New America Energy Highlights Recent News in Lithium Sector
LAS VEGAS, Dec. 13, 2012 /PRNewswire/ — New America Energy Corp. (OTCBB: NECA) — New America Energy Corp. is pleased to draw attention to recent market news that the Company believes suggest a positive trend for the domestic US lithium exploration sector.
A December 12th story in “The Australian” (http://www.theaustralian.com.au/business/mining-energy/china-aims-to-consolidate-lithium-supply-chain-with-talison-deal/story-e6frg9df-1226535447857) headlined China aims to consolidate lithium supply chain with Talison deal. The article reported “CHINA’S Chengdu Tianqi Industrial Group will consolidate its grip on a key part of the global lithium supply chain if, as expected, its $815 million takeover bid for West Australian miner Talison Lithium succeeds.
The story also highlighted reports from Santiago based industry consultancy Signum Box that Global lithium consumption is about 130,000 tonnes a year of LCE and estimating consumption will grow 15 to 20 per cent on the back of battery demand.
On November 23rd “the Santiago Times” (www.santiagotimes.cl/business/mining/25434-chiles-botched-lithium-bidding-process-definitively-terminated) article headlined “Chile’s botched lithium bidding process definitively terminated” details the end of the controversial lithium privatization process that has included high level resignations and legal battles.
President and CEO of NECA Rick Walchuk comments “It is exciting to be involved in a sector that is receiving such rapid growth in investor interest. I believe this market consolidation activity and Geo Political gamesman ship will only help to draw attention to the sector and to lithium exploration companies like NECA.” Mr. Walchuk added “I believe our (the CR claims) are superior in many ways to other projects as it is located the mining friendly jurisdiction of Nevada, one of the most attractive and politically viable lithium producing area in the world in my opinion.”
The majority of the world’s lithium production comes from brines, or salt lakes, where prospective lithium mineralization is generally hosted in brine horizons. The CR claims are well positioned for lithium brine production in that there is plenty of room for evaporation ponds, located directly adjacent to Highway 95 and power-lines located roughly half way between Las Vegas and Reno Nevada
In late 2011 the Company began its geophysical exploration program on the CR claims. The first phase of the exploration program was a gravity survey. Interpretation of the modeled gravity data indicates a large topographic low, or basin, that is closed over a wide range of depths. These areas may be conducive for concentration of lithium bearing brines.
The second phase of the exploration plans include extending the gravity survey to build the framework for the next stage of exploration to the north and northwest of the first survey and to test the gravity defined basin for conductors with a controlled source audio magnetotellurics/magentotellurics (CSAMT/MT) survey to further map any geologic structures that may be significant to the occurrence of Lithium brine. This survey determines if conductive zones, possibly indicative of lithium-bearing brines, are present and continuous within the basin. The Company has recently received a detailed exploration plan for the next phase of exploration. The Company is working with its operator on an anticipated start date to initiate this program.
The second phase is tentatively expected to begin in Q1 2013.
FORWARD LOOKING STATEMENT
This announcement is not an offer to sell any New American Energy Corp. (“NECA”) shares or related securities. Offers for any given security are made only through applicable offering circulars and related documents filed with the SEC pursuant to the Securities Act of 1933 or the Securities Exchange Act of 1934. Certain statements contained herein and subsequent oral statements made by and on behalf of NECA may contain “forward looking statements.” Such forward looking statements are identified by words such as “intends,” “anticipates,” “believes,” “expects,” and “hopes” and includes, without limitation, statements regarding the resource potential of the Clayton Ridge property, the start of the gravity survey on the property and anticipated exploration results. Forward-looking statements express our expectations or predictions of future events or results. They are not guarantees and are subject to many risks and uncertainties. There are a number of factors beyond our control that could cause actual events or results to be significantly different from those described in the forward-looking statements. Any or all of our forward-looking statements in this report or in any other public statements we make may turn out to be wrong. We undertake no obligation to publicly update or review any forward-looking statements, whether as a result of new information, future developments or otherwise.
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SOURCE New America Energy Corp