Ultra Resources Metallurgical Testwork Shows 94.34% Gold Recovery for La Rioja Gold Project in Argentina

Vancouver, BC – Ultra Lithium Inc. (TSX-V:ULT, OTCQB: ULTXF and Frankfurt: QFB) is pleased to announce that it has received final results of metallurgical testwork for the bulk sample from its 100% owned Chepes Gold Project in La Rioja Province, Argentina. The testwork was contracted to Yantai Xinhai Mining Research & Design Co., Ltd., Shandong, China (“Xinhai”) and the results show an overall recovery of 94.34% gold using a combination of gravity separation, copper masking and leaching using CNLITE reagent. The bulk sample was comprised of two samples with a total weight of 849 kilogram collected from the Callanas and Al Espinillo mining licenses (See Company’s news release dated July 9, 2020).

Metallurgical Testwork Highlights

  • The goal of testwork was to focus on gold recovery from the mineralized rock which is in an oxidized state. Initial head sample assay indicates average 13.41 grams per ton (g/t) gold (Au), 32.15 g/t silver (Ag), 0.47 percent (%) copper (Cu), 2.78% lead (Pb), and 0.96% Zinc (Zn).
  • The test results indicate that when the mineralized rock is ground to -200 mesh, gravity concentrates can be obtained, with a yield of 33%, with gold grade of 1,530 g/t. Overall gold recovery is 38.19% using gravity. The gravity tailings have a gold grade of 8.20 g/t and were taken as feeding material in the following tests.
  • When gravity tailings are treated through pre-leaching by adding a masking agent, then enter into the leaching process with lime as a protective alkali and CNLITE as the leaching agent, the gold leaching rate reaches 90.85% under leaching time of 24 hours, and 91.95% under leaching time of 48 hours. Gravity concentration combined with leaching can realize an overall recovery rate of 94.34% (38.19%+61.81%*90.85%) and 94.41% (38.19%+61.81%*91.95%) under a leaching time of 24 and 48 hours, respectively.
  • According to Xinhai, CNLITE is a new environmentally friendly gold leaching reagent produced by the Xinhai Group.  CNLITE is being used in some countries as an alternative to traditional cyanide as gold extraction agent. Cyanide is a highly toxic reagent. CNLITE has the benefits of environmental protection, high leaching rate, fast recycling and high cost effectiveness. In addition, the use of CNLITE does not change the existing cyanidation process and gold extraction equipment.

Dr. Weiguo Lang, CEO of Ultra Resources, stated, “We are very pleased with the outcome of metallurgical testwork which is an efficient and cost-effective process due to the use of CNLITE instead of traditional cyanidation. Its nontoxic and environmentally friendly features will be helpful in permitting and community approval. The Company’s goal is to continue exploration on its projects to create new jobs for the community and install a gold extraction plant as soon as possible to start processing mine dump material available at the Callanas and Al Espinillo mines”.

Fig 1. Leaching Process Flow Diagram

About Yantai Xinhai Mining Research & Design Co

Shandong Xinhai Mining Technology & Inc. is a stockholding high and new technology enterprise to provide “Turnkey Solution for Mineral Processing Plant” including design and research, machine manufacturing, equipment procurement, management service, mine operation, mine materials procurement & management as well as industry resources integration. Up to now, with 500 mine EPC projects, mining technologies and experience of 70 kinds of ores and 112 patents, Xinhai has established overseas offices with products exported to more than 90 countries. For further information, please visit the Xinhai’s website at: http://www.xinhaimineral.com/en/about_4.html.

About La Rioja Gold Project

The gold project in the south of the province of La Rioja Argentina, consists of three prospecting and exploration areas and 13 manifestations of discoveries (mining licenses). Also, in the area there are several historical gold mines and quartz veins in granodiorite rocks hosted by early Paleozoic shearing. Gold mineralization is typically associated with epithermal style shear hosted quartz veins. Initial evaluation of dump material available for historical mines on the Property indicates approximately 25,000-30,000 tons of dump material is available for gold and other metals processing.

Qualified Person

The technical information contained in this news release has been reviewed and approved by Afzaal Pirzada, P.Geo., a qualified person, as defined by NI 43-101 who works as Vice President Exploration of the Company.

About Ultra Resources Inc.

Ultra Resources is an exploration and development company with a focus on the acquisition and development of gold, copper, and lithium assets. The Company currently holds a brine lithium property in Argentina, and one hard rock spodumene type lithium property at the Georgia Lake area in northwestern Ontario, Canada. The Company also holds several gold and base metals properties in Argentina.

On behalf of the Board of Directors
Kiki Smith, CFO

For further information, please contact:
Kiki Smith, CFO
T: +1-778-968-1176
F: +1-604-909-4682
E: kiki@ultraresourcesinc.com
W: www.ultraresourcesinc.com
Or view the Company’s filings at www.sedar.com

Cautionary Statement Regarding “Forward-Looking” Information
Some of the statements contained in this press release are forward-looking statements and information within the meaning of applicable securities laws. Forward-looking statements and information can be identified by the use of words such as “plans”, “expects”, “intends”, “is expected”, “potential”, “suggests” or variations of such words or phrases, or statements that certain actions, events or results “may”, “could”, “should”, “would”, “might” or “will” be taken, occur or be achieved. Forward-looking statements and information are not historical facts and are subject to a number of risks and uncertainties beyond the Company’s control. Actual results and developments are likely to differ and may differ materially, from those expressed or implied by the forward-looking statements contained in this news release. Accordingly, readers should not place undue reliance on forward-looking statements. The Company undertakes no obligation to update publicly or otherwise revise any forward-looking statements, except as may be required by law.

Neither TSX Venture Exchange nor its Regulations Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.