Ultra Lithium Inc.
TSX VENTURE : ULI

Ultra Lithium Inc.

September 10, 2009 09:00 ET

Ultra Lithium to Acquire 100% of the Berland River Brine Projects

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Sept. 10, 2009) - Ultra Lithium Inc. (TSX VENTURE:ULI) ("Ultra" or "the Company") wishes to announce it has signed a letter of intent to acquire up to a 100% interest in two lithium brine projects located near Berland River within west-central Alberta, approximately 200 kilometers west of Edmonton. The Berland River properties consist of seven permit applications, which encompass about 650 square kilometers (7 Townships), within the area described by the Alberta Research Council's report "Resource Estimates of Industrial Minerals in Alberta Formation Waters by Bachu, Yuan, Brulotte, 1995" of having the potential for the production and extraction of lithium from formation waters.

Within the region, formation waters within the Devonian-aged Woodbend (Leduc) Group and the Beaverhill Lake Formation are shown to contain highly anomalous concentrations of lithium, with values from greater than 75 mg/l to 140 mg/l reported. A historic resource estimate distributed over a cumulative area of 3,980 square kilometers (approximately 43 townships), completed by the Alberta Research Council (1995, p.42), indicates total potential resources of 0.515 x 10 to the power of 6 tonnes lithium in formation waters (or 2.4 billion lbs of LiO2) hosted in the Leduc and Beaverhill formation waters. This estimate is not NI43-101 compliant.

The Alberta Research Council provides a non complaint 43-101 estimate of the lithium in formation waters in Leduc Formation reefs to vary from 10 to 570 g/m2 or tonnes/km2. The Berland River properties being acquired by the company, cover a significant portion of this area. The company has not completed the work necessary to confirm the historic resource estimates however the company believes the estimate relevant, but not reliable.

The concentrations are comparable to those of brines currently found at Clayton Valley, Nevada, which has been in production since the 1960s. Production at Clayton Valley was initially from brines that averaged 400 mg/l lithium; in 1998, production was reported at an average concentration of 160 mg/l lithium (Harben and Edwards, 1998).

Ultra will initiate the review of all historic geologic data from the properties in preparation for the sampling and analysis of formation waters. Following the collection of appropriate data, the company intends to seek completion of an up to date NI 43-101 Report.

The properties have been acquired from arms length Vendors. Acquisition costs are a total of $50,000 and 2,000,000 shares payable on Exchange approval. The property is subject to a 2% NSR, of which one half (1%) may be purchased back for $1,000,000. This Agreement is subject to the final acceptance of the permit applications, expected within the next four to six weeks, and the approval of the TSX Venture Exchange.

Lithium is a component, or is used in, the production of a wide variety of products including glass, ceramics, aluminum, lubricants, pharmaceuticals, and batteries, especially those used in consumer and industrial electronics. Demand for the metal is projected to increase significantly as lithium-ion batteries are further applied to electric and hybrid-electric vehicles.

The technical information in this news release has been prepared in accordance with the Canadian regulatory requirements set out in National Instrument 43-101 and reviewed on behalf of the company by Jeffrey Reeder, P.Geo., a qualified person.

We seek safe harbour.

ON BEHALF OF THE BOARD OF DIRECTORS,

Ultra Lithium Inc.

Tony M. Ricci, CEO and Director

Contact Information

  • Ultra Lithium Inc.
    Tony M. Ricci
    CEO and Director
    (604) 669-9788
    (604) 669-9768 (FAX)