RETRANSMISSION: Cruz Battery Metals Acquires the Central Clayton Valley Lithium Brine Project in Nevada Completely Surrounded by SLB's Property

Rhea-AI Summary

Cruz Battery Metals (CSE: CRUZ) (OTC: BKTPF) announces plans to acquire the 580-acre Central Clayton Valley Lithium Brine Project in Nevada, which is completely surrounded by SLB's property. This acquisition will expand Cruz's lithium brine footprint to 820 acres in Clayton Valley.

The project is strategically located in the deepest part of the Clayton Valley lithium brine basin. The acquisition comes as SLB has successfully completed a 100% earn-in of Pure Energy's Clayton Valley project and demonstrated successful high-purity direct lithium extraction (DLE) production.

The acquisition terms include a cash payment of $115,000 for BLM fees and staking costs, plus the issuance of 7 million shares with a four-month hold period. The deal is subject to regulatory approvals.

The announcement highlights recent EV market growth, with China's new energy vehicles accounting for over 52.3% of passenger car sales, and GM reporting a 50% increase in EV sales for Q4 and 125% for the year, becoming the #2 EV seller in the U.S. in H2 2024.

Vancouver, British Columbia--(Newsfile Corp. - January 13, 2025) - Cruz Battery Metals Corp. (CSE: CRUZ) (OTC Pink: BKTPF) (FSE: A40YSN) (the "Company" or "Cruz") announces it plans to acquire, from arm's length vendors, the 580-acre 'Central Clayton Valley Lithium Brine Project' located in the heart of Clayton Valley in Esmeralda County, Nevada, USA. This new project consists of 29 claims completely surrounded by SLB's (formerly Schlumberger Limited) Clayton Valley lithium brine project. Cruz will now have a footprint of 820 acres prospective for lithium brine in Clayton Valley, Nevada. This acquisition is subject to all regulatory approvals.

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James Nelson, President of Cruz, commented, "We believe there are several reasons why the Central Clayton Valley Lithium Brine Project has potentially major upside value. These claims are located with access to the deepest part of the Clayton Valley lithium brine basin in Esmeralda County, Nevada, and are completely inside of SLB's (formerly Schlumberger) claims. We are very pleased to acquire this project at a time when SLB has successfully completed the 100% earn-in of Pure Energy Ltd.'s Clayton Valley lithium brine project and has recently demonstrated successful ongoing, high purity direct lithium extraction (DLE) production from this basin. In addition, the incoming Trump administration brings with it a lot of 'Made in America' sentiment. It's clear that a reduction of USA reliance on foreign resources will be a priority for the Trump administration. We believe this will provide a tail wind in the demand for domestic lithium production. As Albemarle's Clayton Valley Lithium Brine operation is currently the only lithium production in North America, we see this opportunity as a potential major catalyst for other lithium players to build up a domestic resource with what will be seemingly less regulatory restrictions and political red tape to go through. Management is excited as we enter a period of increased corporate activity in 2025 and the potential growth this year may bring for Cruz shareholders."

According to a CNBC article dated January 2, 2025, China's push to develop its own electric cars hit a tipping point in July, with the share of new energy vehicles sold accounted for more than half all passenger cars sold that month, according to the passenger car association. New energy vehicles include battery-only and hybrid-powered cars. The trend persisted through November, which saw a penetration rate of 52.3%, according to association data.

On January 3, 2025, GM announced that for the fourth quarter, sales were up 21% from the year-earlier period. Electric vehicle sales jumped 50% for the quarter and 125% for the year, roughly doubling our market share over the course of the year. GM was the #2 seller of EVs in the U.S. across the second half of 2024.

Mr. Nelson went on to say, "Despite the ferociously negative sentiment around lithium and EV's over the last two years, the recent data clearly shows that EV sales are increasing and the momentum for EV sales globally is in fact strengthening, not weakening. Therefore, we feel domestically sourced lithium projects in 2025 will garner significantly more market interest than the previous two years."

Announced on September 11, 2024, Pure Energy Minerals Ltd.'s partner, SLB, has now completed a comprehensive technology demonstration and testing program as required to earn-in to the company's 100-per-cent-owned Clayton Valley lithium brine project (CV project) in Esmeralda County, Nevada.

Pure Energy and SLB formed a partnership in May, 2019, which provides for SLB to design, permit, develop and build a state-of-the-art pilot plant for direct lithium extraction (DLE) of lithium brines from the Clayton Valley property. The sustainable lithium demonstration plant, operated by SLB, currently is producing lithium carbonate (Li2CO3) product, a direct component of lithium batteries in mobile phones, electric vehicles and energy storage.

SLB has demonstrated completion of specific technical milestones to qualify the earn-in to 100-per-cent ownership of the CV project, which include continuous production of lithium carbonate for an extended period and achieving a material quantity of lithium product in excess of a required purity threshold, which was verified by a third party.

The Company has agreed to acquire the Central Clayton Valley Lithium Brine Project for compensation of one hundred fifteen thousand in cash, which covers BLM fees and staking costs, and the issuance of seven million shares that carry a four-month hold, payable on closing. This acquisition is subject to all regulatory approvals.

Qualified Person

The technical contents of this release were reviewed and approved by Frank Bain, PGeo, a director of the Company and qualified person as defined by National Instrument 43-101.

About Cruz Battery Metals Corp.

Cruz currently has several battery metals focused projects located in the USA. Cruz's Nevada lithium projects consist of the 4,938-acre 'Solar Lithium Project', the 240-acre 'Clayton Valley Lithium Brine Project', and the recently acquired 580-acre 'Central Clayton Valley Lithium Brine Project'. Cruz also has the 124-acre 'Idaho Cobalt Belt Project'. Management cautions that past results or discoveries on properties in proximity to Cruz may not necessarily be indicative of the presence of mineralization on the Company's properties.

If you would like to be added to Cruz's news distribution list, please send your email address to info@cruzbatterymetals.com.

Cruz Battery Metals Corp.

"James Nelson"

James Nelson
President, Chief Executive Officer, Secretary and Director

For more information regarding this news release, please contact:
James Nelson, CEO and Director
T: 604-899-9150
Toll free: 1-855-599-9150
E: info@cruzbatterymetals.com
W: www.cruzbatterymetals.com
Twitter: @CruzBattMetals

The CSE has neither approved nor disapproved of the contents of this press release.

Forward-Looking Statements

Certain information in this news release may contain forward-looking statements that involve substantial known and unknown risks and uncertainties. Forward-looking statements are often identified by terms such as "will", "may", "should", "anticipate", "expects" and similar expressions. All statements other than statements of historical fact included in this news release are forward-looking statements that involve risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Forward-looking statements in this news release include, but are not limited to, statements regarding the completion of the Arrangement as proposed, or at all, the record date, the effective date, CSE listing approval, and the business focus of each of Cruz and Makenita following the Arrangement. Important factors that could cause actual results to differ materially from the Company's expectations include unanticipated market, economic and other conditions which may adversely affect the Company's ability to complete the Arrangement on the terms set out in the Arrangement Agreement with Makenita, or at all, and other risks detailed from time to time in the filings made by the Company with the securities regulatory authorities. The reader is cautioned that assumptions used in the preparation of any forward-looking information may prove to be incorrect. Events or circumstances may cause actual results to differ materially from those predicted, as a result of numerous known and unknown risks, uncertainties, and other factors, many of which are beyond the control of the Company. The reader is cautioned not to place undue reliance on any forward-looking information. Such information, although considered reasonable by management at the time of preparation, may prove to be incorrect and actual results may differ materially from those anticipated. Forward-looking statements contained in this news release are expressly qualified by this cautionary statement. The forward-looking statements contained in this news release are made as of the date of this news release and the Company disclaims any intention or obligation to update or revise such information, except as required by applicable law.

References:

https://www.cnbc.com/2025/01/02/chinas-electric-car-boom-is-increasingly-more-about-hybrids.html

https://investor.gm.com/news-releases/news-release-details/gm-posts-4-sales-growth-2024-market-share-keeps-expanding

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/236920

FAQ

What is the size and location of Cruz Battery Metals' new lithium project acquisition (BKTPF)?

Cruz Battery Metals is acquiring the 580-acre Central Clayton Valley Lithium Brine Project in Esmeralda County, Nevada, which will increase their total footprint to 820 acres. The project is completely surrounded by SLB's property.

What are the terms of Cruz Battery Metals' (BKTPF) Central Clayton Valley acquisition?

The acquisition terms include $115,000 in cash for BLM fees and staking costs, plus 7 million shares with a four-month hold period, subject to regulatory approvals.

How does the January 2025 EV market data support Cruz Battery Metals' (BKTPF) lithium project?

The data shows strong EV market growth, with China's new energy vehicles exceeding 52.3% of passenger car sales and GM reporting 50% Q4 EV sales growth and 125% annual growth, indicating increasing demand for lithium.

What is significant about the location of Cruz Battery Metals' (BKTPF) new Clayton Valley project?

The project is located in the deepest part of the Clayton Valley lithium brine basin and is completely surrounded by SLB's property, where successful high-purity direct lithium extraction (DLE) production has been demonstrated.

How does SLB's success in Clayton Valley impact Cruz Battery Metals' (BKTPF) new acquisition?

SLB's successful 100% earn-in of Pure Energy's project and demonstrated DLE production in the same area validates the potential of Cruz's new acquisition in the Clayton Valley basin.