ASHBURTON ANNOUNCES AMENDING AGREEMENT ON THOMPSON BROS. LITHIUM PROPERTY; TERMINATES WHABOUCHI AGREEMENT
Ashburton Ventures Inc. has entered into an amending agreement with respect to the previously announced option financing agreement with Manitoba Minerals Pty. Ltd. (MMPL) whereby the company will retain a 20-per-cent interest in the Thompson Bros. lithium property located in Wekusko Lake in Manitoba.
In May 2016, the Company had acquired an option over the Thompson Bros. lithium property and had simultaneously signed an option financing agreement with MMPL, pursuant to which MMPL would finance all payments and obligations relating to the option (see the Company's previous news release dated May 2, 2016). In consideration, the Company had previously granted MMPL with options to acquire up to a 95% interest in the property.
Pursuant to the new amending agreement, MMPL will still finance all cash payments and expenditures with respect to the Thomson Bros. option, but the Company will be responsible for share payments owing to the underlying owner. Under the underlying option agreement, the Company will issue 2.25 million common shares to the underlying owner, in annual installments of 500,000 shares, ending in April 2021. As a result, the options granted to MMPL have been reduced, such that the Company will retain a 20% interest in the property. The amending agreement is subject to the Company receiving prior approval from the TSX Venture Exchange.
The Thomson Bros. lithium property is located 20km east of the mining community of Snow Lake, Manitoba, and consists of 18 contiguous claims covering 1829 hectares. Further information about the property can be found in the Company's May 2, 2016 news release.
The Company further announces it has terminated its agreements to acquire the Whabouchi South, Whabouchi West and the Whabouchi Southern Extension properties.
Ashburton Ventures Inc. is a Canadian-based junior exploration company focused on Canadian mineral projects in Manitoba, Quebec and British Columbia, Canada.
