European Lithium Ltd (ASX:EUR) has agreed to amend the terms of the sale agreement with Cervantes Gold (ASX:CVS) for the sale of its Paynes Find Gold Project.
Key changes:
- The end date for completion of the transaction has been amended to 30 September 2017; and
- This extension was provided in consideration for the payment of $100,000 from CVS to the company by 30 August 2017.
The total consideration payable remains unchanged and comprises $500,000 cash (of which $70,000 has been received to date) and $500,000 in share consideration through the issue of 25,000,000 shares in CVS at $0.02 per share.
Tony Sage, chairman, commented:
"All conditions precedent to settlement of the transaction have now been satisfied and we look forward to completing the transaction next month.
"The $100,000 payment will be utilised in progressing our flagship Wolfsberg Lithium project."
EUR is fast-tracking the development of Wolfsberg, located in Austria, and recently produced battery-grade lithium carbonate from its hydrometallurgical testwork program.
READ: European Lithium produces battery-grade lithium carbonate
The testwork showed that battery grade lithium carbonate grading over 99.9% can be made from the flotation concentrate.