Published: September 6, 2023 |

[Click image to enlarge]

Trident Royalties has entered into a binding sale and purchase agreement to acquire an existing lithium royalty from Atherton Resources over projects owned by Anson Resources in the Paradox Basin in Utah. The royalty notably covers Anson’s flagship Paradox Lithium Project.

The royalty is a 2.50 percent net smelter return (NSR) royalty tied to Anson’s ownership of the projects. Should Anson sell a property within the Paradox Basin, Trident will be entitled to 2 percent of the net sales proceeds and the royalty would no longer apply to the sold asset.

“We are delighted to announce the acquisition of this royalty over the Paradox Lithium Project. For a modest initial cash outlay, we have secured exposure for shareholders to a well funded, highly attractive project with a pathway to cash generation and significant growth potential,” said Adam Davidson, chief executive officer of Trident.

“The Paradox project reinforces our strong position in battery materials, and introduces exposure to direct lithium extraction, which could play a significant role in future lithium supply. The acquisition again demonstrates Trident’s ability to source innovative transactions to create shareholder value,” added Davidson.

Paradox Lithium Project

The Paradox Lithium Project is an advanced stage development project located in the Paradox Basin in Utah, which contemplates the extraction of lithium from brines associated with past oil and gas operations. Paradox consists of 2,434 placer claims, of which 87 are subject to an earn-in agreement. Upon completion of the pending acquisition of the Green Energy Lithium Project from Legacy Lithium, Paradox will comprise a land holding of 231 square kilometers Paradox has an indicated mineral resource estimate for 346,109 tonnes LCE and an inferred resource 691,800 tonnes of LCE.

Anson is rapidly advancing Paradox towards production. Worley, a global engineering firm, has been appointed and has commenced the FEED study for the proposed lithium carbonate processing plant, which is expected to be completed in Q4 2023. Anson’s chosen DLE process, developed by Sunresin New Materials, will be incorporated into the design and engineering work, and the FEED team will work closely with Sunresin and its independently appointed design and engineering consultants in the delivery of the FEED study. Sunresin is the process package owner and technology provider for the proposed DLE plant at Paradox, processing raw brine into sellable product, and will be responsible for the design and engineering work to applicable United States standards. Worley will provide the engineering for the supporting infrastructure and utilities for the broader site development.

Anson is in process of developing a suppliers list of components and equipment required for the production plant. It is focused on sourcing as much of the required equipment and components from North America as is possible, in order to maximize the opportunity to secure debt financing from government agencies, Export Credit Agencies and the United States Department of Energy, with whom Anson reports it is in frequent consultation.

Trident Royalties is a growth-focused diversified mining royalty and streaming company, providing investors with exposure to a mix of base battery, precious, and bulk metals.

Be in-the-know when you’re on-the-go!

CLICK HERE to register your email address.

Copyright © 2023 Mining Connection LLC. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed without permission.

For licensing permission, .(JavaScript must be enabled to view this email address)