Rodinia Options Lithium Deposit
May 14, 2009
Vancouver, British Columbia … Rodinia Minerals Inc. (“Rodinia” or the “Company”) announced today that it has entered into a letter agreement to acquire, by assignment, the right to earn a 100% interest, subject to a 2% net smelter return royalty, (the “Interest”) in the Strider Lithium Project in Manitoba (the “Project”) in exchange for the issuance by Rodinia of 5 million units consisting of 5 million of its common shares and 5 million share purchase warrants exercisable at $0.30 for 24 months to the assignors and the assignors’ entitlement to appoint two members to Rodinia’s Board of Directors. The letter agreement is subject to regulatory approval and the approval of Rodinia’s Board of Directors, satisfactory completion of due diligence on the Project by Rodinia, execution of formal documentation and completion by Rodinia of a private placement financing of not less than $2 million.
To earn the Interest in the Project, Rodinia will be required, over a period of 4 years, to spend a total of $3 million on exploration of the Project, make cash payments totalling $500,000 and issue a total of 1 million Rodinia shares. 50% of the 2% net smelter return royalty can be purchased at any time for $1 million.
To satisfy one of the conditions of the letter agreement, the Company announces, subject to regulatory approval, a non-brokered private placement of up to 9 million units at a price of $0.25 per unit. Each unit is comprised of 1 common share of Rodinia and one non-transferable common share purchase warrant, each warrant entitling the purchase of 1 common share of Rodinia at a price of $0.30 per share for two years. Any of the Company’s securities issued pursuant to the private placement or letter agreement will be subject to a 4 month hold period from the date of their issue.
The Project comprises 14 contiguous claims, covering 1153 ha (2849 acres). The Thompson Bros. lithium deposit is a lithium bearing pegmatite dyke located on the east shore of Wekuso Lake, 20 km east of the mining community of Snow Lake, Manitoba. The dyke was originally drilled with 26 holes in 1956 by Combined Developments Limited. Three additional holes were drilled in 1997 by Carta Resources Limited.
A National Instrument 43-101 is being prepared to allow an evaluation of the Project to be completed.
ON BEHALF OF THE BOARD
Rodinia Minerals Inc
Donald Mosher, President
For further information contact: (604) 685-6465
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