Dark Horse Resources Ltd's (ASX:DHR) share price has jumped out of the starting gate today, with an agreement to acquire prospective lithium bearing pegmatite fields in the San Luis and Córdoba provinces of Argentina.
Dark Horse will pay a total of US$900,000 and issue 100 million shares over 3 years to Oronegro SA, which holds 36,700 hectares of exploration license applications in San Luis and Córdoba.
The San Luis and Cordoba lithium bearing pegmatite fields belong to the Pampean pegmatite province, which includes the granitic pegmatites of central and northwestern Argentina.
It contains more than 95% of the granitic pegmatites of the country, with mineral resources that have been mined during the past 80 years, producing feldspar, quartz, mica and other metals.
Additionally, Oronegro has entered into an agreement to purchase the Las Cuevas Mine, one of the largest historical beryllium, lithium and tantalum mines of Argentina.
The Las Cuevas pegmatite is exposed over more than 400 metres in strike length and is 70-100 metres in width.
If the purchase option for the Las Cuevas Mine is exercised, the consideration of US$4 million is to be paid to the vendor over 4 years.
The lithium exposure provides significant blue sky for investors while focusing on the strategic 1000-megawatt Pico Power Project in the Rio Negro Province of Argentina.
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