Lithium South Announces Closing Date of April 7, 2026

Rhea-AI Summary

Lithium South (OTCQB:LISMF, TSX-V:LIS) set a closing date of April 7, 2026 for the arm's‑length sale of 100% of NRG Metals Argentina, which holds the Hombre Muerto North Lithium Project package to POSCO Argentina (99%) and POSCO Holdings (1%).

Shareholders approved the Plan of Arrangement on February 19, 2026. Cash consideration is CAD $0.505 per common share; the effective payout date will be finalized and communicated. The company plans to apply to delist from the TSX Venture Exchange and OTCQB and to cease being a reporting issuer.

Positive

• Cash consideration of CAD $0.505 per common share
• Transaction transfers 100% of HMN Li Package to POSCO entities
• Closing date set for April 7, 2026
• Shareholder approval secured on February 19, 2026

Negative

• Plans to delist from TSX Venture Exchange and OTCQB
• Company intends to cease being a reporting issuer
• Effective payout date not yet finalized, creating timing uncertainty
• Registered shareholders must submit a Letter of Transmittal to receive cash

VANCOUVER, BC / ACCESS Newswire / March 31, 2026 / Lithium South Development Corporation (the "Company" or "Lithium South") (TSX-V:LIS)(OTCQB:LISMF)(Frankfurt:OGPQ) is pleased to announce that it has arranged a closing date of April 7, 2026 for the arm's length asset sale (the "Transaction") of its 100% owned Hombre Muerto North Lithium Project package (the ''HMN Li Package") as approved by shareholders on February 19, 2026 and previously announced on July 30, 2025, August 7, 2025, November 20, 2025, December 8, 2025 and February 4, 2026. The Transaction is for the sale of 100% of the issued and outstanding shares of the Company's wholly-owned subsidiary, NRG Metals Argentina S.A., (which holds title to the "HMN Li Package") with 99% to POSCO Argentina S.A.U. and 1% to POSCO Holdings Inc.

The effective date of the payout of the cash consideration of CAD$0.505 per common share pursuant to the Plan of Arrangement is expected to be finalized shortly and the shareholders will be apprised accordingly. The Company will be making applications to delist from the TSX Venture Exchange and the OTCQB market, and an application to cease being a reporting issuer.

The Company wishes to remind its Registered Shareholders that they are required to complete and return a letter of transmittal (the "Letter of Transmittal") to the Company's transfer agent, Computershare Investor Services Inc., in order to receive the cash consideration for their common shares pursuant to the Plan of Arrangement. The Letter of Transmittal may be retrieved from the Company's profile at www.sedarplus.ca posted on January 29, 2026, or contact Computershare by phone at 1-800-564-6253 or by email at corporateactions@computershare.com. Further details can also be found at Investors | Lithium South (TSX-V: LIS | OTCQB: LISMF)

Non-Registered shares held with financial intermediaries will be handled by the institution in coordination with Computershare Trust Company.

On behalf of the Board of Directors

Adrian F. C. Hobkirk
President and Chief Executive Officer
Investors / Shareholders call 855-415-8100 / website: www.lithiumsouth.com

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release. The TSX Venture Exchange has not reviewed the content of this news release and therefore does not accept responsibility or liability for the adequacy or accuracy of the contents of this news release.

Disclaimer for Forward-Looking Information

This press release contains forward-looking information within the meaning of Canadian securities laws ("forward-looking statements"). Forward-looking statements are typically identified by words such as "believe," "expect," "anticipate," "intend," "estimate," "plans," "postulate," and similar expressions, or are those which, by their nature, refer to future events. All statements that are not statements of historical fact are forward-looking statements, including, but not limited to, statements regarding management's beliefs, plans, estimates, and intentions; the Sale of Subsidiary and the Going Private Arrangement and the ability to complete it and other transactions contemplated by the Sale of Subsidiary and the Going Private Arrangement; the timing and satisfaction of conditions to consummation of the foregoing; the receipt of required securityholder, regulatory, and court approvals; the possibility of termination of the Share Purchase Agreement relating to the Sale of Subsidiary; and the expected benefits to the Company and its securityholders. These forward-looking statements are made as of the date of this press release and, although the Company believes such statements are reasonable, there can be no assurance that expectations and assumptions will prove to be correct. Forward-looking statements are not guarantees of future results or performance and are subject to risks, uncertainties, assumptions, and other factors that could cause actual results or outcomes to differ materially from those expressed or implied, including, but not limited to: the possibility that the Sale of Subsidiary and the Going Private Arrangement will not be completed on the terms or timing currently contemplated, or at all; failure to obtain or satisfy required regulatory, securityholder, or court approvals and other closing conditions; the negative impact of a failed transaction on the price of the Company's shares or business; failure to realize expected benefits of the transactions; restrictions imposed on the Company while the transactions are pending; significant transaction costs or unknown liabilities; diversion of management's attention from ongoing business operations; and other risks and uncertainties affecting the Company, including those relating to permitting, capital expenditures, exploration and development activity, and the future price and demand for lithium. Accordingly, readers should not place undue reliance on forward-looking statements. The Company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise, except as required by law. The securities referred to in this press release have not been, nor will they be, registered under the United States Securities Act of 1933, as amended, and may not be offered or sold within the United States or to, or for the account or benefit of, U.S. persons absent U.S. registration or an applicable exemption from the U.S. registration requirements. Further information concerning risks, assumptions, and uncertainties associated with forward-looking statements and the Company's business can be found in the Company's Management Discussion & Analysis for the nine months ended September 30, 2025, and in subsequent filings available under the Company's profile on SEDAR+ (www.sedarplus.ca).

SOURCE: Lithium South Development Corp.

View the original press release on ACCESS Newswire

FAQ

When is the closing date for Lithium South (LISMF) sale of the HMN Li Package?

The closing date is set for April 7, 2026. According to the company, that date finalizes the arm's‑length sale of NRG Metals Argentina, which holds the Hombre Muerto North lithium assets.

How much cash will Lithium South (LISMF) shareholders receive per share from the sale?

Shareholders will receive CAD $0.505 per common share. According to the company, this is the cash consideration under the approved Plan of Arrangement, with the effective payout date to be finalized.

Will Lithium South (LISMF) remain listed after the transaction closes on April 7, 2026?

No, the company plans to apply to delist from the TSX Venture Exchange and OTCQB. According to the company, it will also apply to cease being a reporting issuer after closing.

What must registered Lithium South (LISMF) shareholders do to receive the cash payment?

Registered shareholders must complete and return a Letter of Transmittal to Computershare. According to the company, the form is available on the company's SEDAR+ profile or via Computershare contact information.

Who is buying Lithium South's Hombre Muerto North assets in the LISMF transaction?

POSCO Argentina S.A.U. (99%) and POSCO Holdings Inc. (1%) are the buyers. According to the company, the buyers will acquire 100% of NRG Metals Argentina, which holds the HMN Li Package.