United Lithium (CSE: ULTH) will officially be entering the country of Finland. The firm yesterday evening announced that it has entered a definitive agreement to acquire an 83.6% stake in the Kietyönmäki Lithium project in the country.
The definitive agreement supersedes a letter of intent entered by the company back in May to acquire the property. The stake in the project will be acquired via the purchase of an 83.6% stake in Litiumlöydös Oy, whom wholly owns the project.
Lithium was originally discovered on the property back in the mid 1980’s by the Finnish Geological Survey, whom drilled 17 shallow drill holes to test the property to a depth of 70 metres. A further six drill holes were then drilled by Sunstone Metals, which reportedly encountered spodumene-bearing pegmatite.
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Historical drilling on the property from the two separate entities included the following results:
- KMDD001: 42m @ 1.10% Li2O from 17.88m depth
- R310: 24.25m @ 1.31% Li2O from 58.75m depth
- R307: 23m @ 1.53% Li2Ofrom 14.10m depth
The stake is being acquired in exchange for 697,422 shares of the company at a price of $0.6022 per share, as well as $420,000 in cash. Closing of the transaction remains subject to customary conditions.
United Lithium last traded at $0.54 on the CSE.
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