The Canadian mining company Green Shift Commodities announced that it had completed the acquisition of areas in Río Negro, Neuquén and Chubut for explore lithium in hard rock deposits. These are the shares he obtained from another Canadian mining company called LFP Resources, which It has some 300,000 hectares with potential in the three provinces. The works will begin around the municipality of Comallo.
Green Shift acquired all the outstanding shares of the other miner in exchange for a down payment of $75,000 and the issuance of 17,500,000 Canadian common shares at an estimated price of Cdn$0.14. The closing price of common shares on the TSX Venture Exchange agreed the day before the closing of the acquisition.
In addition, as part of the agreed settlement, Green Shift has the right to acquire some 200,000 additional hectares in the provinces. You will have the ability to make two separate option agreements for $50,000, coming down to $25,000 under each option agreement. From the signing they baptized the initiative as Proyecto Río Negro.
They explained that already established work programs to start “immediately”. The Canadian plans to mobilize field teams to Río Negro to begin its Phase 1 exploration program that will last three months. The work plan consists of prospecting, rock chip sampling and trenching in the highest priority areas located in the Río Negro Project.
They will use a LIBS analyzer (a laser induced breakdown spectroscopy), which provides a real-time estimate of lithium grade. Thus field teams will assess potential and prioritize targets for future work.
After the field teams samples will be sent from priority areas to determine the lithium grade to an independent certified laboratory. It is estimated that official laboratory tests usually take approximately six weeks. The Phase 1 work program is expected to concentrate on the areas surrounding the municipality of Comallo in the province of Río Negro.
Green Shift highlighted the potential of the lands: the project can cover more than 500,000 hectares with 19 separate pegmatite bodies identified with results of analysis of 60 samples of rock fragments. These were taken during the previous exploration of the project and range from 0.6% Li2O to 4.1% Li2O, with an average of 2.0% Li2O, ranges not yet confirmed by the firm.
The CEO and director of the mining company, Trumbull Fisher stressed that “we are delighted to announce the successful acquisition of the Río Negro lithium project in Argentina. This marks an important milestone for the miner as we continue to execute on our growth strategy and expand our presence in the lithium sector.” He added that they expect begin exploration “imminently”.
The new executive president of the mining company for the region, Peter Mullens, commented: “I am excited to assume the position of executive president of Green Shift following the closure of Río Negro. Argentina has exceptional potential for the discovery and production of lithium both in brine and hard rock. I look forward to helping guide the company to a successful future.”
The details of the lithium project in Río Negro
The lithium pegmatites in the area were «discovered and sampled in the 1960s by the Argentine governmentin addition to tens of additional kilometers” of areas with similar geological and geophysical characteristics, they commented from the firm.
Indeed, more than 800 structures have been mapped (possible pegmatite bodies) through the interpretation of satellite images in the MC pegmatite field. This work showed that the Identified structures have a total length of more than 100 kilometers. Green Shift stressed that the area is good access throughout the year and has “an extensive infrastructure.”
In previous dialogues with Energía On, the Río Negro Energy Secretariat had confirmed the announcement and explained that the companies that will operate on behalf of Green Shift They are Formentera SA and Electric Metals SA. These are the ones in charge of presenting the applications for mining rights.
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