Ann: Kitotolo Lithium Project JV Agreement Executed, page-2

Kitotolo Lithium Project Joint Venture Agreement Executed
▪ Formal joint venture agreement executed with Cominiere SA paving the way for the Company to commence its aggressive exploration program at the highly prospective Kitotolo Lithium Project
▪ All other major associated joint venture documentation completed, notarised and registered, with incorporation of the new Congolese joint venture company and assignment of the Kitotolo Lithium Project mining and exploration licenses now in place
▪ Maiden exploration program to commence with the Company’s Head of Exploration, James Sullivan and additional Congolese geologists on site at the Kitotolo Lithium Project
▪ Initial exploration activities aimed at determining the width and strike extensions of the pegmatites, which are open in all directions on the Kitotolo Lithium Project License areas and are considered to potentially extend for several kilometres along a NE-SW trend
▪ Test-pitting and trenching of Mining License PE13247 and Exploration License 12453 initially focused on the area surrounding large artisanal workings where spodumene in pegmatite has been identified and where assays from the Company’s independent due diligence review returned high-grade lithium mineralisation
▪ The high-grade results already achieved and the extent of the near surface mineralisation in predominantly weathered pegmatites, combined with the Project’s exceptional location to AVZ Minerals’ ‘world-class’ Manono and Kitotolo deposits, underscores the significant potential of the Kitotolo Lithium Project
Force Commodities Ltd (Force or the Company) (ASX Code: 4CE) is pleased to confirm that the Joint Venture Agreement relating to its acquisition of a 70% interest in the Kitotolo Lithium Project located in in Tanganyika Province in the south east of the Democratic Republic of Congo (DRC) has been executed in line with the key terms previously advised.
Pursuant to the Joint Venture Agreement, Force will be responsible for funding all exploration activities through to completion a of Feasibility Study by way of loan to the newly incorporated Joint Venture company. Force will also be responsible for arranging all project development funding.
2
Non-executive directors Jason Brewer and Gedeon Pelesa signed the agreement in Lubumbashi on behalf of the Company over the weekend at a formal signing ceremony held with senior executives of Joint Venture partner - La Congolaise d’Exploitation Miniere (Cominiere SA).
The Company will hold a 70% interest in the Joint Venture, with Cominiere SA holding the remaining 30% interest and receiving a 1% royalty on production from the Kitotolo Lithium Project.
Figure 1. Signing of the Kitotolo Lithium Project Joint Venture Agreement and associated documentation with Cominiere SA
Upon execution of the Joint Venture Agreement Force Director Jason Brewer stated:
“Today marks a landmark event in the advancement of the Kitotolo Lithium Project and Force Commodities Limited. We are extremely pleased and proud of our new partnership with Cominiere SA and look forward to working with them to rapidly progress the Kitotolo Lithium Project.”
“In just a little over 3 months, we have completed an independent technical due diligence review of the Kitotolo Lithium Project, secured overwhelming shareholder support for the acquisition of the 70% interest in the Project, and have now executed all necessary Joint Venture documentation and agreements and mobilised to site to commence our maiden exploration program.”
“It is a credit to the professionalism of all involved at Cominiere SA and Force Commodities as well as our advisors in the DRC, that we have been able to move so quickly and efficiently to finalise the Joint Venture. We now look forward to working in partnership with Cominiere SA to unlock the full potential of this Project for the joint benefit of our companies, our shareholders and the community.”
Execution of the Joint Venture Agreement and the associated joint venture documentation, which has been notarised and registered with the appropriate regulatory body in the DRC, paves the way for the Company to now commence its exploration program at the Kitotolo Lithium Project.
James Sullivan, Force’s Head of Exploration, has been in the DRC for the past week organising personnel, supplies and equipment for the exploration activities on the Kitotolo Lithium Project to commence.
3
Phase 1 of the Company’s exploration program aimed at determining the width and strike extensions of the pegmatites on the Kitotolo Lithium Project, which are open in all directions and are considered to potentially extend for several kilometres along a NE-SW trend.
Figure 2: The Kitotolo Lithium Project and inferred regional structural corridor within the Kibaran Belt.
The Phase 1 activities will include eleven (11) lines of test-pitting at 100m intervals, with each line 1km long for a total of 121 test pits.
The test-pitting program has been designed to cover a wide area quickly and to expose bedrock geology for geochemistry sampling and assaying and to gain key structural information.
Follow-up infill trenching as part of the Phase 2 exploration activities will be carried out to add continuous geological understanding of in situ pegmatites and for sampling mineralisation across the exposed and inferred strike of the pegmatite trend.
The planned exploration for both Phase 1 and Phase 2 including the test-pits and trenching will be carried out using a large excavator, which has been secured locally and which will be used to initially focus in an area close proximity to the existing lithium mineralisation outcropping in historical workings as previously reported.
Additional regional test pitting and trenching in Phase 3 is proposed using wider step outs and based on the results from Phase 1 and 2, also on the NE-SW trend. This will further assist in determining the regional strike length potential of the pegmatite mineralization within the Project area.
The aim of the test pits and trenching will be to assist in reaching insitu bedrock for logging and geochemistry sampling, below the regional lateritic cover and provide invaluable information to assist in subsequent exploration phases, including drilling following the wet season.
END
Contact:
Michael Fry
Company Secretary
Force Commodities Limited
Tel: +61 (0) 8 9328 9368
4
Competent Person Statement
The information in this release that relates to sampling techniques and data, exploration results, geological interpretation and Exploration Targets, Mineral Resources or Ore Reserves has been compiled by Mr James Sullivan is a member of the Australian Institute of Geoscientists. Mr Sullivan is engaged by Force Commodities as a consultant geologist.
Mr Sullivan has sufficient experience of relevance to the styles of mineralisation and the types of deposits under consideration, and to the activities undertaken, to qualify as a Competent Person as defined in the 2012 Edition of the Joint Ore Reserves Committee (JORC) Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves. Mr Sullivan consents to the inclusion in this report of the matters based on information in the form and context in which it appears.
Forward looking statements
Information included in this release constitutes forward-looking statements. Often, but not always, forward looking statements can generally be identified by the use of forward looking words such as “may”, “will”, “expect”, “intend”, “plan”, “estimate”, “anticipate”, “continue”, and “guidance”, or other similar words and may include, without limitation, statements regarding plans, strategies and objectives of management, anticipated production or construction commencement dates and expected costs or production outputs.
Forward looking statements inherently involve known and unknown risks, uncertainties and other factors that may cause the Company’s actual results, performance and achievements to differ materially from any future results, performance or achievements. Relevant factors may include, but are not limited to, changes in commodity prices, foreign exchange fluctuations and general economic conditions, increased costs and demand for production inputs, the speculative nature of exploration and project development, including the risks of obtaining necessary licences and permits and diminishing quantities or grades of reserves, political and social risks, changes to the regulatory framework within which the company operates or may in the future operate, environmental conditions including extreme weather conditions, recruitment and retention of personnel, industrial relations issues and litigation.
Forward looking statements are based on the Company and its management’s good faith assumptions relating to the financial, market, regulatory and other relevant environments that will exist and affect the Company’s business and operations in the future. The Company does not give any assurance that the assumptions on which forward looking statements are based will prove to be correct, or that the Company’s business or operations will not be affected in any material manner by these or other factors not foreseen or foreseeable by the Company or management or beyond the Company’s control.
Although the Company attempts and has attempted to identify factors that would cause actual actions, events or results to differ materially from those disclosed in forward looking statements, there may be other factors that could cause actual results, performance, achievements or events not to be as anticipated, estimated or intended, and many events are beyond the reasonable control of the Company. Accordingly, readers are cautioned not to place undue reliance on forward looking statements. Forward looking statements in these materials speak only at the date of issue. Subject to any continuing obligations under applicable law or any relevant stock exchange listing rules, in providing this information the company does not undertake any obligation to publicly update or revise any of the forward looking statements or to advise of any change in events, conditions or circumstances on which any such statement is based.