REGINA, SASKATOON - Deep Earth Energy Production Corp. and Prairie Lithium Corporation have announced today an agreement to exchange subsurface mineral permits and to establish an area of mutual interest (AMI) in the Williston Sedimentary Basin in southeast Saskatchewan.
The AMI covers a large area of 40 townships.
In the agreement, Prairie Lithium acquires subsurface mineral permits stretching from the top of the Madison Group down to the top of the Red River Formation from DEEP’s subsurface mineral tenure.
In exchange, DEEP acquires the subsurface mineral permits from the top of the Red River Formation down to the Precambrian from Prairie Lithium’s subsurface mineral tenure. DEEP retains all lithium potential from the top of the Red River to the Precambrian.
The agreement establishes a mutually beneficial co-operation deal between these two Saskatchewan companies, advancing new and innovative energy resources.
The agreement is for select stratigraphic intervals that are approximately 1,500 meters – 3,500 meters below the surface at various locations across the AMI. The exchange covers approximately 110,227 hectares (272,376 acres) of existing mineral tenure, vastly increasing each company’s resource development capacity.
DEEP and Prairie Lithium are also working collaboratively to share well data and potential resource testing opportunities. In the near term, Prairie Lithium will access DEEP’s Border-4 wellbore to test the lithium potential in an upper stratigraphic interval, above DEEP’s geothermal reservoir.
At the same time, DEEP and Prairie Lithium are jointly exploring the lithium potential across the AMI. In addition to Prairie Lithium’s focus in shallower formations, DEEP’s deeper geothermal brine also has the potential to contain lithium for commercial extraction. Prairie Lithium has developed proprietary lithium extraction technology which can extract lithium from DEEP’s geothermal resources.
Preliminary lab results indicate that Prairie Lithium’s Plix technology successfully removed 99 per cent of the lithium from DEEP’s geothermal brine sample, while simultaneously rejecting practically all impurities.
“We are pleased to move forward with this historic, strategic partnership,” explains DEEP’s CEO Kirsten Marcia. “Drawing on obvious synergies, the mineral exchange and collaboration between our two Saskatchewan-based companies is a testament to our made-in-Saskatchewan ability to work together for multiple economic wins. We are creating more great jobs and promoting new regional economic developments in rural Saskatchewan.”
“This agreement highlights a win-win deal, as both of us were able to increase our acreage substantially for vital resources that matter to our projects” added Zach Maurer, president and CEO of Prairie Lithium.
