One of the world‘s largest lithium resources on the horizon?

ZURICH, SWITZERLAND / ACCESSWIRE / August 18, 2016 / Today, Stephan Bogner from Rockstone Research published an update on MGX Minerals Inc. (CSE: XMG) as the company has become the single largest owner of lithium brine properties in Alberta (Canada). MGX announced earlier today to have acquired 100% in the Sturgeon Lake Lithium Brine Property. Before this acquisition, MGX’s land package spanned more than 300,000 hectares – now another 133,000 hectares are added, whereas Sturgeon is considered as one of the most advanced lithium projects in the province.

The previous operator completed a non-compliant resource estimate earlier this year, including 2 million tonnes of lithium carbonate equivalent (in-situ value of $40 billion USD @ $20,000 USD/t). The estimate was not compliant with NI43-101 because the operator did not have an economic process to make the estimate relevant. In June,MGX acquired the intellectual property and design rights to a proprietary processing design, which proposes to reduce lithium brine evaporation times by >99% over standard solar evaporation pond processes (from approximately 18 month to 1 day).

The design was developed as part of the previously announced Design & Scoping Study for MGX’s highly mineralized lithium brine properties in Alberta, which include 14 of the 24 highest grade (>90 mg/L) lithium assays thoughout the province, as reported by the Alberta Geological Service. Thus with its own processing design, MGX may be able to quickly prove Sturgeon’s estimate as compliant (and relevant), and as such may soon be officially classified as the owner of one of the world’s largest (compliant) lithium resources.

The primary driver for MGX Minerals Inc. to advance its large oil field brine projects in Alberta is the high price of lithium carbonate, tripling from $7,000 to $21,000 USD/t, which approximates 50 mg/L now being equivalent to 150 mg/L lithium a year ago. Hence, large but “low-grade” lithium brines have become highly interesting all of the sudden. As MGX owns a potentially robust industrial process with a rapid evaporation technology in hand, today’s acquisition of an advanced lithium project (i.e. a known brine profile) may turn out as a perfect match for MGX going forward. MGX appears well on track to progress through acquisition and process development, as opposed to traditional exploration.

The full report can be accessed with the following links:

English (PDF):

http://rockstone-research.com/images/PDF/MGX9en.pdf

English (web version):

http://rockstone-research.com/index.php/en/research-reports/1479-One-of-the-worlds-largest-lithium-resources-on-the-horizon

German (PDF):

http://rockstone-research.com/images/PDF/MGX9de.pdf

For Android smartphones, an APP is available
from Rockstone Research in the GooglePlayStore.

Disclaimer: Please read
the full disclaimer within the full research report as a PDF as fundamental
risks and conflicts of interest exist.

SOURCE: Rockstone Research

ReleaseID: 443976