ACME Lithium Inc. (CSE:ACME, OTCQB:ACLHF) said it has entered into a binding letter of intent granting Snow Lake the option to earn up to a 90% interest in ACME’s Manitoba lithium pegmatite project areas.
The company’s Manitoba lithium group is made up of 37 mineral claims totalling 17,000 acres across Shatford Lake, Birse Lake, and Cat-Euclid Lake in the Bird River Greenstone Belt.
It said that Snow Lake can exercise the option by paying a total of C$500,000 and incurring C$1.8 million in exploration and development expenses over two years.
Once Snow Lake has earned a 90% interest in the project areas and completed a positive feasibility study, a joint venture will be formed between Snow Lake and AMCE to advance development. The terms of the joint venture will be agreed at the time of formation, ACME said.
Further, ACME said it will no longer be pursuing its option to acquire a 100% interest in 13 minerals claims at Bailey Lake in northeastern Saskatchewan attributed to its focus on its Nevada projects, reallocation of capital, and the current market conditions.
It will relinquish ownership interest in five adjacent minerals claims which fall within an area of mutual interest under the option agreement, the company said.
ACME Lithium is a mineral exploration company focused on acquiring, exploring, and developing battery metal projects in Canada and the United States in partnership with leading technology and commodity companies.