Canada Lithium confirms one-year deal with Mitsui

2009-07-08 16:48 ET - News Release

Mr. Mitch Lavery reports

CANADA LITHIUM CORP. COMMENTS ON MITSUI NEWS REPORTS

Canada Lithium Corp. comments on the recent news reports of Mitsui & Co. indicating that Mitsui has gained sales right to lithium produced from the Quebec lithium project owned by Canada Lithium and intends to import 2,000 tons of lithium a year from Canada by 2013. In addition, Mitsui indicated that it may take an interest in Canada Lithium to ensure the supply of lithium.

Canada Lithium confirms that, as previously announced in a news release in Stockwatch of April 28, 2009, it has entered into a marketing agreement giving Mitsui the exclusive marketing rights to lithium products from the Quebec lithium project for Japan, Korea and China until April, 2010, with Mitsui having the option to renew the marketing right annually for up to six subsequent years. Canada Lithium intends to commence shipping lithium carbonate samples to Mitsui in the near future.

Other than as previously disclosed Canada Lithium does not have any other arrangements with Mitsui.

The company has also granted a total of one million options to purchase common shares of the company exercisable at a price of 23 cents per share for a period of five years to a director and officer of the company. The common shares issuable upon exercise of the options are subject to a four-month hold period from the original date of grant.