HLM Fulfills Obligation Under Acquisition Agreement Now Owning 100% of Pak Lithium Project Properties
Sudbury, Ontario (FSCwire) - Houston Lake Mining Inc. (TSX.V: HLM), is a mining exploration company which is actively exploring for rare metals lithium, tantalum, rubidium and cesium by currently advancing its 100% owned PAK Lithium Project in northwestern Ontario, Canada. HLM today reported that it has fulfilled its obligations under an asset purchase agreement (the “Agreement”) dated effective December 8th, 2010 with two arm’s length parties (the ”Vendors”), to acquire 100% ownership in certain mineral properties located in the Red Lake mining district of northwestern Ontario (PAK Southeast Properties).
HLM issued 600,000 common shares and payed $135,000 CAD over the course of 5 years without any exploration expenditure guarantees to earn a 100 percent property ownership from two private individuals. A 2.5 percent (2.5%) Net Smelter Royalty (“NSR”) remains in place on the 3 properties whereby HLM is entitled to purchase back one and a half percent (1.5%) at any time. The 3 properties cover the potential of a south to east down-plunge extension of the Pakeagama Lake pegmatite deposit.
The PAK Lithium Project consists of thirty-three (33) adjoining mineral claims totaling 6,976 hectares (17,238 acres) that is owned 100% by HLM and hosts the Pakeagama Lake pegmatite, one of the highest grade lithium deposits in North America. Development work, including metallurgical and environmental baseline studies have been underway for the preparation of a 2016 pre-feasibility based on producing technical grade lithium concentrates required in the glass-ceramic industry.
About the PAK Lithium Project
The PAK Lithium Project lies close to the boundary between two geological sub-provinces of the western Superior geologic province in northwestern Ontario and hosts a rare metals pegmatite deposit. The deposit is an LCT (lithium- cesium- tantalum) type pegmatite. These types of pegmatites have been the principal source of hard rock lithium, tantalum, rubidium and cesium ores mined in the world but there are comparatively few commercially-viable deposits.
HLM is actively exploring its 100% owned and optioned project which contains the Pakeagama Lake pegmatite. The deposit is one of the highest grade lithium deposits in North America which has a current Measured and Indicated Resource of 7.89 million tonnes of 1.73% Li2O Eq. and Inferred Resource of 295,600 tonnes of 1.35% Li2O Eq. which has a technical/ceramic grade spodumene with low inherent iron (below 0.1% Fe2O3). The deposit has adjacent zones that are enriched in rubidium and tantalum. HLM is also evaluating the phased co-production of tantalum and mica-product concentrates once lithium mineral production has been commercialized.
The deposit now has a known 500m strike length with an estimated true width varying from 10m to 125m with a sub-vertical orientation. The resource remains open to depth and along strike to the northwest and southeast.
About Houston Lake Mining Inc.
HLM’s goal is to become a fully integrated lithium, rubidium and tantalum producer with development of the PAK Lithium Project in Ontario, Canada. Based on the PAK deposit’s high-purity, technical-grade spodumene, a relatively lower capital requirement to enter in to the lithium supply market is possible by firstly becoming a technical-grade lithium concentrate supplier. HLM is focused on a staged approach to indirectly participate in the burgeoning lithium battery industry by taking advantage of the disruptive change to market fundamentals by targeting the ceramic-glass industry (industrial users). Currently, the glass/ceramics segment is the second largest in total lithium demand whereby supply pressure is taking place due to the threat of lithium battery growth.
HLM has a total of 119,301,940 common shares issued and outstanding. For additional information, please visit the company website at www.houstonlakemining.com.
Company Contact Information
| Trevor R. Walker, President | Henry J. Kloepper, CEO |
| 2736 Belisle Drive | T. +001 416.520.0187 |
| Val Caron, ON. | |
| P3N 1B3 CANADA | |
| T.+001 705.897.7622 | |
| F.+001 705.897.7618 |
Forward-looking Statements
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 release. This release includes certain statements that may be deemed “forward-looking statements”. All statements in this release, other than statements of historical facts, that address future production, reserve potential, exploration drilling, exploitation activities and events or developments that the Company expects are forward-looking statements. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in the forward-looking statements. Factors that could cause actual results to differ materially from those in forward looking statements include market prices, exploitation and exploration successes, continued availability of capital and financing, and general economic, market or business conditions. Investors are cautioned that any such statements are not guarantees of future performance and those actual results or developments may differ materially from those projected in the forward-looking statements. For more information on the Company, Investors should review the Company’s registered filings what are available at http://www.sedar.com
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Source: Houston Lake Mining Inc. (TSX Venture:HLM) http://www.houstonlakemining.com/
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