Colonnade Capital Corp.

August 24, 2009 11:40 ET

Colonnade Signs Letter Agreement With Next Lithium Corp.

TORONTO, ONTARIO--(Marketwire - Aug. 24, 2009) - Colonnade Capital Corp. (the "Company" or "Colonnade") (TSX VENTURE:COO.P), a capital pool company, has entered into a Letter Agreement dated August 24, 2009 (the "Letter Agreement") with Next Lithium Corp. ("Next Lithium") whereby Next Lithium will identify and evaluate assets and businesses, including to prepare and deliver, valuations or appraisals, business plans, feasibility studies and technical assessments and geological reports in respect of natural resource projects.

Under the Letter Agreement, Colonnade agreed to advance, as a refundable deposit, $25,000 to Next Lithium. In the event that the Company does not accept any corporate opportunities identified by Next Lithium within 90-days of the date of the Letter Agreement, Next Lithium shall repay the $25,000 deposit to the Company.

In connection with the advance of funds, Colonnade has entered into a right of first refusal "ROFR" agreement with Next Lithium over any go-public transaction decision considered by the company over the 90-day period.

Richard Kehmeier stated "We are pleased to work with the chaps at Next Lithium Corp. Macro trends in the lithium market indicate that this will continue to be an increasingly relevant and important space. We believe that companies positioned to develop opportunities in this area that can help feed demand over the coming decade, will deliver shareholder value."

Colonnade Capital has 4.5 million shares issued and outstanding.

Next Lithium Corp.

Next Lithium is in the business of procuring natural resource projects in the Americas, with a focus on lithium assets with historic results. The company's present flagship asset is an option to acquire a one hundred percent (100%) interest in a 7,200-acre lithium brine mineral property known as the "Lithium Man Placer Mineral Claims" located in Big Smokey Valley near Tonopah, Nevada.

The "Lithium Man" claims lay 12 miles from the Chemetall Foote Lithium Plant, the only producing lithium mine in the United States of America. BSV claims include historic lithium exploration wells from work programs conducted by the USGS, with grades up to 300 ppm.

Next Lithium is actively and aggressively pursuing the augmentation of its portfolio of lithium mineral properties in the Americas.

Investors are cautioned that, except as disclosed in the management information circular or filing statement to be prepared in connection with the transaction, any information released or received with respect to the transaction may not be accurate or complete and should not be relied upon. Trading in the securities of a capital pool company should be considered highly speculative.

The TSX Venture Exchange Inc. has in no way passed upon the merits of the proposed transaction and has neither approved nor disapproved the contents of this press release.

Contact Information

  • Colonnade Capital Corp.
    Richard Kehmeier
    (484) 832-5988