logo-new-604

MGX MINERALS ANNOUNCES UNITIZATION OF OIL AND GAS LEASES AND ADDITION OF 70,000 ACRES OVERLYING LITHIUM BRINE CLAIMS AT PARADOX BASIN UTAH

RSS
Facebook
Instagram

Mr. Jared Lazerson reports

MGX MINERALS ANNOUNCES UNITIZATION OF OIL AND GAS LEASES AND ADDITION OF 70,000 ACRES OVERLYING LITHIUM BRINE CLAIMS AT PARADOX BASIN UTAH

MGX Minerals Inc. has provided a project development update for its Paradox basin petrolithium project.

The company has begun unitization of designated oil and gas leases and the staking of overlying mineral claims located contiguous to its Lisbon Valley mineral claims. The purpose of the unitization is to eliminate property boundaries, pool mineral interests and establish the company’s private partner as unit operator. MGX now controls more than 94,000 acres of combined oil and gas leases and mineral claims in the state of Utah. MGX’s North American lithium brine claims now exceed 1.7 million acres.

MGX and its Utah-based partner have completed boundary surveying and issued mailers to parties within the unit. Additionally, the company has submitted a permit to drill along with a surface-use plan of operations to the Bureau of Land Management (BLM). Previous geological and seismic information is now under review, and preparations have commenced to conduct a 3-D seismic shoot to understand both lithium- and oil-bearing structures.

Consolidation through unitization of the oil and gas leases represents the most efficient timelines and cost-effective means of developing the area’s underlying resources.

Engineering of oil, gas and lithium wells

MGX is currently in discussion with a U.S.-based engineering company for drilling and operation of multi-zone wells optimized for maximum flow of oil, gas, lithium and magnesium brine. MGX expects a project scoping study shortly.

Acquisition of additional minerals claims

As part of the acquisition of mineral claims overlying its recent oil and gas lease acquisition in the Paradox basin, 4,718 additional mineral claims were acquired. This expanded land position and adds 94,082 acres to the company’s Paradise basin petrolithium project, increasing MGX’s total cumulative minerals claims to approximately 118,000 acres, which now includes the majority of oil, gas and brine mineral rights within the area of interest.

Additionally, MGX has amended the previously announced payment schedule to acquire underlying oil and gas leases (see press release dated March 23, 2017 ). The amended payment schedule is as follows:

  • Non-refundable deposit of $50,000 (paid);
  • $500,000 on or before Sept. 1, 2017;
  • $500,000 on or before March 1, 2018;
  • $500,000 on or before Sept. 1, 2018;
  • $450,000 on or before March 1, 2019.

Overview MGX’s oil and gas leases

MGX’s oil and gas leases overlie a large area west of the Lisbon Valley oil field approximately 40 miles south of Moab, Utah, in the salt anticline belt on the southwest edge of the Paradox basin in San Juan county. Historical lithium brine content has been reported as high as 730 parts per million lithium (Superior Oil 88-21P) at Lisbon Valley. The region is also home to the former Rio Algom uranium mill facility, an active copper mine operated by Lisbon Valley Mining Company, and a natural gas processing plant.

Qualified person

The technical portions of this press release were prepared and reviewed by Andris Kikauka, PGeo, vice-president of exploration for MGX. Mr. Kikauka is a non-independent qualified person within the meaning of National Instrument 43-101 standards.

MGX is advancing its petrolithium projects into production without first establishing mineral resources supported by an independent technical report or completing a feasibility study. A production decision without the benefit of a technical report independently establishing mineral resources or reserves and any feasibility study demonstrating economic and technical viability creates increased uncertainty and heightens economic and technical risks of failure. Historically, such projects have a much higher risk of economic or technical failure.

About MGX Minerals Inc.

MGX is a diversified Canadian mining company engaged in the development of large-scale industrial mineral portfolios in Western Canada and the United States. The company operates lithium, magnesium and silicon projects throughout British Columbia and Alberta, as well as petrolithium exploration in Utah.

We seek Safe Harbor.

© 2017 Canjex Publishing Ltd. All rights reserved.

 

Disclaimer© 2010 Junior Gold ReportJunior Gold Report’ Newsletter: Junior Gold Report’s Newsletter is published as a copyright publication of Junior Gold Report (JGR). No Guarantee as to Content: Although JGR attempts to research thoroughly and present information based on sources we believe to be reliable, there are no guarantees as to the accuracy or completeness of the information contained herein. Any statements expressed are subject to change without notice. JGR, its associates, authors, and affiliates are not responsible for errors or omissions. Consideration for Services: JGR, it’s editor, affiliates, associates, partners, family members, or contractors may have an interest or position in featured, written-up companies, as well as sponsored companies which compensate JGR. JGR, it’s owner and affiliates/associates may buy/sell and trade the company’s stock written up/video created on from time to time. JGR has been paid by the company written up. JGR has been paid by the company written up. Thus, multiple conflicts of interests exist. Therefore, information provided herewithin should not be construed as a financial analysis but rather as an advertisement. The author’s views and opinions regarding the companies featured in reports are his own views and are based on information that he has researched independently and has received, which the author assumes to be reliable. No Offer to Sell Securities: JGR is not a registered investment advisor. JGR is intended for informational, educational and research purposes only. It is not to be considered as investment advice. Subscribers are encouraged to conduct their own research and due diligence, and consult with their own independent financial and tax advisors with respect to any investment opportunity. No statement or expression of any opinions contained in this report constitutes an offer to buy or sell the shares of the companies mentioned herein. Links: JGR may contain links to related websites for stock quotes, charts, etc. JGR is not responsible for the content of or the privacy practices of these sites. Release of Liability: By reading JGR, you agree to hold Junior Gold Report its associates, sponsors, affiliates, and partners harmless and to completely release them from any and all liabilities due to any and all losses, damages, or injuries (financial or otherwise) that may be incurred.

Forward Looking Statements
Except for statements of historical fact, certain information contained herein constitutes forward-looking statements. Forward looking statements are usually identified by our use of certain terminology, including “will”, “believes”, “may”, “expects”, “should”, “seeks”, “anticipates”, “has potential to”, or “intends’ or by discussions of strategy, forward looking numbers or intentions. Such forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause our actual results or achievements to be materially different from any future results or achievements expressed or implied by such forward-looking statements. Forward-looking statements are statements that are not historical facts, and include but are not limited to, estimates and their underlying assumptions; statements regarding plans, objectives and expectations with respect to the effectiveness of the Company’s business model; future operations, products and services; the impact of regulatory initiatives on the Company’s operations; the size of and opportunities related to the market for the Company’s products; general industry and macroeconomic growth rates; expectations related to possible joint and/or strategic ventures and statements regarding future performance. Junior Gold Report does not take responsibility for accuracy of forward looking statements and advises the reader to perform own due diligence on forward looking numbers or statements.

Want the Best News?
Increase your wealth by staying informed:
Trend Alerts - Exclusive Articles - Videos
We respect your privacy.
RSS
Facebook
Instagram