Cruz Property
On November 10, 2016, the Company entered into a Definitive Agreement with Proyecto Pastos
Grandes S.A. (“PPG SA”), a wholly owned subsidiary of Millennial Lithium (TSX-V: ML), to be granted
an option to acquire an 80% interest in PPG SA’s Cruz property in the Pocitos salar basin in Salta
Province, Argentina. Under the terms of the Definitive Agreement, the Company may earn a 70%
interest in the property as follows:
Pay $150,000 prior to the execution of the agreement (paid);
Pay $50,000 upon execution of the agreement (paid);
Issue 540,000 shares to PPG SA or Millennial at a deemed price of $0.25 (issued on February
27, 2017;
Deposit $500,000 in exploration funds to a Joint Account upon the date that is earlier of: (i) the
day after the closing of the first tranche of the Company's private placement financing
announced on November 1, 2016 or (ii) November 30, 2016 (deposited);
Incur a minimum of $500,000 in exploration expenditures on or before October 1, 2017;
Pay the optionor $1,000,000 on or before October 1, 2017; and
Pay the optionor $1,000,000 on or before October 1, 2018.
An additional 10% interest in the property may be earned if the Company completes a bankable
feasibility study on or before six months after November 10, 2019.