American Lithium Minerals, a U.S. based mineral exploration company currently working on lithium and boron opportunities in Nevada, has announced a $500,000 private placement in the form of a secured promissory note. The note carries an annual interest rate of 4%, and is convertible into 1,851,851 common shares of the company, with a one-year warrant to purchase up to 1,851,851 additional common shares at $0.27 per share.
American Lithium is primarily focused on identifying and developing lithium projects in Nevada and Utah, based upon the increasing demand for rechargeable lithium-ion batteries to serve the growing hybrid and electric car market. The company’s wholly-owned Borate Hills Project in western Nevada covers 3,400 acres of high lithium value land, with easy road access and nearby rail and power. It’s considered one of the world’s premier lithium projects for future development, especially considering Nevada’s pro-mining orientation. It is also ranked as the second largest boron deposit in the U.S. The company’s goal has been to develop the project, along with other lithium brine exploration projects, through cooperative agreements with international partners.
The annual global market for lithium-ion batteries is estimated at over $4 billion, with demand for lithium carbonate expected to increase four-fold over the next ten years with the continued expansion of the hybrid and electric car market. The government’s energy plan, with its goal of significantly reducing the country’s dependence on foreign oil, is based largely on the successful development of lithium battery technology. The U.S. currently has only one lithium carbonate producer, located near American Lithium’s Borate Hills project. It is clear that additional domestic lithium resources are required if the country wants to avoid risking the same foreign dependence as with oil.
For additional information, visit the company’s website at www.AmericanLithium.com