The AGS recommended further analysis of the formation waters for lithium, stating that the lithium contents are similar to those of the only US-based lithium plant in Clayton Valley, Nevada.
The total resource estimate for potentially economic lithium present in the two formations is 567,690 tons, which is approximately 69% of the 826,000+ tons of lithium estimated to exist in Clayton Valley, Nevada (I.A. Kunasz of the American Institute of Mining, 1975).
The AGS singled out formation waters containing high concentrations of dissolved lithium where rock porosity and permeability would allow production. In the Leduc Formation, reef thicknesses exceed 980 feet in places (based on 88 existing wells and 3,768 core analyses), while the carbonate platform in the Beaverhill varies in thickness from over 490 feet in the south to roughly 160 feet in the northwest (based on 183 existing wells and 18,256 core analyses).
AGS findings on both formations show concentrations exceeding 100 mg/l with a maximum concentration of 130 mg/l occurring in the Beaverhill Lake formation.
Knowledge of the lithium-rich brine waters beneath west-central Alberta came indirectly from the region’s oil and gas industry activity, including three major gas processing facilities originally owned by Chevron, BP Amoco and Petro-Canada collectively.
Matthew Worrall, CEO of AmeriLithium, commented on the Company’s latest acquisition by stating, "The entire AmeriLithium team is excited about our Lithium portfolio being expanded by the addition of the Americana Property for several reasons. First, its sheer size. Second, its ideal location in relation to potential brines rich in Lithium. And third, its location in Canada, which represents an extensive US trade partner that has proven to be friendly and accessible. Taken together, these factors make the Americana Property acquisition a perfect fit with our focus on being an emerging North American Lithium industry leader and securing power solutions for America’s future."
Lithium is a lightweight metal used in a wide range of consumer products the world over: the medical industry uses lithium as an anti-depressant; industrial uses include glass, ceramic and porcelain enamel manufacture; the aviation industry uses lithium in alloys.
Of particular interest is the use of lithium for battery production, which has expanded significantly in recent years due to rechargeable lithium batteries being used increasingly in electrical tools and in the rapidly expanding portable electronics market.
Furthermore, the next generation of hybrid and electric vehicles are being designed to use high-capacity lithium-ion batteries as environmentally-friendly fuel alternatives while the Obama administration has introduced $5 billion in funding and incentives for the development of a secure, domestic battery industry with special focus on lithium-ion batteries.
AmeriLithium is a publicly traded (OTC Bulletin Board: AMEL), mining company committed to progressively developing into one of the leading American players in the global lithium industry. The Company is headquartered in Lake Tahoe, NV. AmeriLithium has amassed a lithium portfolio consisting of ~670,000 acres, including a Nevada-based project adjacent to the only lithium producing plant in the US and a large project in Alberta, Canada.