Rock Tech Enters Option Agreement to Acquire 100% Interest in Quebec Graphite Property
(via Thenewswire.ca)
Vancouver, British Columbia, Canada, May 30, 2012 - Rock Tech Lithium Inc. (TSX-Venture: RCK; Frankfurt: RJIA; Pink Sheets: RCKTF) (the "Company" or "Rock Tech") is pleased to announce that it has entered into an option agreement (the "Agreement"), subject to the approval of the TSX Venture Exchange (the "Exchange"), whereby the Company can acquire a 100% interest in a graphite property ("Option Property"), located in southwestern Quebec, from UniMera Holding Public Ltd. (the "Vendor").
The Option Property is prospective for large flake, crystalline graphite and has an historic record of exploration for graphite mineralization and production. The Option Property consists of 32 mineral claims, covering 1,922.75 hectares (19.23 square kilometres) in the Buckingham Region of Lochaber Township, 45 kilometres to the northeast of Gatineau, Quebec. Geologically, the graphite occurrences are found in Grenville series of paragneiss and crystalline limestone / marble rocks, and are classified as vein type, fracture filling, cavities, pockets and stockwork bound to shear zones. Over an area of 2 kilometres wide by 8 kilometres long, there are three occurrences (the "McLaren", "Kelly" and "Burke") and two past producing mines (the "Mayo" and the "Plumbago").
The Agreement to acquire a 100% interest in the Option Property is subject to a 3% net smelter royalty ("NSR") and includes the following payment and share issuance to the Vendor:
-CAD$20,000 cash payment upon execution of the Agreement (of which payment has been made);
-CAD$60,000 cash payment and 1,800,000 common shares of Rock Tech within 3 business days from the date of Exchange acceptance;
-CAD$60,000 cash payment and 1,100,000 common shares of Rock Tech on or before the date that is 12 months from Exchange acceptance;
-CAD$60,000 cash payment and 1,100,000 common shares of Rock Tech on or before the date that is 18 months from Exchange acceptance.
In addition to the payments and share issuance, the Company must incur an aggregate of CAD$300,000 of exploration work on the Option Property on or before the date that is twelve (12) months from the date of Exchange acceptance. At any time on or before the commencement of commercial production, 2% of the NSR may be repurchased for a sum of CAD$2.0 million (CAD$1.0 million per 1% NSR).
Company President and CEO, Eunho Lee, commented, "The acquisition of the highly prospective graphite property aligns with the Company's objective of diversifying its asset base in the advanced technology materials category. With the emergence of large flake graphite use in lithium-ion batteries and fuel cells, along with its many other technology-driven applications such as the use of carbon fibre in the auto and aviation sectors, adding a complementary asset to our portfolio of lithium projects positions Rock Tech with the potential of providing an integrated mix of materials for the high tech and alternative energy sectors."
The technical information contained in this news release has been reviewed by Afzaal Pirzada, P.Geo., Vice President, Exploration of the Company and a Qualified Person as defined in NI 43-101.
On behalf of the Board of Directors,
"Eunho Lee"
Eunho Lee
Director, President and CEO
For more information, please contact:
Sean Davis
Investor and Public Relations
789 West Pender Street, Suite 1205
Vancouver, B.C., V6C 1H2
Telephone: (604) 688-1140, ext. 227
Facsimile: (604) 688-1173
Email: sdavis@rocktechlithium.com
Disclaimer and Cautionary Statement Regarding Forward-Looking Information
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this press release. This news release shall not constitute an offer to sell or the solicitation of an offer to buy securities in any jurisdiction.
All statements, trend analysis and other information contained in this press release relative to markets about anticipated future events or results constitute forward-looking statements. Forward-looking statements are often, but not always, identified by the use of words such as "seek", "anticipate", "believe", "plan", "estimate", "expect" and "intend" and statements that an event or result "may", "will", "should", "could" or "might" occur or be achieved and other similar expressions. Forward-looking statements are subject to business and economic risks and uncertainties and other factors that could cause actual results of operations to differ materially from those contained in the forward-looking statements. Forward-looking statements are based on estimates and opinions of management at the date the statements are made. The Company does not undertake any obligation to update forward-looking statements even if circumstances or management's estimates or opinions should change. Investors should not place undue reliance on forward-looking statements.
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