European Lithium To Divest Non-Core Asset

European Lithium Limited (ASX: EUR, FRA: PF8, OTC: EULIF) (European Lithium or the Company) is pleased to announce it has entered into a binding term sheet for the sale of a 100% interest in tenement E47/4144 located in Northwest Western Australia (Tenement) that it considers a non-core asset, to BVI registered company Moosh Moosh Limited (Moosh)(Sale).

HIGHLIGHTS

• Sale of 100% interest in tenement E47/4144 located in North West Western Australia
• The sale provides the Company with $1M of liquid assets (cash and/or shares in an ASX listed company)
• The sale of non-core Australian tenement aligns with the Company’s strategy to invest in and develop European assets supporting the green energy transition

Under the terms of the Sale, the Company will receive consideration of $1M cash or equivalent in shares in an ASX-listed company in addition to retaining an entitlement to a 1% net smelter royalty on minerals extracted from the Tenement.

The sale is consistent with European Lithiums‘ strategy to realise value from its non-core assets and concentrate on European-based projects and Investments in the battery metals space.

KEY TERMS OF SALE

1. Consideration of AU$1,000,000 in cash or equivalent in shares in an ASX-listed company to be paid by Moosh on Settlement.

2. The Company shall be entitled to a 1% net smelter royalty on minerals extracted from the Tenement.

3. The Sale is expected to complete by no later than 29 September 2023, or at the satisfaction or waiver by Moosh of the Conditions Precedent.

4. Conditions Precedent include:

a. Completion of due diligence (DD) by both parties no later than 29 September 2023

b. Payment of AU$100,000 from Moosh to European Lithium for maintaining tenements in good order during the DD period. This amount will be refundable if the transaction does not complete.

Click here for the full ASX Release

This article includes content from European Lithium Limited, licensed for the purpose of publishing on Investing News Australia. This article does not constitute financial product advice. It is your responsibility to perform proper due diligence before acting upon any information provided here. Please refer to our full disclaimer here.