PHOENIX, AZ, United States, via ETELIGIS INC., 05/12/2015 – – Lithium Exploration Group Inc. (OTC Pink: LEXG) (PINKSHEETS: LEXG), CEO Alex Walsh discusses ongoing business activity in his May newsletter.
Later this week, I will be travelling to Texas to meet with our partners at SonCav to get an in-person view of the water treatment unit and a tour of their facilities. The team are ready to initiate internal testing of the water unit and intend to stress test the unit and collect performance data over the next few weeks on site. I hope to be able to share some photos of the unit with you at our website early next week.
In addition, we are expecting the arrival of the replacement shaft for the oil unit any day now. This unit will be tested over the summer in Canada. The SonCav team in Spring, TX, is ready to reassemble the unit immediately upon arrival of the replacement part. This should only take a few days. The unit will then be back on the road to Alberta, where we will also initiate internal testing for oil treatment processes.
Fortunately, with the testing of the oil unit, there are very few moving parts besides the ultrasonic generator. The water unit, which utilizes flash evaporation to achieve the separation of solids from a suspended state, is much more complex, which explains the delay in readying the unit in Texas for testing.
The amazing thing about the technology itself is its flexibility. We have two units that are about to be field tested for completely separate applications and, other than some very minor internal modifications, they are identical. One will show the ability to desalinate sea, brackish, or frac water with the potential to solve potable water and drought issues across the globe, while the other has the ability to upgrade or crack crude oil, much like a refinery would, but in a mobile setting, which will completely change the economics around oil production in certain areas. This compares to the dynamic of hydrofracking opening up shale oil plays across North America. For 60 years, these went unproduced because they were believed to be uneconomic. If I told you that oil coming out of your well today at $40 per barrel could be worth $80 per barrel when it leaves this unit, it would make you think long and hard about how valuable your oil well is.
We will be closing on the sale of our Tero facility this week. That cash will allow us to fund not only the oil unit testing but our operations through the summer. The goal is to rid ourselves of the toxic debt instruments that have dragged on our stock price over the years. With positive testing results from the water and oil units respectively and a cleaned up balance sheet here at LEXG, we should be able to move forward with our deployment strategy of the technology without the encumbrance of “bad debt.”
I believe in what we are doing and I am pained on a daily basis about the time it has taken to get here. I want to see this technology in every municipality, oil field, and rural outpost in Canada and truly believe that we are close.
Lithium Exploration Group
About Lithium Exploration Group
Lithium Exploration Group is a US-based exploration and development company focused on the acquisition and development potential of lithium brines and other precious metals that demonstrate high probability for near-term production. Currently the company is focused on its Western Canada lithium assets, testing its Ultrasonic Generator Technology and the acquisition of oil and gas related assets in Western Canada. Lithium Exploration Group is a fully reporting company traded on the OTCQB under the symbol LEXG. Website: http://www.lithiumexplorationgroup.com.
Safe Harbor Statement
This news release contains "forward-looking statements". Statements in this press release that are not purely historical are forward-looking statements and include any statements regarding beliefs, plans, expectations or intentions regarding the future testing of the ultrasonic technology.
Actual results could differ from those projected in any forward-looking statements due to numerous factors. Such factors include, among others, the inherent uncertainties associated with mineral exploration and difficulties associated with obtaining financing on acceptable terms. We are not in control of lithium 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 such beliefs, plans, expectations or intentions 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 Securities and Exchange Commission.
SOURCE: Lithium Exploration Group Inc.