The Property is located in La Corne county approximately 60 kilometres north of the renowned mining region of Val D’or, Québec. The claims are adjacent to RB Energy’s Quebec Lithium project, which completed the construction of their mine and processing plant in 2013 and is currently in the latter stages of commissioning before it enters the first stage of production. RB Energy’s hard-rock lithium project has a planned production rate of 20,000 tonnes per annum and a proven reserve of over 6 million tonnes grading 0.92% Li2O.

About The Lithium Market

While much of the production of lithium in the past went into the processing of silica, the advent of modern electronics and specifically of lithium-ion battery technology has transformed the metal into one of the most sought after elements in the development of the technology industry. The glamour of products like laptops, tablets and cell phones has vaulted the production of lithium to the forefront of the mineral exploration industry – especially in the eyes of younger consumers. Lithium-ion batteries are not limited to use in technology however, as products such as portable drills and other cordless tools have also begun to utilize the technology to their advantage.

The emergence of power grid storage for technologies such as wind farms, hydro-electric, solar power and other mass power storage facilities, will also lead to an increase in Lithium demand. Excess power can be developed at these facilities and stored in massive lithium-ion batteries to be sold into the grid as demand increases or if there is an unforeseen disruption in production.

With the recent announcement from Tesla about the development of a "gigafactory" for power storage, the power-grid industry has received a major boost from one of the biggest players in the electromobilty industry. According to Adam Jones of Morgan Stanley, "by lowering the cost of energy-storage with its lithium-ion batteries, Tesla could accelerate the disruption of the electric utility business as it doubles its share of the global car market to about 1 percent." As consumers become less reliant on the local power supply companies, the demand for lithium-ion battery storage will increase and that will benefit not only the development of the electric car but also the whole of the battery industry.

President Charles Desjardins commented: "As a result of the increase in demand for lithium, management views this as a great opportunity for the Company and its shareholders."

Terms of the Agreement

Under terms of the Option Agreement, subject to TSX Venture Exchange (the "Exchange") approval, the Company has the option to earn a 100% interest in the Property by making $60,000 in cash payments to the Vendor and issuing 1,900,000 common shares over the next three year.

Â