Dajin options 50% of Alkali Spring to Cypress

Oct 3, 2018

2018-10-02 18:47 ET – News Release

Also News Release (C-CYP) Cypress Development Corp (2)

Mr. Brian Findlay of Dajin reports

DAJIN AND CYPRESS DEVELOPMENT PURSUE JOINT VENTURE ON ALKALI SPRING VALLEY LITHIUM PROPERTY

Dajin Resources Corp. has entered into a letter agreement with Cypress Development Corp. for the exploration and development of Dajin’s Alkali Spring Valley lithium property located in Esmeralda county, Nevada. The property is located 12 kilometres (7.5 miles) northeast of Cypress’s Clayton Valley lithium project in Nevada.

Under the terms of the letter agreement, Cypress has the exclusive right and option to acquire a 50-per-cent undivided interest in Dajin’s unpatented mining claims and application for water rights in Alkali Spring Valley, Esmeralda county, Nevada. Cypress will complete a due diligence review and prepare a definitive agreement for the transaction. Upon completion of the definitive agreement and TSX Venture Exchange acceptance, Cypress will allot to Dajin 150,000 common shares of Cypress and pay Dajin $50,000 (U.S.). Cypress will have a two-year period to complete its earn-in by issuing an additional 150,000 common shares of Cypress, and performing $200,000 (U.S.) in exploration expenditures within the first year and $250,000 (U.S.) in exploration expenditures during the second year. Upon successful completion of the two-year earn-in period, a joint venture will be created.

At Alkali Spring valley, Dajin holds 145 unpatented placer mining claims to explore for lithium brines and has applied to the State of Nevada for 1,000 acre-feet of water rights. Dajin and Cypress will work jointly explore the property for lithium brines and lithium-bearing sediments, and will work to perfect the associated water rights applications. Cypress and Dajin will share proportionally in property development if lithium brine resources are discovered. Should Dajin elect not to participate following Cypress’ earn-in period, Dajin shall have the option to dilute to a 10% net profits interest on the value of the JV’s property in Alkali Spring valley.

“Dajin’s management is looking forward to working with Cypress on the exploration and development of the Alkali Spring valley lithium property, comments Brian Findlay, CEO of Dajin. Having the Cypress Development Corp. team as a partner is a real bonus to Dajin as they bring valuable experience and management into the region to help advance the lithium project.”

About Dajin: (www.dajin.ca)

Dajin, is an early stage Lithium exploration company. Through its interest in Dajin Resources S.A. (“Dajin S.A.”), it holds concessions or concession applications in Jujuy Province, Argentina that were acquired in regions known to contain brines with Lithium, Potassium, and Boron values. These concessions exceed 93,000 hectares (230,000 acres) and are primarily located in the Salinas Grandes and Guayatayoc salt lake basins.

We seek Safe Harbor.

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