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Alset Energy Resolves Land Tenure Discrepancies on Lithium Concessions in Mexico

T.BBD.A

THUNDER BAY, ONTARIO--(Marketwired - May 24, 2016) - Alset Energy Corp. (TSX VENTURE:ION) ("Alset" or "the Company") would like to update shareholders regarding the recent trading halt on the Company's shares. As part of the due diligence being conducted on the mineral concessions held by Litio Mex, S.A.de C.V. (the "Optionor") pursuant to the recently executed binding Letter of Intent ("LOI") (See Alset PR dated May 10, 2016), the Company engaged legal counsel in Mexico to verify title and status of the concessions included in the LOI. Certain discrepancies were brought to the attention of the Company that required further verification with the Optionor and the requisite State and Federal governing bodies in Mexico. As a result, the Company requested that trading of its shares be halted while this verification was completed. The Company is pleased to inform shareholders that the Optionor's initial representations to the Company regarding ownership were accurate and the issue relating to title has been resolved to the satisfaction of the Company.

Alset can acquire any or all of the concessions by paying any outstanding taxes owed on any or all mineral concessions that Alset would like to acquire, and;

By paying to the Optionor US$210,000 on the following schedule:

  • US$20,000 on the Company providing the Notice of satisfactory of the due diligence;
  • US$25,000 on first anniversary of signing the Definitive Agreement;
  • US$30,000 on second anniversary of signing the Definitive Agreement;
  • US$35,000 on third anniversary of signing the Definitive Agreement;
  • US$40,000 on fourth anniversary of signing the Definitive Agreement; and
  • US$60,000 on fifth anniversary of signing the Definitive Agreement

The property will be subject to a 2.25% NSR in favour of the Optionor of which 1% can be purchased by the Company for US$250,000. Alset has agreed to pay a finders' fee to a third party of 10% based on the value of the option.

The proposed acquisition remains subject to TSX.V and regulatory approvals.

Alset is well funded with approximately $1 million in cash.

Clinton Barr (P.Geo.), V.P. Exploration for Alset Energy Corp, is the qualified person responsible for this release.

On behalf of the Board of Directors of Alset Energy Corp.,

Stephen Stares, President

THE TSX VENTURE EXCHANGE HAS NOT REVIEWED AND DOES NOT ACCEPT RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.

The information contained herein contains "forward-looking statements" within the meaning of applicable securities legislation. Forward-looking statements relate to information that is based on assumptions of management, forecasts of future results, and estimates of amounts not yet determinable. Any statements that express predictions, expectations, beliefs, plans, projections, objectives, assumptions or future events or performance are not statements of historical fact and may be "forward-looking statements."

Forward-looking statements are subject to a variety of risks and uncertainties which could cause actual events or results to differ from those reflected in the forward-looking statements, including, without limitation: risks related to failure to obtain adequate financing on a timely basis and on acceptable terms; risks related to the outcome of legal proceedings; political and regulatory risks associated with mining and exploration; risks related to the maintenance of stock exchange listings; risks related to environmental regulation and liability; the potential for delays in exploration or development activities or the completion of feasibility studies; the uncertainty of profitability; risks and uncertainties relating to the interpretation of drill results, the geology, grade and continuity of mineral deposits; risks related to the inherent uncertainty of production and cost estimates and the potential for unexpected costs and expenses; results of prefeasibility and feasibility studies, and the possibility that future exploration, development or mining results will not be consistent with the Company's expectations; risks related to gold price and other commodity price fluctuations; and other risks and uncertainties related to the Company's prospects, properties and business detailed elsewhere in the Company's disclosure record. Should one or more of these risks and uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those described in forward-looking statements. Investors are cautioned against attributing undue certainty to forward-looking statements. These forward looking statements are made as of the date hereof and the Company does not assume any obligation to update or revise them to reflect new events or circumstances. Actual events or results could differ materially from the Company's expectations or projections

Alset Energy Corp.
Stephen Stares
(807) 475-7474
(807) 475-7200
www.alsetenergy.ca



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