Frontier Announces Oversubscribed Flow Through Private Placement and Shares for Debt Financing
Frontier Announces Oversubscribed Flow
Through Private Placement and Shares for
Debt Financing
SUDBURY, ON
,
Nov. 8, 2019
/CNW/ -
Frontier Lithium Inc. (TSX.V: FL) (the
"Company")
announces a "Shares for Debt Financing" of
$22,008.56
of debt owed to Rugged
Geomatics Inc, a company owned by one "arm's length" individual. Frontier proposes to issue up to
78,602 common shares at a price of
$.28
. In addition to the common shares issued to the arm's
length party, Frontier will issue one-half (1/2) common share purchase warrant (the "Warrant") for a
total of 39,301 Warrants.
The company is also announcing that it has received interest above the previously announced
$400,000
, and accordingly intends to increase the amount to be raised under its non-brokered
private placement offering to
$478,399.88
, subject to TSXV approval. All other terms of the offering
remain as set out in the Company's
October 28, 2019
news release.
The company now proposes to issue 1,708,571units ("FT Unit") at a price of
$0.28
each. Each FT
Unit will consist of one common share in the capital stock of Frontier ("Common Share") issued on a
flow-through basis and a ½ Common Share purchase warrant ("FT Warrant"). Each full FT Warrant
will entitle the holder to purchase one Common Share at a price of
$0.375
per Common Share until
the date which is 24 months following the closing date of the Offering, whereupon the FT Warrants
expire. The securities issued pursuant to the Offering will be subject to a four month and one day
statutory hold period.
About Frontier Lithium Inc.
Frontier Lithium is a Canadian junior mining company with the largest land position in the Electric
Avenue, an emerging premium lithium mineral district located in the Canadian Shield of northwestern
Ontario
. The company's PAK Lithium Deposit contains
North America's
highest concentration of rare
low-iron spodumene. Frontier Lithium's objective is to firstly become a near term producer of
premium technical grade lithium mineral concentrates of 2,000 tonnes of Lithium Carbonate
Equivalent ("LCE") for glass producers. Through a phased approach to scale up to 20,000 tonnes by
ramping up production of concentrates and building a downstream processing facility to produce
lithium chemicals required by glass and battery materials producers.
Frontier maintains a tight share structure with management ownership exceeding 30% of the
Company.
About the PAK Lithium Project
The PAK Deposit is located at the south end of
Ontario's
Electric Avenue, a newly emerging
premium lithium-metal district which also hosts Frontier's new discovery at Spark showing (2km
northwest) and the Pennock Lake pegmatite occurrence a further 30km along Frontier's PAK Lithium
Project. The PAK deposit has a current Measured and Indicated Resource of 7.5 million tonnes of
2.02% Li
2
O and an Inferred Lithium Resource of 1.8 million tonnes of 2.10% Li
2
O which has a rare
technical/ceramic grade spodumene with low inherent iron (below 0.1% Fe
2
O
3
) as per its NI 43-101
Technical Report, "Preliminary Feasibility Study" disseminated on
April 16, 2018
.
Additional information regarding Frontier Lithium is available on SEDAR at
sedar.com
under the
Company's profile and on its website at
frontierlithium.com
, including various pictures of ongoing
work at the project.
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.
SOURCE
Frontier Lithium Inc.
View original content:
http://www.newswire.ca/en/releases/archive/November2019/08/c2811.html
%SEDAR: 00008434E
For further information:
Company Contact Information: Bora Ugurgel, Manager, Investor
Relations, 2736 Belisle Drive Val Caron, ON. P3N 1B3 CANADA, T. +001 705.897.7622, F. +001
705.897.7618
CO: Frontier Lithium Inc.
CNW 10:56e 08-NOV-19