Las Vegas, NV, July 10, 2013 (GLOBE NEWSWIRE) -- First Liberty Power Corp. (OTCQB: FLPC), an innovative and diversified mine exploration and development company focused on "Mined in America" strategic industrial minerals, today announced it has signed a Letter of Intent (LOI) with Group8 Mining Innovations (Group8) to acquire $1.5 million for the purchase of equipment to process ore from the Fencemaker Operation.
Terms of the LOI call for First Liberty to provide Group8 an initial deposit of $150,000. That will be followed by an additional $150,000 approximately 6 weeks later, upon delivery of the milling equipment. The remaining $1.2 million will be financed by Group8 through a two-year payment program, commencing 3 months after delivery of the equipment and setup of the milling operation The cost of the finance is 10% annually, together with a 3% top-line royalty on mill output while the debt remains outstanding. Further equipment details will be provided upon signing of the contract.
In making the announcement, First Liberty Power CEO Don Nicholson, noted the dual significance of the agreement. "With the Fencemaker mining operation rapidly approaching production, it is critical that we commence acquisition of the mill. With the support of Group8, this is now an achievable target," Nicholson said. "Subject to any final regulatory approvals, we expect the mill to be operational within three months of the equipment order."
The above-industry standard of the FLPC milling equipment will allow an upgrade of all permitted antimony (stibnite) ore from Fencemaker to an industry standard 60% concentrate using an advanced, clean milling process. As well, FLPC will have the opportunity to use any excess milling capacity to potentially process ore from other compatible local mining operations.
Mr. Nicholson added, "With this purchase arrangement now established, together with the recently announced plan by the board of directors to seek approval to increase the company's authorized capital, we are well positioned to obtain the necessary capital required, on more favorable terms, for the mill equipment payments and other operational startup capital requirements."
FLPC will continue to use Pathways of Progress announcements to inform and update shareholders and investors of advancements in mining and financial operations.
ABOUT FIRST LIBERTY POWER CORPORATION (OTCQB: FLPC): First Liberty Power Corporation is an innovative and diversified mine exploration and development company focused on bringing to market "Mined in America" strategic industrial minerals. The FLPC corporate philosophy is driven by a dedication to Pathways of Progress (POP). It is a program of best corporate practices designed to rapidly drive the company towards mine production/milling, benefitting FLPC shareholders, investors and mining partners and ensuring safety, environmental integrity, and good governance. Presently, FLPC has interests in four properties: the Fencemaker antimony project in Nevada, the Lida Valley and Smoky Valley lithium brine projects in Nevada, and the San Juan vanadium/uranium project in Utah. www.firstlibertypower.com www.facebook.com/FirstLibertyPower
Notice Regarding Forward-Looking Statements
This current report contains "forward-looking statements," as that term is defined in Section 27A of the United States Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Statements in this press release which are not purely historical are forward-looking statements and include any statements regarding beliefs, plans, expectations or intentions regarding the future plans of the company, the prospects for our mineral properties, and our ability to raise necessary working capital.
Actual results could differ from those projected in any forward-looking statements due to numerous factors, including the inherent uncertainties associated with mineral exploration and difficulties associated with obtaining financing on acceptable terms. We are not in control of metals prices and these could vary to make development uneconomic. These forward-looking statements are made as of the date of this news release, and we assume no obligation to update the forward-looking statements, or to update the reasons why actual results could differ from those projected in the forward-looking statements. Although we believe that the beliefs, plans, expectations and intentions contained in this press release are reasonable, there can be no assurance that they will prove to be accurate. Investors should consult all of the information set forth herein and should also refer to the risk factors disclosure outlined in our most recent annual report for our last fiscal year, our quarterly reports, and other periodic reports filed from time-to-time with the SEC.
CONTACT: For more information contact: Robert Reynolds (800) 709-1196 email@example.com
Source:First Liberty Power Corporation