EMP Metals Corp. (CSE: EMPS) (OTC: EMPPF) (“EMP Metals” or the “Company“) is pleased to announce that a Wellbore Takeover Agreement has been reached between EMP subsidiary company Hub City Lithium Corp. (“HCL”) and Epping Energy Inc. of Calgary, Alberta.
The new well, 131/08-07-014-11W2 (“Test Well”), is located in the Tyvan area of southeast Saskatchewan and is proximal to HCL’s assets. The Test Well has been acquired for nominal consideration, in keeping with the Company’s highly cost-effective strategy of testing for lithium in abandoned and shut in oil and gas wells via re-entry rather than drilling entirely new wells.
A multi-zone perf test will be performed post-break-up on the Test Well, testing the inflow potential and lithium concentrations in the target Duperow zone. This is the same zone that EMP confirmed concentrations up to 96.3 mg/l in the Mansur 11-2-9-13 W2M wellbore, which is approximately 50km SW of the Test Well.
Rob Gamley, CEO of EMP, commented, “This is an exciting development for EMP. This new well is located in a completely separate area from our successful first well at Mansur and we are optimistic that this new test well will be a significant addition to our growing lithium resource.”
The Tyvan Permit Area has existing infrastructure with greater than fifty oil wellbores drilled through the target formation. This allows for potential cost savings on future development and allows the Company to map and target certain lands with lithium potential. This existing infrastructure is expected to lower the ultimate cost of early-stage development of the resource.
The Tyvan Permit Area, Mansur Permit Area, and Viewfield Permit Area now collectively cover an area extending 40 miles north and 40 miles east of the City of Weyburn. The existing oil and gas infrastructure within the area includes over a hundred oil wells drilled through the target formation that can be used for geological mapping, future lithium testing, and development. In addition to the existing oil field infrastructure and labour pool, the economics of the project area are enhanced by the presence of existing infrastructure, including but not limited to: paved highways, rail lines, existing three phase electrical supply, and access to natural gas.
Lithium Brine Properties Joint Venture
The lithium brine properties consist of 37 permits totalling 212,633 acres (86,050 hectares) of Subsurface Crown Mineral Dispositions in the Williston basin of Southern Saskatchewan. Brine sampling of a vertical wellbore located on one of the properties returned lithium concentrations in the Duperow formation up to 96.3 mg/l.
EMP Metals holds 67% of the joint venture with Hub City Minerals Corp. holding the balance.
The technical content of this news release has been reviewed and approved by Greg Bronson, P. Geo., a qualified person for the purpose of National Instrument 43-101.
About EMP Metals
EMP Metals is a Canadian-based exploration company focused on the acquisition and exploration of mineral projects with significant development potential. Its current portfolio includes lithium exploration projects in Saskatchewan, Canada. For more information, please go to the Company’s website at www.empmetals.com.
Information set forth in this news release contains forward-looking statements that are based on assumptions as of the date of this news release. These statements reflect management’s current estimates, beliefs, intentions and expectations. They are not guarantees of future performance. EMP Metals cautions that all forward-looking statements are inherently uncertain, and that actual performance may be affected by a number of material factors, many of which are beyond EMP Metals’ control. Such factors include, among other things: risks and uncertainties relating to EMP Metals’ limited operating history, ability to obtain sufficient financing to carry out its exploration and development objectives on its mineral properties, obtaining the necessary permits to carry out its activities and the need to comply with environmental and governmental regulations. Accordingly, actual and future events, conditions and results may differ materially from the estimates, beliefs, intentions and expectations expressed or implied in the forward-looking information. Except as required under applicable securities legislation, EMP Metals undertakes no obligation to publicly update or revise forward-looking information.
Neither the Canadian Securities Exchange (“CSE”) nor its Regulation Services Provider (as that term is defined in the policies of the CSE) accepts responsibility for the adequacy or accuracy of this news release.
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