step closer to our goal of becoming a low cost industrial minerals producer. We look forward to working together with the owners of SLM Bongo, SLM Clarita, SLM Lithium and SLM Corral, as we explore the synergies between our companies”.

The company’s goals are to:

• Support the global implementation of clean and green energy initiatives
• Meet growing lithium market demand
• Become a mid-tier, low cost supplier of lithium, potassium nitrate, iodine, and other strategic minerals, serving global clients in the energy, fertilizer, and specialty chemical industries

For more information, see the company website at www.LI3energy.com

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