Caesars Report editor Thibaut Lepouttre profiles Millennial Lithium, a company that just reinvented itself by acquiring a project in Argentina’s ‘Lithium Triangle.’ Lepouttre explains why he believes Millennial may be poised to take off.
Last week, Millennial Lithium Corp. (ML:TSX.V) started its first trading day after a true metamorphosis that changed the company from being an empty shell—when it was still called Redhill Resources—to one of the more promising lithium juniors out there.
Millennial Lithium originally acquired a lithium project in Nevada, but boosted its plans to become a major player in the lithium space by acquiring the Pastos Grandes project in Argentina. Located just over 150 kilometers from Salta at an altitude of 3,800 meters, this salar has been explored by a previous operator (a joint venture of two French conglomerates), but these companies decided to pursue another salar, and this land package became available.
The company acted quickly and secured an option to acquire 100% of the property by making staged payments totaling $2.2 million ($2.2M) in cash and 1 million shares, as well as issuing a 1.5% net smelter return (NSR) royalty, of which half could be repurchased for US$1.5M.
Whereas the original agreement covered a land package of 1,220 hectares, Millennial has applied to stake an additional 4,200 hectares from the Province of Salta, and has entered the bidding process for an additional 3,000 hectares from REMSA, a province-owned enterprise. Officially nothing has been approved yet, but the first 4,200 hectares will very likely be approved shortly. This means the company has pretty much locked up the entire salar and will be calling the shots on this 75+ square kilometer land package.
The previous operators have sampled the brines, so Millennial Lithium already has a pretty good idea of how to tackle this. The Pastos Grandes salar seems …read more