futrcash
6 months ago
LithiumBank Resources Closes Oversubscribed Private Placement For Gross Proceeds of $3,500,000 With 27% Insider Participation; Receives Conditional Acceptance For the Intellectual Property License Agreement With G2l Greenview Resources
20 OCTOBER 2023
FOLLOW
OTCMKTS: LBNKF
CLEAN ENERGY
BATTERY METALS
LITHIUM
VISIT WEBSITE
LithiumBank Resources Corp. (TSX-V: LBNK) (OTCQX: LBNKF) (the “Company” or “LithiumBank”) is pleased to announce that it has closed its previously announced non-brokered private placement for gross proceeds of $3,506,500 through the sale of 3,506,500 units ("Units") at a price of $1.00 per Unit (the "Private Placement"). Each Unit is comprised of one common share of the Company (a "Share") and one-half (1/2) of one common share purchase warrant (each whole warrant, a "Warrant"). Each Warrant entitles the holder to purchase an additional Share at a price of $1.50 per Share for a period of 24 months from the date of issuance.
Paul Matysek, Executive Chairman of LithiumBank comments, “I am very pleased at the conviction and commitment of the Board and senior management to all fully participate in the financing. These proceeds together with over 6 million dollars designated for exploration will be instrumental in advancing Boardwalk and Park Place, our two district scale projects and expediting our upcoming pilot plant testing with G2L.”
All securities issued in connection with the Private Placement are subject to a four-month hold period from the closing date under applicable Canadian securities laws, in addition to such other restrictions as may apply under applicable securities laws of jurisdictions outside Canada. The Private Placement is subject to final acceptance of the TSX Venture Exchange (the "TSXV").
The net proceeds of the Private Placement will be used for administration and working capital and to expedite further advancement of its portfolio of district scale direct brine lithium assets in Western Canada.
Multilateral Instrument 61-101
In addition, the following insiders of the Company participated for an aggregate of $970,000 as follows: Paul Matysek, Executive Chairman and Director purchased 150,000 units, Rob Shewchuk, CEO and Director purchased 100,000 units, Christopher Murray, a director of the Company, purchased 250,000 Units; Gianni Kovacevic, a director of the Company, purchased 250,000 Units; Ekaterina Zotova a director of the Company, purchased 150,000 Units; Steven Piepgrass a director of the Company, purchased 20,000 Units; Kevin Piepgrass, an officer of the Company, purchased 40,000 Units; and Ann Fehr an officer of the Company, purchased 10,000 Units; (collectively “Interested Parties”). Their participation accounted for over 27.66% of the proceeds from the Private Placement. The placement to the Interested Parties constitutes a “related party transaction” within the meaning of Multilateral Instrument 61-101 Protection of Minority Security Holders in Special Transactions (“MI 61-101”). Notwithstanding the foregoing, the directors of the Company have determined that the Interested Parties’ participation in the Private Placement will be exempt from the formal valuation and minority shareholder approval requirements of MI 61-101 in reliance on the exemptions set forth in sections 5.5(a) and 5.7(1)(a) of MI 61-101. The Company did not file a material change report more than 21 days before the expected closing of the Private Placement as the details of the Private Placement and the participation therein by related parties of the Company were not settled until shortly prior to closing and the Company wished to close on an expedited basis for sound business reasons.
In connection with the Private Placement, the Company paid certain finders, including PI Financial Corp., Red Cloud Securities Inc. and Leede Jones Gable Inc. the following finders’ fees: (i) a cash commission in the aggregate amount of $41,640, being up to 6.0% of the gross proceeds raised under the Private Placement from investors introduced to the Company by such finders; and (ii) 40,290 non-transferable common share purchase warrants of the Company (“Finder Warrants”), being equal to 6.0% of the Units sold under the Private Placement from investors introduced to the Company by such finders. Each Finder Warrant is exercisable to acquire one unit of the Company (a “Finder Unit”) at a price of $1.00 per Finder Unit. Each Finder Unit is comprised of one Share and one-half (1/2) of one Warrant, with each Warrant entitling the holder thereof to purchase an additional Share at a price of $1.50 per Share for a period of 24 months from the date of issuance. The Finder Warrants issued pursuant to the Private Placement will be subject to a four month hold period from the date of issue.
Conditional Acceptance for Intellectual Property License Agreement
The Company is also pleased to announce following update regarding the previously announced intellectual property license agreement dated September 8, 2023 (the “License Agreement”) with G2L Greenview Resources Inc. (“G2L”), a subsidiary of Go2Lithium Inc. The Company has received conditional acceptance from the TSXV for the License Agreement. The parties are continuing to work together to secure approval from the TSXV for the issuance of the first 4,000,000 Consideration Shares to G2L pursuant to the License Agreement. The License Agreement and the issuance of the Consideration Shares remain subject to final TSXV approval.
Under the Licensing Agreement, announced September 11, 2023, G2L shall grant to the Company a license in Alberta and Saskatchewan for a full suite of continuous ion exchange technologies in consideration for the issuance of up to 14,000,000 common shares in the capital of the Company dependent upon achieving certain milestones (the “Consideration Shares”).
About LithiumBank Resources Corp.
LithiumBank Resources Corp. (TSX-V: LBNK) (OTCQX: LBNKF), is a publicly traded North American lithium company that is focused on developing its two flagship projects, Boardwalk and Park Place, in Western Canada. The Company holds 2,480,196 acres of brown-field lithium brine permits, across 3 districts in Alberta and Saskatchewan. In May 2023, LithiumBank completed an initial robust preliminary economic assessment of its Boardwalk project that targets a 31,350 TPA operation with a pre-tax USD $2.7B NPV and a 21.6% IRR with the potential for a number of near-term enhancements.
For more information see the Company’s Boardwalk Lithium Brine Project Preliminary Economic Assessment Technical Report entitled “Preliminary Economic Assessment (PEA) for LithiumBank Resources Boardwalk Lithium-Brine Project in West- Central Alberta, Canada” effectively dated June 16, 2023 filed on SEDAR+ (www.sedarplus.ca) on June 23, 2023 and on the Company’s website (www.lithiumbank.ca).
A PEA is preliminary in nature as it includes a portion of inferred mineral resources that are considered too speculative geologically to have the economic considerations applied to them that would enable them to be categorized as mineral reserves, and there is no certainty that the preliminary economic assessment will be realized.
The PEA Technical Report was prepared by the following Qualified Persons; Roy Eccles, P. Geol. of APEX Geoscience Ltd., Kim Mohler, P. Eng., of GLJ Ltd., Gordon MacMillan, P. Geol. of Fluid Domains, Jim Touw, P. Geol. of HCL Ltd., Frederick Scott, P. Eng., of Scott Energy, Egon Linton, P. Eng., of Hatch Ltd., Evan Jones, P. Eng., of Hatch Ltd., Stefan Hlouschko, P. Eng., of Hatch Ltd.
The scientific and technical disclosure in this news release has been reviewed and approved by Mr. Kevin Piepgrass (Chief Operations Officer, LithiumBank Resources Corp.), who is a Member of the Association of Professional Engineers and Geoscientists of Alberta (APEGA) and the Association of Professional Engineers and Geoscientists of the Province of British Columbia (APEGBC) and is a Qualified Person (QP) for the purposes of National Instrument 43-101. Mr. Piepgrass consents to the inclusion of the data in the form and context in which it appears.
Mineral resources are not mineral reserves and do not have demonstrated economic viability. There is no guarantee that all or any part of the mineral resource will be converted into a mineral reserve. The estimate of mineral resources may be materially affected by geology, environment, permitting, legal, title, taxation, socio-political, marketing, or other relevant issues. A preliminary economic assessment is preliminary in nature as it includes a portion of inferred mineral resources that are considered too speculative geologically to have the economic considerations applied to them that would enable them to be categorized as mineral reserves, and there is no certainty that the preliminary economic assessment will be realized.
About G2L Greenview Resources Inc.
Go2Lithium Inc., the parent company of G2L, was formed in early 2023 as a 50/50 joint venture with Computational Geosciences Inc (CGI), a subsidiary of the Robert Friedland-chaired Ivanhoe Electric Inc. and Clean TeQ Water. Please see Clean TeQ’s case studies for additional information on their suite of water treatment and metal extraction technologies.
Contact:
Rob Shewchuk
Co-Founder, CEO & Director
rob@lithiumbank.ca
(778) 987-9767
futrcash
1 year ago
LithiumBank Appoints Paul Matysek as Executive Chairman
Calgary, Alberta. January 30th, 2023 – LithiumBank Resources Corp. (TSX-V: LBNK) (OTCQX: LBNKF) (“LithiumBank” or the “Company”) is pleased to announce the appointment of Mr. Paul Matysek as the Company's Executive Chairman.
Mr. Matysek's unique qualifications, experience and unprecedented string of successful transactions in the mining sector will create value for the Company as it now transitions from an exploration to development company of district scale direct brine lithium projects in North America. LithiumBank holds a dominant position of key brine reservoirs with a unique combination of scale, grade and exceptional flow rates that are necessary for a large-scale direct brine lithium production. LithiumBank is developing and de-risking several strategic projects in Alberta and Saskatchewan.
Mr. Matysek is a geoscientist by training, a successful alpha entrepreneur and consistent creator of shareholder value with over 40 years of experience in the mining industry. Since 2007, as either CEO or Executive Chairman, Mr. Matysek has sold six publicly listed mineral exploration and development companies, in aggregate worth over $2.5 billion. Of particular note, two of six sales were lithium brine assets that are advancing toward production.
Most recently in June 2021, as Chief Executive Officer, he sold Gold X Mining Corp. to Gran Colombia Gold Corp. for over $300 million in an all-share transaction. In March 2018, as Executive Chairman, he sold Lithium X Energy Corp. to Nextview New Energy Lion Hong Kong Limited for $265 million in cash. Earlier, in July 2016, Mr. Matysek, as President and CEO, sold Goldrock Mines Corp. to Fortuna Silver Mines Inc. He was also previously CEO of Lithium One Inc., which merged with Galaxy Resources Limited of Australia (now Allkem) to create a multi-billion-dollar integrated lithium company. He served as CEO of Potash One Inc., which was acquired by K+S AG for $434-million cash in a friendly takeover in 2011. Mr. Matysek was also the co-founder and CEO of Energy Metals Corp., a uranium company that grew from a market capitalization of $10 million in 2004 to approximately $1.8 billion when sold in 2007.
Mr. Matysek commented: "I am very pleased to join LithiumBank as its Executive Chairman. The location, scale, and clear development roadmap of the Company’s strategic development assets create a unique and timely opportunity to transform them into enhanced shareholder value, address lithium supply challenges and support local community development. I look forward to working with the talented board and management of the Company. I firmly believe that together we can unlock significant value by re-purposing key infrastructure, advancing permitting, and demonstrating economic direct lithium extraction technology at scale in North America.”
Mr. Rob Shewchuk stated: "LithiumBank is very excited that Paul has agreed to move from his position as a Director to the role of Executive Chairman of our Board. I view this as a testament to the enormity of the opportunity in front of us as well as the exceptional job done by our team to set the table for valuable next steps. I am confident that investors in LithiumBank will benefit greatly from Paul’s stewardship, energy, experience and expertise as we transition to the development of our extraordinary portfolio of district scale lithium opportunities towards near term production potential."
The Company is also pleased to announce that Ann Fehr, Founder of Fehr & Associates, was appointed as Chief Financial Officer effective January 27, 2023. Ann received her accounting designation in 1996 and founded Fehr & Associates in 2010. She has been consulting and preparing public company financial reports in the mining industry since 2007. As a consultant and senior manager, she has supported and coordinated numerous complex transactions. Most recently, Ms. Fehr, as a director of QuestEx Gold & Copper Ltd. in 2022, was part of the team that completed a transaction to sell the company. We are excited to add Ms. Fehr to the core management team as we transition LithiumBank’s projects from exploration to development stage. The new appointment follows the resignation of Andre Mbeng who resigned as Chief Financial Officer of the Company effective January 27, 2023.
Stock Options
The Board of Directors have approved the implementation of a new “fixed up to 20%” stock option plan (the “New Plan”) to replace its existing “rolling up to 10%” stock option plan (the “Current Plan”). Under the New Plan, the Company may issue up to an aggregate of 7,700,000 stock options to purchase common shares in the capital of the Company (each an “Option”).
The Company also announces the grant of a total of 3,250,000 Options to certain directors, officers, consultants and investor relations service providers of the Company pursuant to the New Plan. Subject to the policies of the TSX Venture Exchange (the “TSXV”) and the terms and conditions of the New Plan, the Options will have an exercise price equal to $1.10 and will expire 5 years from the date of grant.
The New Plan is subject to: (i) the approval of the TSXV; and (ii) the approval and ratification of shareholders of the Company, which approval will be sought at the Company’s next annual general meeting of shareholders (the “Meeting”). At the Meeting, the Company will also seek disinterested shareholder approval and ratification of the Options granted under the New Plan.
About LithiumBank Resources Corp.
LithiumBank Resources Corp. is an exploration and development company focused on lithium-enriched brine projects in Western Canada where low-carbon-impact, rapid DLE technology can be deployed. LithiumBank currently holds over 3.6 million acres of mineral titles, 3.33M acres in Alberta and 336K acres in Saskatchewan. LithiumBank’s mineral titles are strategically positioned over known reservoirs that provide a unique combination of scale, grade and exceptional flow rates that are necessary for a large-scale direct brine lithium production. LithiumBank is advancing and de-risking several projects in parallel to its work on a Preliminary Economic Assessment scoping study for the Boardwalk Lithium Brine Project located in west-central Alberta.
Contact:
Rob Shewchuk
CEO & Director
rob@lithiumbank.ca
(778) 987-9767
futr
Level up your trading with our powerful tools and real-time insights all in one place.
agblanco
6 months ago
nowwhat2
8 months ago
TradingCharts
11 months ago
Hot Features
Premium
