Wednesday, September 12, 2012

Lithium Corp. (LTUM) Applies for Canadian National Stock Exchange Listing Amid Consolidating Industry Dynamics

Lithium Corporation, the junior mineral development firm focused on its primary suite of three wholly-owned prospects in Nevada, each with a defined lithium/brine surface target and quantifiable lithium anomalies, was happy to report successful execution today of a key step towards listing on the Canadian National Stock Exchange (CNSX) via the filing of an application with the BC Securities Commission (BCSC).

LTUM has also filed a Preliminary Long Form Prospectus with the BCSC in support of this move, which includes a 43-101 report (James Chapman, P. Geo) on the company’s flagship Fish Lake Valley prospect that should help solidify the listing move considerably, resulting in a huge boost to the company’s overall exposure. Canadian equity markets are so bullish on commodities and mining that the move seems like a real no-brainer for LTUM, whose shareholders will benefit handsomely from the increased liquidity and equity financing options created thereby.

Fish Lake Valley has shown considerable lithium buildup in the roughly 6,400 acres of placer claims (with secondary potassium and boron), with near identical geology to Chemtall Foote’s Silver Peak operation 22 miles southeast. Evaporative brine mining is quite easy by comparison with hard rock extractions, and the surficial lithium enrichment at Fish Lake Valley looks on par with Silver Peak in all respects, even drawing comparison to the lithium-rich salars (salt flats) in Chile and elsewhere.

Given the unprecedented rise in demand for lithium in recent years because of how essential it is for the long-life batteries found in nearly every portable electronic device made today, including mobile smartphones, laptops, and tablet computers, LTUM is ingeniously positioning itself in domestic lithium production ahead of the obvious future trend. What with electric vehicles set to become increasingly predominant moving forward, we will see another mounting vector in the lithium bottom line alongside smart mobile device proliferation. As onboard power demands increase across a rapidly expanding product space, the need for lithium will go supernova and LTUM is putting shareholders in the pole position to win the domestic lithium race, even as global supplies dwindle and exporters like China talk about curbing availability.

Chapman’s analysis of Fish Lake Valley roundly confirms that the site is in better shape than back in July when the company last visited the playa and that the site should be dry enough after the fall to bring in drilling equipment, with late October or early November looking like a good start window. The 0.5 sq mile focus area for drilling shows strong lithium levels (up to 140 mg/L) with excellent boron (2500 mg/L) and potassium (7200 mg/L) concentrations and sits inside a larger 1.5 by 1 mile area exhibiting similar, if less pronounced, lithium and boron concentrations.

Turning to the company’s other key project in Nevada, the some 1,600-acre block of claims that make up the San Emidio prospect, we see LTUM having staked out yet more claims on the resource-rich playa, with ongoing efforts to amend the BLM permit for further drilling. Previous values of 23.7 mg/L, with high calcium/potassium secondary targets from early 2012′s drilling, taken in context with the brine sampling returns from last year showing 66.4 mg/L, heighten the exceptional logistics available. After all, San Emidio is just 60 miles northeast of Reno and is just 8 miles off Nevada State Highway 447; the localized support for mining operations is abundant. On-site geothermal power is available via a generation plant on the south end of the prospect as well, making the San Emidio prospect particularly self-sufficient.

The company also has the Salt Wells property, acquired via staking a 12,320-acre parcel covering Eightmile Basin up near Fallon, with returns from sediment sampling on the property showing around 750 ppm Li.

Brine lithium is a cheap and easy, environmentally-friendly target for LTUM and this move to list on the Canadian exchange should open up merger options as well in an industry that is rapidly consolidating, something which could prove quite lucrative for LTUM shareholders who stand to gain from the merger mania.

For more information on today’s announcement, or to learn more about Lithium Corp., please visit the company’s website at: www.LithiumCorporation.com

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