Vancouver, October 13, 2021 - Origen Resources Inc. (CSE: ORGN) (FSE: 4VXA) (the "Company" or "Origen") is pleased to announce that it has entered into an agreement to acquire the prospective Lithium bearing Los Sapitos salar in San Juan Province Argentina from two private individuals. The current claim package totals 26,962 hectares (ha) and is located in the northern portion of San Juan Province along a relatively unexplored tectonic corridor. A series of salars, hot springs and geysers are situated within this tectonic corridor and is geologically analogous to well-known lithium bearing environments in Salta and Jujuy provinces.
Figure 1: Location Map of Los Sapitos
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Limited sampling of brine on the property during the rainy season in 2018 returned a value of 390 mg/L lithium from a sample collected from a shallow pit. This compares favourably to the lithium content found in a number of salars under development within the Lithium Triangle. The area is host to vast alluvial sand and clay deposits which have never been investigated for their lithium content. Very limited exploration has occurred on the project since it was acquired by the vendors and the initial focus of the Company will be to conduct systematic sampling of not only the brines, but also investigate the potential for the presence of lithium rich clays. Ulexite (a boron evaporite mineral) has also been identified on the Property and indicates that concentrated boron bearing brines have been present which is an indicator for lithium prospectivity.
"Our team has been engaged in a worldwide search for quality exploration opportunities and utilized its extensive experience in Lithium exploration and development to identify and secure the district scale Los Sapitos project. We are excited to get crews on the ground to begin to unlock this region's potential in the coming weeks," states Blake Morgan, Company President.
Figure 2: Aerial View of the Los Sapitos Project
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As part of the acquisition, Origen has made an application to acquire the rights to an additional 21,363 hectares of open ground, known as the La Rioja exploration area, within this new prospective lithium belt. Approval of these applications are pending.
Figure 3: Claim Holdings within the Tectonic Corridor
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Further details on the project can be found on the Company's website www.origenresources.com. One of the world's largest lithium suppliers, Ganfeng Lithium Corp. holds a 4.3% equity stake in in Origen.
Sampling in the 2018 fieldwork was conducted by staff experienced in lithium salar exploration and they followed industry recognized best practices for early stage exploration of this type of target. Analysis was conducted by Alex Stewart International Argentina S.A. (Alex Stewart), an internationally recognized laboratory with substantial experience in geochemical analysis. Lithium analysis was conducted using a 32 element ICP-OES package (Alex Stewart lab code LMMT01). Alex Stewart is independent of the Company. The Company has not yet verified the results provided by the vendor and their consultants.
John Harrop, P. Geo., a Qualified Person as that term is defined in NI 43-101, has supervised the preparation, or approved the scientific and technical disclosure in the news release. Mr. Harrop is employed by Coast Mountain Geological Ltd. He is not independent of the Company as defined in NI 43-101.
Terms of the Acquisition
To purchase a 100% interest in Los Sapitos Origen will pay the Vendors $50,000 USD, issue 200,000 shares and incur $200,000 USD in exploration in year 1 of the agreement. Origen may continue to make four annual payments of $75,000 USD, issue 200,000 shares and incur a total of $4.8 million in expenditures over the four year period or in the event of a corporate re-organization of its Lithium assets to form a new company, Origen would could then choose to issue one million shares of newco or the number of common shares equal to $1 million.
Origen is an exploration company engaged in generating, acquiring and advancing base, precious metal, and lithium properties. The Company currently holds a property portfolio of four 100% owned precious and base metal projects in southern British Columbia, a 100% interest in the 26,771 ha LGM project and an option to acquire a 100% interest in the 3,971 ha Wishbone property in the mineral rich Golden Triangle of British Columbia, a 100% interest in the Middle Ridge gold project and a 100% interest in 10 lithium prospects in Newfoundland.
On behalf of Origen,
For further information, please contact Blake Morgan, President at 236-878-4938 or Gary Schellenberg, CEO at 604-681-0221.
Neither the Canadian Securities Exchange nor its Regulation Services Provider (as that term is defined in the policies of the Canadian Securities Exchange) accepts responsibility for the adequacy or accuracy of this press release.
Certain of the statements made and information contained herein may constitute "forward-looking information." In particular references to the private placement and future work programs or expectations on the quality or results of such work programs are subject to risks associated with operations on the property, exploration activity generally, equipment limitations and availability, as well as other risks that we may not be currently aware of. Accordingly, readers are advised not to place undue reliance on forward-looking information. Except as required under applicable securities legislation, the Company undertakes no obligation to publicly update or revise forward-looking information, whether as a result of new information, future events or otherwise.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/99468