|By Marketwired .||
|December 10, 2013 11:42 AM EST||
RENO, NEVADA -- (Marketwired) -- 12/10/13 -- Western Lithium USA Corporation ("Western Lithium", the "Company") (TSX: WLC) (OTCQX: WLCDF) is pleased to announce it has received all major permits and approvals necessary to initiate construction of the planned Hectatone organoclay manufacturing plant in Fernley, Nevada. Specifically, the Nevada Division of Environmental Protection (NDEP) issued the Nevada Air Quality Operating Permit that includes the site's organoclay processing components, mill burner, and its thermal oxidizer burner. The City of Fernley has issued both the Design Review Permit and the Building Permit. Finally, the North Lyon County Fire Protection District has approved of all building plans for conformance with fire and safety requirements.
Refurbishment of the Fernley plant site has been initiated and major lead-time equipment is currently arriving at the facility. Western Lithium has circulated plant construction bid documents to several construction contractors, and a bid award is anticipated in December. The Company continues to advance its product development efforts and several products will be tested on commercial scale equipment in North Carolina and Missouri during December 2013. Western Lithium expects to bring up to six Hectatone organoclay products to the market in 2014. A summary of the Hectatone product lines can be found at www.hectatone.com. The Company is targeting the spring or second quarter, 2014, to commence commercial production of its Hectatone specialty drilling mud products.
"We are now focused on commencing construction of the Hectatone organoclay plant and finalizing our budget and schedule with the successful contractor" said Western Lithium's CEO, Jay Chmelauskas. "We are targeting the spring, or first half of the year, to get the commercial plant operating. In addition, we have been actively engaged with potential customers in the US Gulf Coast, the Rocky Mountains, and in Canada, and will seek to secure sales agreements in the new year."
Western Lithium is pursuing the opportunity to be a supplier of specialty drilling additive, Hectatone and potentially other organoclays for the oil and gas industry, and in particular, to support the growth of high pressure high temperature, deep directional drilling applications. The Company is also developing its Kings Valley, Nevada lithium deposit into a strategic, scalable and reliable source of high quality lithium carbonate. The Company is positioning itself as a major U.S.-based supplier to support the rising global demand for lithium carbonate that is expected from the increased use of hybrid/electric vehicles.
Statements in this release that are forward-looking statements are subject to various risks and uncertainties concerning the specific factors disclosed here and elsewhere in the company's periodic filings with Canadian securities regulators. When used in this document, the words such as "anticipate", "expect", "plan", "potential", "target" and similar expressions are forward-looking statements. Information provided in this document is necessarily summarized and may not contain all available material information.
Statements in this release that constitute forward-looking statements or information include, but are not limited to (i) the completion of the Hectatone organoclay plant; (ii) the start of commercial Hectatone organoclay production in the Spring of 2014; (iii) the start of sales and marketing efforts for the Hectatone products and performance of the Hectatone products.
All such forward-looking information and statements are based on certain assumptions and analyses made by Western Lithium management in light of their experience and perception of historical trends, current conditions and expected future developments, as well as other factors management believes are appropriate in the circumstances. These statements, however, are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking information or statements. Important factors that could cause actual results to differ from these forward-looking statements include those described under the heading "Risks Factors" in the company's most recently filed MD&A. Readers are cautioned not to place undue reliance on forward-looking information or statements.