lithium Extraction Technology…BINGO 🇺🇸 Great TAX Loss Sale Today.....Strong Hands entering
Goat completes Li extraction tech licence acquisition
2022-10-27 14:18 ET - News Release
An anonymous director reports
GOAT INDUSTRIES ACQUIRES CANADIAN LICENSE FOR LITHIUM SOLVENT EXTRACTION TECHNOLOGY
Further to Goat Industries Ltd.'s press releases dated Sept. 14, 2022, and Sept. 29, 2022, the company has completed its acquisition of 1000288601 Ontario Inc. (Ontario Co.). In consideration for the transaction, the Company has issued 45,000,000 common shares at a deemed price of $0.025 per share (the "Consideration Shares") to the existing shareholders of Ontario Co (the "Shareholders").
With the acquisition, GOAT now controls a license for use of lithium solvent extraction technology (the "Technology") in Canada from Australia-based Ekosolve Ltd. ("Ekosolve").
The Technology is the culmination of four years of research and development by the faculty at the University of Melbourne's Chemical Engineering Department. The Technology is positioned as a more cost-effective extraction technology than fractional crystallization, membrane filtering, MOF's, adsorption, reverse osmosis, and ion exchange.
GOAT intends on leveraging the license for the Technology to pursue commercial relationships with prospectors, explorers and producers in the lithium brine sector.
The Technology is expected to efficiently manage the processing of lithium brines to produce lithium chloride or lithium carbonate with a grade higher than 99.5% and a recovery of more than 95%.
One of the key advantages of the Technology is the high rate of lithium yield targeting, which in some instances has been shown to be over 95%. Operating costs have also been shown to be reduced by more than 90%, as much of the solvent is reclaimed. Other systems, such as adsorption traditionally achieve between 72-80% yield, fractional crystallization of 50-70%, and ion exchange up to 80%. Further, evaporation ponds are not required, which the Company believes will provide an eco-friendlier solution than traditional extraction processes.
The license to the Technology is currently held by Ontario Co, and entitles Ontario Co to utilize the Technology within Canada on a non-exclusive basis for a period of twenty years. With the consent of Ekosolve, Ontario Co may also sublicense the Technology to third-parties. In consideration for the license, Ontario Co is required to pay an ongoing fee of five percent of the net sales of lithium chloride or lithium carbonate produced and sold utilizing the Technology.
The Transaction was completed pursuant to a share purchase agreement entered into amongst the Company, Ontario Co and the Shareholders dated October 24, 2022. The Company is at arm's length from Ontario Co and the Shareholders. The acquisition of Ontario Co neither constitutes a fundamental change, nor a change of business for the Company, nor has it resulted in a change of control of the Company within the meaning of applicable securities laws and the policies of the Canadian Securities Exchange. No finders' fees or commissions were payable in connection with the acquisition of Ontario Co.
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