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Be the first with the news that moves the market- E3 (ETL) has acquired the Clearwater Project Gross Overriding Royalty for C$800,000
- The royalty would have provided the original owner with 2.25 per cent of gross revenue from any metallic and industrial mineral production
- This would have equated to $8.5 million per year based on E3’s Preliminary Economic Assessment (2020)
- E3 Lithium is developing its inferred resource of 24.3 million tonnes of lithium carbonate equivalent in Alberta
- E3 Lithium (ETL) is up by 4.74 per cent, trading at $2.43 per share
E3 (ETL) has acquired the Clearwater Project Gross Overriding Royalty for C$800,000.
The royalty was negotiated in 2016 during the amalgamation of E3’s permits in the Clearwater Project Area in Alberta’s Bashaw District. As part of the original agreement, E3 had the option to purchase the royalty by September 30, 2022.
The royalty would have provided the original owner with 2.25 per cent of gross revenue from any metallic and industrial mineral production.
Based on E3’s Preliminary Economic Assessment (2020), the royalty would have provided approximately $8.5 million per year. The figure would be significantly higher now given current lithium prices.
“The purchase of this royalty outlines the confidence we have in the value and timeframe of our project,” said Chris Doornbos, E3’s President and CEO. “The royalty burden using today’s prices that E3 has now eliminated provides improved economics in the Clearwater Project and significant shareholder value.”
E3 Lithium is developing its inferred resource of 24.3 million tonnes of lithium carbonate equivalent in Alberta.
E3 Lithium (ETL) is up by 4.74 per cent, trading at $2.43 per share as of 9:31 am EST.
