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NRG Metals Inc. (the “Company”) (“NRG” or the “Company”) (TSX-V:NGZ) (OTCQB:NRGMF) (Frankfurt:OGPN), is pleased to announce that it has entered into a Letter of Intent (“LOI”) with Chengdu Chemphys Chemical Industry Co., Ltd. (“Chemphys”) located in Chengdu, China, regarding the further exploration and development of the Hombre Muerto North Lithium Project (“HMNLP”). The LOI also includes …
NRG Metals Inc. (the “Company”) (“NRG” or the “Company”) (TSX-V:NGZ) (OTCQB:NRGMF) (Frankfurt:OGPN), is pleased to announce that it has entered into a Letter of Intent (“LOI”) with Chengdu Chemphys Chemical Industry Co., Ltd. (“Chemphys”) located in Chengdu, China, regarding the further exploration and development of the Hombre Muerto North Lithium Project (“HMNLP”). The LOI also includes a Lithium Offtake Sales Agreement and various other terms as discussed below.
As quoted in the press release:
The purpose of the LOI is to combine the development expertise of NRG, with the high purity processing expertise of Chemphys. As a part of this process, the two parties intend to complete a private placement as described below for the financing of the HMNLP, which is currently under exploration. The intent is to quickly evaluate the project, and if deemed feasible (upon the completion of exploration and due diligence, and satisfactory studies which may include a Preliminary Economic Assessment), rapidly move the project into production. In addition, NRG has agreed to an off-take agreement with Chemphys for the sale of any lithium produced at HMNLP, as well as a first right of refusal and first right of offer for the sale of lithium produced at any other projects that NRG moves forward, board representation and certain anti-dilution provisions and a use of proceeds agreement.
