VANCOUVER, Oct. 3, 2018 /CNW/ - Rock Tech Lithium Inc. (the "Company" or "Rock Tech") [(TSX-V: RCK) (Frankfurt: RJIB) (WKN: A1XF0V)], at the request of the Investment Industry Regulatory Organization of Canada ("IIROC"), clarifies certain statements made in a news release distributed on October 2, 2018, disclosing the results of a Preliminary Economic Assessment ("PEA") at its flagship 100%-owned Georgia Lake lithium property in the Thunder Bay Mining District of Northwest Ontario, Canada.
The news release included a reference to Earnings Before Interest, Taxes, Depreciation and Amortization ("EBITDA") which is a non-International Financial Reporting Standards ("IFRS") financial measure. For clarification, the average annual Net Income from the project is estimated to be $39.9 million.
The production scenario contemplated in the PEA and disclosed in the press release called for total production of 1.1 million tonnes of chemical grade (6.2%) spodumene concentrate. This is based on a portion of the Measured, Indicated and Inferred resources included in the Company's Technical Report dated August 10, 2018, prepared by DMT. This technical report estimated the resources at Rock Tech's Georgia Lake property, with a cut-off of 0.65% Li2O, to be as follows:
- Measured & Indicated: 6.57 million tonnes grading 1.01% lithium oxide ("Li2O");
- Inferred: 6.72 million tonnes grading 1.16% Li2O.
After applying pit optimization, a lower cut-off grade of 0.55% Li2O was used for the open-pit operations with a cut-off grade of 0.65% Li2O used for contemplated underground operations. The following resource was used as the basis for the calculations included in the PEA:
- Measured and Indicated: 7.66 million tonnes;
- Inferred: 2 million tonnes;
While the Company did not include all of the inferred resources delineated on the property, a portion was included in the PEA. The PEA is preliminary in nature, that it includes inferred mineral resources that are considered too speculative geologically to have the economic considerations applied to them that would enable them to be categorized as mineral reserves, and there is no certainty that the PEA will be realized.
The PEA includes the results of an economic analysis of mineral resources, mineral resources that are not mineral reserves do not have demonstrated economic viability.
All scientific and technical information in this news release was reviewed and prepared under the supervision of Karl-Stephan Peters, EurGeol 787, an independent Qualified Person to Rock Tech.
Rock Tech will file the Preliminary Economic Assessment on the System for Electronic Document Analysis and Data Retrieval ("SEDAR") within 45 days of this news release.
About DMT GmbH & Co. KG
DMT is a global consortium, providing interdisciplinary services in the Mining, Oil & Gas, Civil Engineering & Infrastructure and Plant Engineering markets with a client roster that includes Anglo American, BHP Billiton, OMV, E.ON, Schlumberger, De Beers and leading institutes such as The World Bank and the Asian Development Bank. DMT occupies 30 offices worldwide and belongs to the German certification agency TÜV NORD GROUP. To date, DMT has completed several thousand projects in over 150 countries, working in over 25 countries in a typical year.
About Rock Tech Lithium:
Rock Tech Lithium is an exploration company focused on acquiring and exploring properties in the field of lithium. The Georgia Lake Lithium project develops a lithium-rich pegmatite vein deposit for the purpose of mining. The deposit was discovered in the Thunder Bay Mining district in northwestern Ontario/Canada, close to the Lake Superior, as early as 1955. Rock Tech Lithium has been working increasingly on the property since 2016 – in a market environment, where the trend for electric cars on the international market has been rising steeply for years. Analysts expect that more than 25% of newly sold cars in 2025 will be electrified, with the demand for batteries and therefore battery metals such as lithium expanding rapidly.
On behalf of the Board of Directors of the Company,
Director, Chief Executive Officer
Neither 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.
Statements included in this announcement, including statements concerning our plans, intentions and expectations, which are not historical in nature are intended to be, and are hereby identified as, "forward‐looking statements". Forward-looking statements may be identified by words including "anticipates", "believes", "intends", "estimates", "expects" and similar expressions. The Company cautions readers that forward‐looking statements, including without limitation those relating to the Company's future operations and business prospects, are subject to certain risks and uncertainties that could cause actual results to differ materially from those indicated in the forward-looking statements.
SOURCE Rock Tech Lithium Inc.
For further information: Brad Barnett, Chief Financial Officer, Rock Tech Lithium Inc., 777 Hornby Street, Suite 600, Vancouver, B.C., V6Z 1S4, Telephone: (778) 358-5200, Facsimile: (604) 670-0033, Email: firstname.lastname@example.org