Lithium X Energy Corp. has inked an agreement with Aberdeen International Inc. to acquire up to 80% of a lithium-potash brine project in Argentina. The Sal de los Angeles project includes 32 mining claims is located near one of the world’s largest lithium operations.

"The acquisition of Sal de los Angeles is a special opportunity for Lithium X," said company chair Paul Matysek. "It is one of the few known lithium brines that is amenable to conventional processing. The project has both near-term development potential and scale. Salta province is a mining-friendly part of Argentina where we have enjoyed previous successes and maintain good relationships."

Lithium X will issue 8,000,000 common shares to Aberdeen International for a 50% interest in the Project on closing. Lithium X has the option for a 26 month period (the "Option") to acquire an additional 30% interest by issuing common shares worth $5,000,000 to Aberdeen and fulfilling several terms, including incurring $3,000,000 in exploration and development expenditures over a two-year period and completing a feasibility study on the Project. As part of the agreement, Lithium X will be considered the initial operator of the project for as long as the Company maintains interest greater than or equal to 50% in the Joint Venture.

"In a short period of time, Lithium X has built an exciting company with an impressive team, and we saw the opportunity to benefit from being part of a larger, growing lithium company. We see Sal de los Angeles becoming the flagship asset of a new dynamic, multi-project lithium company with the potential to deliver strong returns for our shareholders over the longer-term,” said David Stein, Aberdeen's president and CEO.

Approximately $19 million has been invested in the property by previous operators, including $16.2 million in work completed at Sal de los Angeles between 2010 to 2015. Work included extensive exploration and definition drilling, pump tests, seismic & gravity geophysical surveys, basin and solute transport models, evaporation and metallurgical testing, and running a continuous pilot ponding plant on-site.

A Preliminary Economic Assessment for the project concluded that the operation could produce 15,000 tonnes of lithium carbonate annually.