07/19/2016 Corporate News

American Lithium Successfully Completes 6 Shallow Auger Drill Holes – Produces Brine at Fish Lake Valley Lithium Brine Project, Nevada

  • Samples from near surface auger drill holes on the North Bowl Playa, Fish Lake Valley Lithium Brine Project have been shipped to lab for lithium assays
  • Near surface auger drilling and sampling program is also planned in the South Bowl Playa, Fish Lake Valley Lithium Brine Project
  • Fish Lake Valley Basin Model is being updated with additional geophysical data which, combined with the near surface brine drill hole data, will define direct Push and reverse circulation drill targets to be drilled later this summer.

American Lithium Corp(TSXV: Li) (OTCQB: LiACF) (Frankfurt: 5LA; WKN: A2AHEL) (“American Lithium” or the “Company”), is pleased to announce that it has successfully completed 6 initial shallow (2 m ) auger drill holes as part of its Phase 2 exploratory drilling program on the North Bowl Playa in its Fish Lake Valley lithium brine project, Esmeralda County, Nevada. The auger drill holes targeted infill drilling in areas of interest from the 2010-11 Phase I exploration and as well as extensions of those areas.

The near surface auger program is the first of three drill stages planned during the 2016 Fish Lake Valley Exploration Program and will be followed by direct push drilling and finally a reverse circulation drill program to a total depth of up to 500 feet. A total of 13 drill locations have been permitted for the direct push and reverse circulation drill programs. Together, the overall drill program will give a comprehensive understanding of the lithium content of playa soils and brines, along with other potentially economically important minerals, as well as porosity and permeability of lithium bearing brine aquafers within the North and South Bowl Playas of the Fish Lake Valley lithium brine project.

“American Lithium’s team have been developing the Fish Lake Valley lithium brine target for over 8 years and are excited to begin this Phase of the program on its North Bowl Playa lithium brine project,” commented Michael Kobler, CEO of American Lithium. “The planned near surface drilling on the South Bowl Playa lithium brine project is the first program to explore the Company’s expanded target package in Fish Lake Valley, Nevada, where the Company controls over 18,550 contiguous acres.”

With the completion of the North Bowl Playa near surface program, the program will move to the South Bowl Playa of the Fish Lake Valley lithium brine project to follow-up on published USGS drill data. Assays from both projects are expected to follow in four to six weeks. This information will be integrated with our ongoing gravity survey currently being conducted by Dr. John Oldow, Director of the Ellison Miles Center for Geological Field Studies at the University of Texas, Dallas, to further define our drill targets for the Company’s second stage drill programs.

American Lithium has an 18,552 acre (7,508 hectare) claim package in Fish Lake Valley that encompasses both the North Bowl Playa which has seen near surface brine sampling in 2010-11, (see summary notes below), as well as the South Bowl Playa which has had anomalous drill results from former USGS drilling. The Fish Lake Valley basin is geologically very similar to the Clayton Valley basin which is only 38km to the southeast and the location of North American’s only Lithium producer, Albemarle’s Silver Peak lithium brine operation.

Phase 1 Exploration Program Results

  • Near-surface brine sampling outlined a broad lithium /boron/potassium anomaly on the northern portions of the northern playa, roughly 1.3 x 2 miles long, which has a smaller higher grade core which ranges from 100 to 150 mg/L lithium (average 122.5 mg/L), 1,500 to 2,670 mg/L boron (average 2,219 mg/L), and 5,400 to 8,400 mg/L potassium (average 7,030 mg/L).
  • A direct push drill program was conducted on the northern end of the playa, with 1,240.58 feet (378.09 meters) of drilling in 20 holes at 17 discrete sites, over an area of 3,356 feet (1,023 meters) by 2,776 feet (846 meters). Drilling ranged from 34 feet (10.36 meters) to 81 feet (24.69 meters), and averaged 62 feet (18.90 meters). Average grades of all samples are 47.05 mg/L lithium, 992.7 mg/L boron, and 0.535% potassium respectively, with lithium values ranging from 7.6 mg/L to 151.3 mg/L, boron ranging from 146 to 2,160.7 mg/L, and potassium ranging from 0.1 to 1.3%.
  • The anomaly outlined by the program is 1,476 by 2,461 feet (450 meters by 750 meters), and is open to expansion to the east and to the south. A 50 mg/L lithium cutoff is used to define this anomaly with average grades of 90.97 mg/L lithium, 1,532.92 mg/L boron, and 0.88% potassium respectively.

Michael Collins, P.Geo. is the Company’s designated Qualified Person within the meaning of National Instrument 43-101, and has reviewed and approved the technical information contained in this news release.

For further information, contact Michael Kobler at info@americanlithiumcorp.com

ABOUT American Lithium Corp.

American Lithium Corp. is actively engaged in the acquisition, exploration and development of lithium deposits within mining-friendly jurisdictions throughout the Americas. American Lithium holds options to acquire Nevada lithium brine claims totaling 22,332 acres (9,038 ha), including 18,552 contiguous acres (7,508 ha) in Fish Lake Valley, Esmeralda County; 2,240 acre (907 ha) San Emidio Project in Washoe County; and the 1,540 acre (623 ha) Clayton-Valley-1 Project. The Company’s Fish Lake Valley lithium brine properties are located approximately 38 kilometers from Albemarle’s Silver Peak, the largest lithium operation in the U.S., approximately 3.5 hours from the Tesla Gigafactory. American Lithium is listed on the TSXV under the trading symbol “Li”. For further information, please visit the Company’s website at www.americanlithiumcorp.com.

On behalf of the Board,

American Lithium Corp.

Michael Kobler, Chief Executive Officer

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Forward-looking statements

Statements in this release that are forward-looking information are subject to various risks and uncertainties concerning the specific factors disclosed here. Information provided in this document is necessarily summarized and may not contain all available material information. All such forward-looking information and statements are based on certain assumptions and analyses made by American Lithium management in light of their experience and perception of historical trends, current conditions and expected future developments, as well as other factors management believes are appropriate in the circumstances. These statements, however, are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking information or statements. Important factors that could cause actual results to differ from these forward-looking statements include those described under the heading “Risks Factors” in American Lithium’s most recently filed MD&A. The Company does not intend, and expressly disclaims any obligation to, update or revise the forward-looking information contained in this news release, except as required by law. Readers are cautioned not to place undue reliance on forward-looking information or statements.