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One World Lithium Inc
Symbol OWLI
Shares Issued 74,359,715
Close 2018-08-07 C$ 0.155
Market Cap C$ 11,525,756
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One World accepts proposed 11-hole drill program

2018-08-08 11:52 ET - News Release

Mr. Douglas Fulcher reports

ONE WORLD LITHIUM ACCEPTS THE PROPOSED 11 HOLE DRILL PROGRAM AND ONE WORLD LITHIUM'S INCREASED PROPERTY INTEREST IN ITS SALAR DEL DIABLO LITHIUM PROPERTY, BAJA CALIFORNIA NORTE, MEXICO

One World Lithium Inc. has accepted the lithium partnership's final report summarizing the phase 2 predrilling programs, which incorporate all the geochemical, geophysical and geological data necessary to select drill hole locations.

The drilling program

John Hiner, a licensed professional geologist and operator of the current programs through his company Jehcorp Inc., has selected 11-drill-hole locations to test all three geophysical anomalous zones as well as two geochemical targets, which will require at least 4,000 metres of reverse circulation drilling. All the holes are placed near to interpreted geophysical and geochemical structures to test both the structural setting of the basin as well as the potential existence of aquifers that may contain lithium. The company intends to commence drilling in the later part of October, 2018.

Drill holes 1 and 2 will test geophysical zone 1. Drill holes 3, 4 and 8 will test geophysical zone 2, and drill holes 5 and 6 in its southernly extensions. Drill holes 7 and 10 will test both geophysical zones 2 and 3. Holes 9 and 11 are sited to test the geochemical anomalies that are external to the geophysical survey footprint.

Drill hole detail

The drilling program includes permitting, site preparation, drilling and testing to discover potential aquifers, and then determine the aquifers thickness, permeability, porosity, initial flow rates, sustainable flow rates, sampling, lithium and related mineral grades.

The cost of drilling and testing is estimated at $640,000 (U.S.).

Additional programs will include a gravity survey to establish basin configuration, a time domain electromagnetic surveys to close the open-ended conductive zones 2 and 3, a prefeasibility study, and a second predrilling program to evaluate the remaining 80 per cent of the property, which includes the southernmost third of the property.

As previously reported on April 11, 2018, the geochemical lithium surface anomaly is 160 square kilometres. Also, as previously reported on July 3, 2018, and July 17, 2018, the summary of the geophysical report noted there are three conductive zones that extend over 60 kilometres with two zones open ended as they extend beyond the survey grid. Zone 1 covers six square kilometres and may be more than 100 metres thick. Syd Visser, president of SJ Geophysics, noted: "The Salar del Diablo was considerably more conductive than expected. The conductive layers could represent saline brines, which may contain elevated concentrations of lithium."

Geological summary

A geological map has not been completed. However, evaluation of satellite data, geophysical data, known tufa mounds and outcrops indicate significant intra basin structures exist that include faults in bedrock outcrop outside the basin that trend into the salar.

There are north-south active faults, which are translational strain responses to the opening of the gulf (of California) as well as linears that are likely cross faulting throughout the basin and adjacent bedrock outcrops.

There are two evident features:

  1. The geophysical zone 1 appears to be constrained at the north and south ends of the survey area by a significant increase in cross faulting;
  2. The cross faulting appears to dominate the east side of the basin and bedrock complex. These features suggest the conditions may exist to concentrate brines.

The company's property interest

On completion of the phase 2 predrilling programs as well as payment of concession fees estimated at $130,000 (U.S.), the company will own an undivided 60-per-cent interest in the property. The company has paid $50,000 (U.S.) to the LP and is in the process of issuing 200,000 common shares in total to the LP partners. On completion of the phase 3 programs and paying concession fees, the company will earn an additional 20-per-cent undivided interest for a total of an undivided 80-per-cent interest in the property. The company, upon the delivery of a bankable feasibility study, will have an additional option to purchase a further 10-per-cent property interest for a payment related to the discounted net present value of the project. The LP is in the process of assigning its interest to Energy Metals Discovery Group LLC.

About One World Lithium Inc.

One World Lithium, an exploration company, is focused on exploring and developing lithium projects of merit. It has an option to acquire up to a 90-per-cent working interest in the 75,400-hectare (754-square-kilometre) Salar del Diablo property located in Baja California Notre, Mexico.

John E. Hiner, SME registered member and a qualified person as defined by National Instrument 43-101, has reviewed and approved the scientific and technical disclosure contained in this release.

We seek Safe Harbor.

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