DGAP-News

International Lithium Corp. Options Raleigh Lithium Pegmatite Project, Ontario To Strategic Partner Pioneer Resources Limited

DGAP-News: International Lithium Corp. / Key word(s): Miscellaneous
International Lithium Corp. Options Raleigh Lithium Pegmatite Project,
Ontario To Strategic Partner Pioneer Resources Limited

13.07.2016 / 10:31
The issuer is solely responsible for the content of this announcement.

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Vancouver, British Columbia--(Newsfile Corp. - July 13, 2016) -
International Lithium Corp. (TSXV: ILC [url:
http://ca.finance.yahoo.com/q?s=ilc.v]) (the 'Company' or 'ILC') is pleased
to announce that the Company and strategic partner Pioneer Resources
Limited ('Pioneer') have entered into an Option Agreement to advance the
Company's Raleigh Lithium pegmatite project in Ontario, Canada ('Project').

Key Highlights:

-

Pioneer may earn an initial 51% interest in the Project by expending
CAN$1.25 million on exploration activities within three years;

-

Currently compiling historic exploration work to design 2016 programme.

-

ILC strengthens their North American strategy to advance multiple
lithium projects through strategic partnerships for potential
development synergies.

Raleigh Option Agreement

Under the terms of the Agreement, subject to a two-week exclusivity and due
diligence period:

-

Pioneer may earn an initial 51% interest in the Project by expending
CAN$1.25 million on exploration activities within three years and
paying to ILC a total of CAN$250,000 in cash and shares 50/50 over the
same three years (the 'First Earn-in').

-

Following the First Earn-in, ILC will be granted a 1.5% Net Smelter
Return royalty ('NSR'), purchasable at any time for CAN$1.5 million.

-

Pioneer will then be granted, if ILC elects not to participate and if
Pioneer elects to pursue, an option where Pioneer can earn an
additional 29%, for a total 80% interest, by sole funding exploration
expenditures and the production of a pre-feasibility technical report
within 6 years from the completion of the First Earn-In. Thereafter the
Parties will contribute on a pro-rata basis. If either Party dilutes to
15% Project Equity, their interest is converted to a 1.5% NSR.

Raleigh Lithium Pegmatite Project

The Raleigh Project is situated 7 kilometres south of the Trans-Canada
Highway, 60 kilometres southeast from the Company's Mavis Project, 80
kilometres southeast from the town of Dryden, Ontario and approximately 240
kilometres northwest of Thunder Bay, an industrial centre in Ontario. The
10 unpatented claim blocks comprise a total of 464 hectares and straddle a
series of pegmatites exhibiting high-grade lithium.

There were two noteworthy periods of exploration performed on the Project.