Bad JV partner choices can have worse longterm implications PL.v, LIT.v, TNR.v, ILC.v, CLQ.v, WLC.v

Mergers and acquisitions are still happening in the lithium space, with companies snapping up quality projects.

LIT.v which is still halted, has updated due diligence extension on their large merger with Talison. It will be interesting to see how this opens after Aug 12.

Salares Lithium extends Talison agreement to Aug. 12

2010-08-09 14:49 ET - News Release

Mr. Todd Hilditch reports

SALARES LITHIUM-TALISON MINERALS MERGER UPDATE

Salares Lithium Inc. and Talison Minerals Pty. Ltd. have provided an update regarding the proposed merger to combine their respective lithium assets. For details of the proposed merger, please see the news release in Stockwatch dated July 15, 2010, and filed on SEDAR.

Amended merger timetable

Talison and Salares have agreed to extend the termination date of the letter agreement that sets out the terms upon which the proposed merger will be implemented from Aug. 9, 2010, to Aug. 12, 2010, in order to allow the parties to complete multijurisdictional due diligence in connection with the proposed merger.

The remainder of certain previously announced dates will remain the same, including the meeting date of the special meeting of shareholders of Salares to be held on Sept. 16, 2010, and the record date of Aug. 11, 2010, for determining which shareholders of Salares will be able to vote at the meeting. The meeting will be held in the Point Grey Room of the Marriott Vancouver Pinnacle Hotel, 1128 West Hastings St., Vancouver, B.C., at 10 a.m. (Vancouver time).

The completion of the proposed merger is anticipated to be implemented by the end of September, 2010, subject to the parties entering into a definitive agreement on or before Aug. 12, 2010, the completion of satisfactory due diligence on or before Aug. 12, 2010, and the parties obtaining all necessary approvals and satisfaction of other conditions.

Private placement

The previously announced private placement of approximately $40-million of subscription receipts of Salares is expected to close on or about Aug. 19, 2010. For additional information regarding the private placement, please refer to the press release.

A presentation of the transaction highlights can be accessed at the Salares and Talison websites.

About Talison Minerals Pty. Ltd.

Talison Minerals Pty. Ltd. is the leading global producer of lithium. Talison mines and processes the lithium-bearing mineral spodumene at the Greenbushes lithium operations in Western Australia. Talison has an extensive, well-established global customer network and a leading position in the growing Chinese market.

It's one thing to announce a strategic partnership, but a misstep here can mean a drastic drop, as in the case of Pan American Lithium (PL:TSXV), which came out touting promised payments from POSCO (Korean Steelmaker).

When payments of the $5M private placement dragged on with extended due diligence periods, the stock started taking a dive, with insiders selling in waves.

Just a fraction of the selling. Let this be a lesson for Li juniors out there, choose your JV partners carefully for if they don't pan out it could hurt you more than not ever having announced the JV/investment in the first place!

Pan American Lithium Corp. (PL)						As of April 7th, 2010
Filing Date	Transaction Date	Insider Name	Ownership Type	Securities	Nature of transaction	# or value acquired or disposed of	Unit Price
Mar 10/10	Mar 10/10	Minni, Jerry Anthony	Indirect Ownership	Common Shares	10 - Disposition in the public market	-5,000	.780
Mar 10/10	Mar 10/10	Minni, Jerry Anthony	Indirect Ownership	Common Shares	10 - Disposition in the public market	-5,000	.800
Mar 10/10	Mar 10/10	Minni, Jerry Anthony	Direct Ownership	Common Shares	10 - Disposition in the public market	-10,000	.800
Mar 10/10	Mar 10/10	Minni, Jerry Anthony	Direct Ownership	Common Shares	10 - Disposition in the public market	-10,000	.800
Mar 10/10	Mar 10/10	Minni, Jerry Anthony	Direct Ownership	Common Shares	10 - Disposition in the public market	-3,000	.800
Mar 10/10	Mar 10/10	Minni, Jerry Anthony	Direct Ownership	Common Shares	10 - Disposition in the public market	-7,000	.810
Mar 09/10	Mar 09/10	Minni, Jerry Anthony	Direct Ownership	Common Shares	10 - Disposition in the public market	-10,000	.780
Mar 09/10	Mar 09/10	Minni, Jerry Anthony	Direct Ownership	Common Shares	10 - Disposition in the public market	-5,000	.800
Mar 09/10	Mar 09/10	Minni, Jerry Anthony	Direct Ownership	Common Shares	10 - Disposition in the public market	-5,000	.800
Mar 09/10	Mar 08/10	Minni, Jerry Anthony	Control or Direction	Common Shares	10 - Disposition in the public market	-15,000	.770