Lithium Americas Announces Co-Operation Agreement With POSCO
TORONTO, ONTARIO -- (Marketwired) -- 01/17/14 -- Lithium Americas
Corp. (TSX: LAC) ("Lithium Americas" or the "Company") today
announced that it has signed a Co-operation Agreement ("Agreement")
with POSCO, Korea's largest steel company and a leader in the
development of advanced materials processes. Pursuant to the
Agreement, POSCO will locate its next generation lithium extraction
pilot plant at Lithium Americas' Cauchari-Olaroz project ("Project")
in the province of Jujuy, Argentina. The pilot plant is expected to
be operational at the Project during the fourth quarter of 2014.
In recent years, POSCO has been developing an innovative lithium
extraction technology, which is both much faster than traditional
brine evaporation technology, and minimizes the environmental
footprint associated with large scale evaporation ponds. "We are very
pleased that POSCO selected our Project as the location for its large
scale pilot plant," commented Franco Mignacco, Vice Chairman of
Lithium Americas, and President of the Company's Argentinean
subsidiary, Minera Exar S.A. "We look forward to working with POSCO
and their lithium team to pursue the application of this advanced
lithium extraction technology that significantly shortens the
commercial production timeline for lithium and potassium compared to
traditional evaporation technology."
The Co-operation Agreement assigns business responsibilities between
POSCO and Lithium Americas, whereby POSCO will be responsible for the
development of the technology and management and operation of the
pilot plant, while Lithium Americas will provide resources in the
form of brine and local support. The Agreement is limited to pilot
plant operations, but provides for an exclusivity period in the
future to negotiate terms of a commercial stage operation. Costs of
building, delivering and operating the pilot plant will be borne by
POSCO, which also retains 100% ownership of the pilot plant.
About the Company
Lithium Americas is developing one of the world's largest and lowest
cost lithium operations, and is in continued discussions regarding
project financing. The Company has defined the world's third largest
lithium brine resource, and a completed definitive Feasibility Study
identified that Lithium Americas' operating cost per tonne of lithium
carbonate is expected to be one of the lowest in the industry.
Lithium Americas Corp.
Chief Financial Officer
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