AMEL

Overview

Highlights

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Properties

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"AmeriLithium has amassed a lithium portfolio consisting of 724,000 acres, including three Nevada based projects nearby the only lithium producing plant in the US, a large project in Alberta, Canada, and a project in Western Australia."

 

 
Approximate Financial Snapshot as of 6/15/10
Shares Outstanding 57M       
52 Wk Hi/Lo 3.00/

0.50

Market Cap $37M
Recent Price $0.65
 

 

 
 
   

 

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AmeriLithium Corp. (AMEL)

 Website: www.AmeriLithium.com

"Power For America's Future"


Overview

AmeriLithium (AMEL) is a mining company committed to progressively developing into one of the leading American players in the global lithium industry. The Company is headquartered in Lake Tahoe, NV. 

AmeriLithium has amassed a lithium portfolio consisting of 724,000 acres, including three Nevada based projects nearby the only lithium producing plant in the US, a large project in Alberta, Canada, and a project in Western Australia.


AMEL Investor Highlights

  • Cohen Independent Research Group announced that it has updated its coverage on AmeriLithium Corp. and issued with a target price of $4.73, up from $3.63 in the previous report.

  • Reported that its gravity survey of Paymaster Canyon, Nevada, has been successfully completed, identifying three significant bedrock elevation lows that warrant further exploration.

  • Lithium Technology is current used in a wide range of technological applications, and is favored heavily by the electronics industry and the motor industry. According to a May 23, 2010 Bloomberg Business week article, "Lithium based battery chemistry is an industry adopted standard now in EV (Electric Vehicles).

  • Announced the completion of the field work stages of the geophysical survey by GeoXplor Corp. on the Company's Paymaster Project in Nevada. Results from the survey will be made available between May 31st and June 14th.

  • Announced it has recently executed a definitive agreement thereby acquiring 100% of the assets of the 5,280-acre (8.25 square mile) Clayton Deep Lithium brine project, covering the entire Southwest Gravity Low in Clayton Valley, NV.

  • The Clayton Deep project's placer claims lie less than 10 miles southwest of the only US-based Lithium producing plant, operated by Chemetall Foote Corporation, a subsidiary of Rockwood Holdings, Inc. The plant has been in production since 1967, producing an estimated 50 million kg (55,000+ tons) of Lithium to date from the region's rich brines.

  • AmeriLithium's Paymaster Project represents a 5,880-acre claim block adjacent to the Clayton Valley playa, where lithium-rich brines and evaporates have been accumulating for more than 30,000 years, resulting in the highest lithium content found in any brines tested by the US Geological Survey ( USGS ) in southwestern US playas and basins.

  • Announced it has recently executed a definitive agreement thereby acquiring 100% of the assets of the 5,760-acre (9 square mile) Full Monty project in Nye County, NV. The federal placer mining claims lie 25 miles north of Clayton Valley's prime Lithium-mining region.

  • The Full Monty location represents excellent logistics for project exploration and development, including an established road system and high voltage power lines that cross the Company's property. In terms of geology, the area is one of intense Quaternary faulting, the same age (150,000 years) faulting and on strike with the Paymaster Fault in Clayton Valley. The Full Monty gravity low in particular covers roughly 4,800 acres or 7.5 square miles; in comparison, Chemetall Foote's Lithium brine field in nearby Clayton Valley is only 2 square miles and has been producing continuously for 43 years.

  • On March 22, 2010, AmeriLithium announced it had recently executed a definitive agreement thereby acquiring a 100% NRI (Net Revenue Interest) in the assets of the Wagin Salt Lakes Property in Wagin, Western Australia. AmeriLithium's three Australian plays cover 43,000+ acres around and abutting Lake Dumbleyung, where a 2007-2008 survey for Reward Minerals Ltd reported the presence of salt lake brine with a Lithium concentration of 530 mg/liter (by way of comparison, the only US-based Lithium producing plant operated by Chemetall Foote Corporation in Nevada originally began operation at 400 mg/liter).

  • On March 17, 2010, AmeriLithium announced it had recently executed a definitive agreement thereby acquiring a 100% NRI (Net revenue Interest) in the assets of the Americana Property in Alberta, Canada. The Americana Property is one of the largest claims if its type in the region, representing ~664,049 acres overlying a potential extension of the Leduc Formation and Beaverhill Lake Group strata/Swan Hills Formation. These two formations were identified by the Alberta Geological Survey (AGS) as containing formation waters containing potentially economic amounts of Lithium.


Recent News and Press Releases

Cohen Independent Research Group, Inc. (www.cohenresearch.com) Announces Updated Investment Opinion on AmeriLithium Corp. (AMEL)

AmeriLithium Reports Very Positive First Stage Exploration Results on Nevada Lithium Project

AmeriLithium Corp. Information to be Available Through Standard & Poor's Market Access Program

US Oil Catastrophe Accentuates Immediate Need for Lithium as an Alternative Fuel

AmeriLithium Releases Second Quarter Corporate Presentation & Updates To Website

Lithium Provides Needed Acceleration to the Auto Industry

AmeriLithium's Corporate Update on Projects, Management, Financing & Research Coverage

AmeriLithium Is Pleased to Announce a Target Price of $5.10 From SISM Research's Independent Coverage.

AmeriLithium Announces Successful Completion of Field Work on Nevada-Based Paymaster Asset

AmeriLithium Appoints Strategic Nevada-Based Advisory Board Member


Properties

Clayton Deep Project

The 5,280-acre (8.25 square mile) Clayton Deep Lithium brine project, covering the entire Southwest Gravity Low in Clayton Valley, NV.

The Clayton Deep project's placer claims lie less than 10 miles southwest of the only US-based Lithium producing plant, operated by Chemetall Foote Corporation, a subsidiary of Rockwood Holdings, Inc. The plant has been in production since 1967, producing an estimated 50 million kg (55,000+ tons) of Lithium to date from the region's rich brines.(1) Chemetall's exploration of the area immediately around the plant extends to within less than one mile of the northeast corner of AmeriLithium's Clayton Deep holdings.(2)

The Clayton Deep project location represents excellent logistics for project exploration and development, including established roads and high voltage power lines that cross the Company's property. In terms of geology, a large scale US Geological Survey ( USGS ) gravity survey in 1975 found two gravity lows (-210 milligals) in the south end of Clayton Valley; the South Central Low is controlled by Rodinia Minerals while the Southwest Low is controlled by AmeriLithium through the Clayton Deep project (to the immediate west of Rodinia Minerals).

The gravity lows at the south end of Clayton Valley indicate a thick sequence of sediments associated with the paleostructure of Clayton Valley which are not coincident with the topographic center of the basin. This sequence of sediments constitutes a potential target for evaporate deposits which may have associated Lithium deposits.

AmeriLithium's Southwest Low in particular is a viable size Lithium brine exploration target, covering approximately 2,200 acres or 3.4 square miles; in comparison, Chemetall Foote's Lithium brine recovery wells located less than 10 miles to the northeast have operated on only 2 square miles and have been producing continuously for 43 years.

Only five miles north of the Clayton Deep project and up-gradient are the Silver Peak Hot Springs, which are extremely anomalous in Lithium at 34 parts per million (ppm); the next highest Lithium content of any spring in Nevada is around 8 ppm at Duckwater Spring. According to the Nevada Bureau of Mines website, there may be a fault on the west side of Clayton Valley associated with the Silver Peak Hot Springs. If this fault extends down to the Southwest Gravity Low on AmeriLithium's property, it could have been a conduit for Lithium-rich geothermal fluids.

Lithium deposits are currently mined to the immediate north of AmeriLithium's Clayton Deep project via an environment-friendly and economic solution-mining technique, pumping brines from aquifers only a few hundred meters beneath the valley. Such subsurface brines currently represent the dominant raw material for Lithium carbonate production worldwide due to the lower production costs when compared with hard-rock ore mining and processing.

Recovery costs are further reduced through the absence of royalty fees on mining in Nevada; a quicker and easier permitting process for placer (alluvial deposit) mining than hard-rock mining; and lower recovery costs due to the brine's low manganese content when compared to the high-manganese brines found in Chile, which represent 63% of America's Lithium imports ( USGS , 2010).

Full Monty Project

The Full Monty project in Nye County, NV. The federal placer mining claims lie 25 miles north of Clayton Valley's prime Lithium-mining region.

Clayton Valley is home to the only US-based Lithium producing plant, operated by Chemetall Foote Corporation, a subsidiary of Rockwood Holdings, Inc. The plant has been in production since 1967, producing an estimated 50 million kg (55,000+ tons) of Lithium to date from the region's rich brines.

The Full Monty location represents excellent logistics for project exploration and development, including an established road system and high voltage power lines that cross the Company's property. In terms of geology, the area is one of intense Quaternary faulting, the same age (150,000 years) faulting and on strike with the Paymaster Fault in Clayton Valley. The Full Monty gravity low in particular covers roughly 4,800 acres or 7.5 square miles; in comparison, Chemetall Foote's Lithium brine field in nearby Clayton Valley is only 2 square miles and has been producing continuously for 43 years.

AmeriLithium's Full Monty project claims cover the gravity low of the intersection of the Montezuma Trough (gravity) lineament with the Big Smoky Valley lineament. Mr. Allender further noted that the possibility of Lithium concentration related to the intersection of the Big Smoky Valley lineament and the Montezuma trough suggests considerable economic potential. In addition, possible sources for Lithium brines on the Full Monty property could include the possible linkage between Montezuma Peak volcanism and the Montezuma gravity trough.

Just to the east in Big Smoky Valley lie Li3 Energy's MW claims; just to the west lies General Moly's Hall molybdenum deposit, a Climax-style porphyry that is anomalous in Lithium and could have been an exceptionally large heat source for Lithium-rich geothermal fluids. Up-gradient in Big Smoky Valley, Darrough Hot Springs and Carnock Hot Springs are also anomalous in Lithium.

Paymaster Project

The Paymaster Project represents a 5,880-acre claim block adjacent to the Clayton Valley playa, where Lithium-rich brines and evaporates have been accumulating for more than 30,000 years, resulting in the highest Lithium content found in any brines tested by the US Geological Survey ( USGS ) in southwestern US playas and basins.

In light of the Paymaster Project's close proximity to existing Lithium production in Clayton Valley, NV, a preliminary report on the Paymaster property (GeoXplor Corp, Nov. 25, 2009) recommended Seismic and Gravity geophysical surveys to determine the basin's depth and delineate the depth and thickness of the project's Lithium-rich layers.(2) (additional exploration program details are below)

PAYMASTER PROJECT EXPLORATION PROGRAM

AmeriLithium will utilize a 3-stage exploration program for the Paymaster Project:

Complete a gravity survey over the claim area to determine the depth of the basin and define areas of maximum potential for Lithium brine concentrations (additional details below).

Complete a 2d seismic survey over the claim block to delineate the depth and thickness of the Lithium rich layers.

If results from the gravity and seismic surveys are successful, a drill program would be recommended to define reserves and establish the grade of Lithium mineralization within the delineated basins that contain anomalous amounts of Lithium.

Mr. Jim Hasbrouck, Hasbrouck Geophysics, Inc., Prescott, Arizona, has recommended one kilometer line spacing and 250m stations for a total of about 100 gravity stations (based on approximately 25 line kilometers). The project, including mobilization-demobilization, should take approximately 15 days for field completion and another 30 days for the interpretation and final report. The gravity data will be acquired with a leased LaCoste and Romberg Model G gravity meter by Jim Hasbrouck, Hasbrouck Geophysics, Inc., Prescott, Arizona, and/or Lorin Stieff of GeoXplor Corp. with infrastructure and support supplied by GeoXplor Corp.

The data will be processed using the GravMaster computer software developed by GeoTools Corporation with field estimation of terrain corrections to Hammer Zone C and the use of DEMs to Hammer Zones M. Deliverables will include Bouguer Anomaly sections along each line, a three-dimensional compilation of those results, and a final report detailing the methodology, data acquisition, processing and interpretation. Mr. Hasbrouck will process and interpret the data, and prepare the final report.

Americana Property, Alberta, Canada

On March 17, 2010, AmeriLithium announced it had recently executed a definitive agreement thereby acquiring a 100% NRI (Net revenue Interest) in the assets of the Americana Property in Alberta, Canada.

The Americana Property is one of the largest claims if its type in the region, representing ~664,049 acres overlying a potential extension of the Leduc Formation and Beaverhill Lake Group strata/Swan Hills Formation. These two formations were identified by the Alberta Geological Survey (AGS) as containing formation waters containing potentially economic amounts of Lithium.

The AGS recommended further analysis of the formation waters for Lithium, stating that the Lithium contents are similar to those of the only US-based Lithium plant in Clayton Valley, Nevada.

The total resource estimate for potentially economic Lithium present in the two formations is 567,690 tons, which is approximately 69% of the 826,000+ tons of Lithium estimated to exist in Clayton Valley, Nevada (I.A. Kunasz of the American Institute of Mining, 1975).

The AGS singled out formation waters containing high concentrations of dissolved Lithium where rock porosity and permeability would allow production. In the Leduc Formation, reef thicknesses exceed 980 feet in places (based on 88 existing wells and 3,768 core analyses), while the carbonate platform in the Beaverhill varies in thickness from over 490 feet in the south to roughly 160 feet in the northwest (based on 183 existing wells and 18,256 core analyses).

AGS findings on both formations show concentrations exceeding 100 mg/l with a maximum concentration of 130 mg/l occurring in the Beaverhill Lake formation.(7)

Knowledge of the Lithium-rich brine waters beneath west-central Alberta came indirectly from the region's oil and gas industry activity, including three major gas processing facilities originally owned by Chevron , BP Amoco and Petro-Canada collectively.

Wagin Salt Lake Property, Western Australia

On March 22, 2010, AmeriLithium announced it had recently executed a definitive agreement thereby acquiring a 100% NRI (Net Revenue Interest) in the assets of the Wagin Salt Lakes Property in Wagin, Western Australia.

AmeriLithium's three Australian plays cover 43,000+ acres around and abutting Lake Dumbleyung, where a 2007-2008 survey for Reward Minerals Ltd reported the presence of salt lake brine with a Lithium concentration of 530 mg/liter (by way of comparison, the only US-based Lithium producing plant operated by Chemetall Foote Corporation in Nevada originally began operation at 400 mg/liter).

Lying within Western Australia's South West Mineral Field, the AmeriLithium plays represent an area identified as benefitting from a pro-mining Australian government stance and legislation; rich in brine deposits while having established infrastructure to support the transport of extracted Lithium; and ideally situated for export to emerging Asian markets and particularly China, whose manufacturing economy accounted for around 1/3 of Lithium demand in 2008.

AmeriLithium currently holds three exploration licenses for the region, comprised of 55 graticule blocks. All holdings are located within a 15.5 mile radius of Lake Dumbleyung, being placed upon salt lake systems with favorable drainage systems.

Major neighboring Australian players include Reward Minerals Ltd and Venus Resources Ltd, both having declared an interest in the Lake Dumbleyung region after carrying out surveys and testing of the area that identified the high soluble Lithium values in brine deposits as well as the potential for Lithium-bearing brines from draining Archaean granites at the western confluence of an extensive catchment area.

A significant portion of future demand for Lithium will originate from the emerging Asian markets. In 2009, worldwide sales of mobile phones a major usage of Lithium batteries was estimated at one billion units, around 600 million of which were produced in China. And with an ever-expanding consumer electronics industry manufacturing cameras, laptops, games consoles and now hybrid/electric motor vehicles, China's multi-billion dollar market represents an unparalleled opportunity for Lithium export.


SEC Filings

AMEL filings with the SEC can be found here.


Contacts

AmeriLithium

297 Kingsbury Grade
Lake Tahoe
Douglas County, NV 89449-4470
Phone: 775-996-2210
Fax: 775-996-2212


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