SOURCE: American Lithium Minerals, Inc.

American Lithium Minerals, Inc.

January 20, 2010 08:00 ET

American Lithium Minerals Acquires Borate Hills Lithium Projects

HENDERSON, NV--(Marketwire - January 20, 2010) - American Lithium Minerals Inc. (OTCBB: AMLM) (the "Company") has entered into an agreement to acquire both the North Borate Hills and South Borate Hills Lithium Projects in Nevada. The Projects cover 3,400 acres located 20 miles west of Chemetall Foote's Lithium Brine Operation at Clayton Valley.

The Borate Hills Projects were drilled by US Borax in the 1980s and at the time, the company stated that the Project was the second largest boron deposit in the United States. Although US Borax initially drilled the North Borate Hills Project, discovery of the South Borate Hills Project identified a larger project with higher lithium values. The South Borate Hills Project is a strata-bound claystone unit that is approximately 1.5 miles long and up to 1,300 feet thick.

Recent sampling of the South Borate Hills Project returns boron grades of over 1% B, lithium grades of up to 0.275% Li, and Strontium credits. All other metals concentrations are low, including iron which can be deleterious for processing.

                 B       Li
                ppm      Ppm
              -------   -----
SBH-    111     140     2100
SBH-    112     570     700
SBH-    113   > 10000   2050
SBH-    114     190     125.5
SBH-    115   > 10000   1960
SBH-    116     500     259
SBH-    117     5100    2130
SBH-    118     280     2750
SBH-    119     170     58.3
SBH-    120     200     1750

Judy Baker, Head of Property Development, Production and Acquisitions for American Lithium Minerals, stated, "The acquisition of the Borate Hills Lithium Projects in Nevada is a very significant project acquisition for American Lithium Minerals. The high test results and the extent of the formation make it one of the more promising lithium projects in the United States. In combination with the other properties we already control, it is clear that we have assumed a leadership position in the exploration of this incredibly important component for the advancement of green energy."

As a result of lithium-ion battery demand for hybrid-electric and electric cars, the increase in demand for lithium carbonate is expected to increase four-fold by 2017. High demand and low supply has already pushed lithium carbonate (Li2CO3) prices to US$6,600.00 per ton. There is currently only one producer of lithium carbonate in the United States: Chemetall's Clayton Valley Operation. The Great Basin of the United States represents excellent potential for the discovery of new lithium brine deposits and American Lithium Minerals is well positioned for detection with both its current and four newly acquired projects.

About Lithium

Lithium is used for batteries, specialty glass, lubricants, pharmaceuticals and lithium alloys. Lithium ion (Li-ion) batteries have become the rechargeable battery of choice in cell phones, computers, hybrid-electric cars and electric cars. GM, Ford, Toyota, Dodge, Chrysler, Mitsubishi, Nissan, Tesla, Saturn and Mercedes-Benz have all announced plans to build Li-ion battery-powered cars. Demand for lithium-powered vehicles is expected to increase fivefold by 2012. The domestic automotive industry must secure a lithium source to supply the next generation of hybrid-electric and electric vehicles. Over 60% of cell phones and 90% of laptops use lithium batteries. The worldwide market for lithium batteries is estimated at over $4 billion per year.

Forward-Looking Statements

This current report contains "forward-looking statements," as that term is defined in Section 27A of the United States Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Statements in this press release which are not purely historical are forward-looking statements and include any statements regarding beliefs, plans, expectations or intentions regarding the future, including but not limited to, future prices for lithium carbonate (Li2CO3), that lithium-ion battery demand for hybrid-electric and electric cars is expected to increase four fold by 2012, that demand for lithium-powered vehicles is expected to increase fivefold by 2012, or the existence of any commercially recoverable lithium carbonate on the Green Energy lithium project in Utah.

Actual results could differ from those projected in any forward-looking statements due to numerous factors. Such factors include, among others, the inherent uncertainties associated with mineral exploration and difficulties associated with obtaining financing on acceptable terms. We are not in control of lithium prices and these could vary to make development uneconomic. These forward-looking statements are made as of the date of this news release, and we assume no obligation to update the forward-looking statements, or to update the reasons why actual results could differ from those projected in the forward-looking statements. Although we believe that the beliefs, plans, expectations and intentions contained in this press release are reasonable, there can be no assurance that such beliefs, plans, expectations or intentions will prove to be accurate. Investors should consult all of the information set forth herein and should also refer to the risk factors disclosure outlined in our most recent annual report for our last fiscal year, our quarterly reports, and other periodic reports filed from time-to-time with the Securities and Exchange Commission.

Contact Information

  • For Additional Information, Contact:
    Stephen Cook
    Vice President/Investor Relations
    Tel: 877-717-2656