Lithium Chile And China Union Extend Drop-Dead Date For US$175 Million Arizaro Transaction
CALGARY - Lithium Chile Inc. ("Lithium Chile" or the "Company") announces that it has entered into an extension agreement (the "Agreement") with China Union Holdings Ltd. ("China Union" or "CUH") to extend the drop-dead date of the definitive share purchase agreement (the "Definitive Agreement") pertaining to the previously announced sale of the Company's Arizaro project, located in Salta, Argentina. Pursuant to the Definitive Agreement, the parties have agreed to a 60-day extension, resulting in a revised drop-dead date of August 20, 2026. There were no other amendments made to the Definitive Agreement. The extension provides China Union additional time to obtain approval for the transfer of funds from China to pay the purchase price and certain costs associated with the development of the Arizaro project (the "Approval"). The Agreement also provides that Lithium Chile shall be entitled to participate in the approval process, which is currently underway.
"The extension was agreed to in recognition of the substantial progress made toward satisfying the remaining closing conditions" said Steve Cochrane, President and CEO of Lithium Chile. "We continue to work closely with CUH and appreciate its ongoing commitment to closing the transaction."
China Union continues to dedicate resources to the advancement of the Arizaro project. During May 2026, CUH funded and deployed a delegation of engineers and technical specialists from China to Salta, Argentina, where the delegation spent two weeks advancing project planning. Following the visit, China Union recruited one of China's leading direct lithium extraction production managers to its team, strengthening its in-house technical capabilities and supporting its efforts to advance the Arizaro project toward production.
The Agreement provides for an additional extension to October 19, 2026, should further time be required to satisfy closing condition(s).
ABOUT LITHIUM CHILE
Lithium Chile Inc. is an exploration company with a portfolio of 11 properties spanning 106,136 hectares in Chile and 29,245 hectares on the Salar de Arizaro in Argentina. The Company has successfully advanced its Arizaro project with the completion of an NI 43-101 compliant Resource Report, a Preliminary Economic Assessment and a Prefeasibility Study which are all accessible on Sedar+.ca under Lithium Chile's profile.
ISSUER CONTACT
To find out more about Lithium Chile, please contact:
Steven Cochrane, President and CEO via email: steve@lithiumchile.ca, or
Michelle DeCecco, COO via email: michelle@lithiumchile.ca or phone: +1 587-287-9355
FORWARD LOOKING STATEMENTS AND RISK FACTORS:
This news release contains certain forward-looking statements and forward-looking information within the meaning of applicable securities laws (collectively, "forward-looking statements"). All statements contained herein that are not historical facts are forward-looking statements. Forward-looking statements are frequently, but not always, identified by words such as "expects", "anticipates", "believes", "intends", "plans", "may", "will", "should", "continue", "remain" and similar expressions.
Forward-looking statements in this news release include, but are not limited to, statements regarding: the anticipated completion of the sale of the Arizaro Project; the anticipated timing of closing, including the revised outside closing date of August 20, 2026; the satisfaction of the remaining closing conditions under the share purchase agreement; the completion of regulatory processes and approvals required in connection with the transaction; the transfer of funds by China Union; and the future development of the Arizaro Project. There can be no assurance that the transaction will close on the anticipated timeline, or at all.
These forward-looking statements are based on assumptions and involve known and unknown risks, uncertainties and other factors that may cause actual results, performance or achievements to differ materially from those expressed or implied by such forward-looking statements. Such risks and uncertainties include, without limitation, the inability of the parties to satisfy or waive the remaining closing conditions, delays in obtaining required regulatory approvals, delays in completing the transfer of funds, changes in market conditions, and other risks inherent in transactions of this nature.
Readers are cautioned not to place undue reliance on forward-looking statements. The forward-looking statements contained in this news release are made as of the date hereof, and the Company undertakes no obligation to update or revise any forward-looking statements, except as required by applicable securities laws.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this news release.
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