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Ultra Lithium Announces Sampling Program Assay Results from South Big Smokey Valley Project

Ultra Lithium Inc. ("Ultra Lithium" or "the Company") is pleased to announce assay results from December 2015 sampling program completed at its 100% owned South Big Smokey Valley brine lithium project. The results not only confirmed presence of lithium in sediments but also indicated anomalous values of boron and potassium.

Highlights of the sampling program are:

  • Maximum values for lithium in sediments is 100 ppm, boron 480 ppm, and potassium 7,600 ppm, whereas the average lithium concentration in all sediment samples is 47 ppm, boron 142 ppm, potassium 4,915 ppm, and magnesium 6,685 ppm.
  • The results confirmed the presence of lithium in the South Big Smokey hydrogeological system. Of particular interest is the northeastern area, of geophysical survey lines C, D, E and F showing consistent anomalous values of lithium, boron, and potassium.
  • The Property is part of an enclosed basin or playa which is considered a prerequisite for trapping of lithium in brines. The rocks on the southwestern part of the valley were observed to be dipping inwards to the basin and overall slope of the basin is to the southwest.

The sediment and water sampling was carried out during December 11-18, 2015, and its purpose was to investigate the presence of lithium in shallow soil and shallow water system. The sediment sampling was conducted along 2014 Controlled Source Audio-Frequency Magneto-telluric (CSAMT) ground geophysical survey lines (see March 07, 2016 press release for survey details). A total of 48 sediment samples were collected to cover geophysical survey lines A to H. Additionally, five water samples were collected from different areas, out of which four were from surface water / ice and one from a water well, located on adjacent ground to the Property. The results confirmed the presence of lithium in the South Big Smokey hydrogeological system. Of particular interest is the area of geophysical survey lines C, D, E and F. Maximum values for lithium in sediments is 100 ppm, boron 480 ppm, and potassium 7,600 ppm. The area of lines A, B, G and H represents sand and gravel at shallow subsurface at majority of the sampling locations and represent a low lithium values on surface. Generally, the lithium, boron and potassium values corresponds well with each other, where the samples with higher lithium concentration have higher values of other two elements. The surface and shallow subsurface water samples show less than one mg/L value of lithium and low values of other three elements tested, indicating that the fresh water recharge does not contribute much to lithium concentration in the hydrogeological system of this area.

During fieldwork, traverses along geophysical survey lines indicated that subsurface sediments generally composed of silty clay, silty sand and gravel. The amount of volocanogenic material and salt varies from place to place but overall it was observed in majority of the claims held by Ultra Lithium. A few traverses of area between Big Smokey and Clayton Valley were made to track presence of distinct layers of white to light grey colour volcanic ash beds surrounding the Clayton Valley. These ash beds were observed to continue to the north, towards the South Big Smokey Valley (BSV) which shows similarity of volcanic material contributing to both valleys. The other similarities between the two valleys are the presence of arid climate; closed basin containing a playa; fault related subsidence; presence of igneous activity; suitable lithium source-rocks in Esmeralda Formation; and one or more adequate aquifers.

Dr. Weiguo Lang, CEO of Ultra, stated that, "The present sampling work has not only confirmed the presence of lithium in sediments of the South Big Smokey Valley but also enhanced our understanding of the South Big Smokey basin to develop future exploration plans. Our next challenge is to drill deep enough to intersect all potential brine bearing targets identified in geophysical and geological data collected so far. To accomplish this goal, the Company has planned to execute a drill program on the Property which will be announced soon."

All the samples were shipped to Western Environmental Testing Laboratory in Sparks, Nevada, which is an US EPA accredited independent laboratory. The samples were analyzed for lithium, potassium, boron, and magnesium using Standard Methods for the Examination of Water and Wastewater, online edition, Methods for Determination of Organic Compounds in Drinking Water, EPA-600/4-79-020, and Test Methods for Evaluation of Solid Waste, Physical/Chemical Methods (SW846), Third Edition. Laboratory used its own quality control and quality assurance protocols for sample analysis.

The technical information contained in this news release has been reviewed and approved by Afzaal Pirzada, P.Geo., a qualified person, as defined by NI 43-101 who works as a consultant with the Company.


Kiki Smith, CFO

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