SASKATOON, SASKATCHEWAN – August 22, 2022. Royal Helium Ltd. (“Royal” or the “Company”) (TSXV: RHC) (TSXV: RHC.WT) (OTCQB: RHCCF) is pleased to report that it has sampled up to 84.9Mg/L lithium in brine underlying the Climax helium project. Accordingly, the Company has provided notice to the Province of Saskatchewan that it intends to acquire the lithium mineral rights, with the intent to advance a lithium brine project alongside the ongoing helium development operations.
Andrew Davidson, President and CEO of Royal comments: “In the Climax-1 well, drilled in January 2021, one of the zones that we tested showed significant inflows of brine water and gas. Samples of both were taken and sent to lab for assay, returning elevated levels of helium and significant concentrations of lithium in brine. With recorded lithium grades of 84.9 mg/litre, combined with flow rates in the range of 1.85 MMCF per day equivalent, Climax is set to not only become a cash generative helium play, but also now presents potential additional value to stakeholders with a lithium exploration and development project.”
Royal will provide a further update as and when the mineral rights are granted by the Government of Saskatchewan. Under the provisions of mineral tenure ownership, Royal is the only party who can be granted rights over the zone of interest in the Climax area, as competing rights over the same zones cannot be granted.
The Climax project is approximately 60,000 hectares in size, which would make for one of the largest lithium exploration projects in Western Canada. The Company will explore all options for developing the lithium project, such that the focus of the Company will remain on exploiting the helium already discovered at Climax and elsewhere.
Royal Helium Ltd.
Royal controls over 1,000,000 acres of prospective helium land in southern Saskatchewan and southern Alberta. All of Royals’ lands are in close vicinity to highways, roads, cities and importantly, close to existing oil and gas infrastructure, with a significant portion of its land in close proximity to existing helium producing locations. With stable, rising prices and limited, non-renewable sources for helium worldwide, Royal intends to become a leading North American producer of this high value commodity.
For more information, please contact the Company.
| Andrew Davidson President and CEO Royal Helium Ltd. (306) 653-2692 davidson@royalheliumltd.com | Dean Nawata VP, Corporate Development Royal Helium Ltd. (604) 561-2821 dean@royalheliumltd.com |
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This release includes certain statements that may be deemed to be “forward-looking statements”. All statements in this release, other than statements of historical facts, that address events or developments that management of the Company expects, are forward-looking statements. Although management believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance, and actual results or developments may differ materially from those in the forward-looking statements. The Company undertakes no obligation to update these forward-looking statements if management’s beliefs, estimates or opinions, or other factors, should change. Factors that could cause actual results to differ materially from those in forward-looking statements, include market prices, exploration and development successes, continued availability of capital and financing, and general economic, market or business conditions. Please see the public filings of the Company at www.sedar.com for further information.