Lithium South Strengthens the Development Team and Fast-Tracks HMN Project Feasibility
Lithium South Development Corporation (the "Company" or "Lithium South") (TSX-V: LIS) (OTCQB: LISMF) (Frankfurt: OGPQ) is pleased to announce the appointment of Claudio C. Zalewski as Director of Development & Construction for the Hombre Muerto North ("HMN") Lithium Project (the "Project") in Argentina's Salta basin.
Based in Salta, Mr. Zalewski is a bilingual civil engineer (BSc Civil Engineering, Universidad de Buenos Aires, 1981) with more than forty years of project-delivery experience, including:
- Project Director – Pastos Grandes Lithium Project (US $450 M)
- Engineering & Home-Office Construction Manager – Centenario Lithium Project (US $550 M)
- Consultant - ADY Resources Rincon Lithium Project, located on the Rincon salar in Salta Province.
"Joining Lithium South at this pivotal moment lets me bring decades of lithium-brine experience to unlock the full value of the Hombre Muerto North Lithium Project. With the groundwork already in place, I'm confident we can reach feasibility swiftly and move toward construction alongside committed funding partners," said Claudio C. Zalewski, Director of Development & Construction.
Fast-track Work Plan Underway
Together with the COO, Mr. Zalewsky has prioritized four workstreams documented in the project register:
- DFS Tender Package – draft ready for bidder issue
- Design Criteria – consolidated discipline bases of design
- CAPEX/OPEX & Financial Models – templates 70 % populated
- Project Execution Plan & Procedures – Revision A under internal review
Lithium South is working to complete a comprehensive development schedule covering every stage from Feasibility Study award through construction and commissioning, reinforcing the target to launch the Feasibility Study tendering before end-Q3 2025 and deliver full Feasibility by late Q1 2026.
New Tax and Import Regulations / RIGI Welcomed by LIS
Recent changes to tax and import regulations in Argentina are welcomed by Lithium South. Argentina's Régimen de Incentivo a las Grandes Inversiones (RIGI), created under Law 27.742 (July 2024), grants eligible projects (> US $200 M) a 30-year stability regime on tax, customs and FX rules and a flat 25 % corporate income-tax rate, alongside accelerated depreciation, VAT/import-duty relief and phased export-duty reductions. This new regime is expected to significantly impact the feasibility of the HMN Li Project in a very positive way.
Project Option
The Company is pleased to announce it has arranged the Purchase Option of the Hydra X 1 and Hydra X 2 claim blocks located near the Company holdings on the Hombre Muerto Salar. The two projects total approximately 5,555 hectares and increase the Company holdings within the Project area to over 10,000 hectares. Terms for the Purchase Option are a purchase price of US$2 Million payable upon the commencement of construction of the Project, or the sale of the Project and/or Company. The Purchase Option is at arms- length for the Company.
Project Discussion Update
The Company is in discussions with several O.E.M., mining and financial groups for the funding and development of the HMN Li Project. The discussions announced in January of 2025 are still ongoing though the party noted is now out of the exclusivity period. While the market remains challenging, interest in the high quality HMN Li Project remains strong.
Lithium South | www.lithiumsouth.com
