ION Energy Completes $1,000,000 Non- Brokered Private Placement
ION Energy Completes $1,000,000 Non-
Brokered Private Placement
Toronto, Ontario--(Newsfile Corp. - July 20, 2023) - ION Energy Ltd. (TSXV: ION) (OTCQB: IONGF)
(FSE: 5YB) ("ION" or the "Company") announces that it has completed a non-brokered private
placement of 4,000,000 units of the Company ("Units") at a price of $0.25 per Unit, for aggregate gross
proceeds of $1,000,000 (the "Offering"). Each Unit consists of one common share of the Company (a
"Share") and one common share purchase warrant (a "Warrant").
Each Warrant entitles the holder to acquire one Share for $0.40 for a period of 12 months after the
closing of the Offering, provided that in the event that the daily volume weighted average closing price of
the Shares on the TSX Venture Exchange (the "TSXV") or a recognized Canadian stock exchange
equals or exceeds $0.60 for a period of 20 consecutive trading days, the Company may accelerate the
expiry date of the Warrants by issuing a press release announcing the reduced Warrant term and in such
case, the Warrants will expire on the 30th calendar day after the date such press release is issued.
"The Company is extremely pleased to announce the closing of this non-brokered offering that allows
ION Energy to advance the very first maiden resource estimate for brine in Mongolia, at our highly
encouraging Urgakh Naran site. With the recent critical metals interest in Mongolia from governments
and strategics alike, ION's vision is being realized. This also paves the way for the commencement of
exploration at our very exciting, newly-acquired Northwest Territories Tier 1 asset,"
said Ali Haji, CEO
& Director of ION Energy Ltd.
The proceeds from the Offering will be used primarily for exploration activities at the Company's
properties, as well as for general corporate purposes. The Offering is subject to receipt of all necessary
regulatory approvals, including approval of the TSXV. The securities issued pursuant to the Offering will
be subject to a statutory hold period of four months and one day in accordance with applicable securities
laws.
In connection with the Offering, the Company paid to finders an aggregate cash commission of $56,100.
The securities described herein have not been, and will not be, registered under the United States
Securities Act, or any state securities laws, and accordingly, may not be offered or sold within the
United States except in compliance with the registration requirements of the U.S. Securities Act and
applicable state securities requirements or pursuant to exemptions therefrom. This press release
does not constitute an offer to sell or a solicitation to buy any securities in any jurisdiction.
Related Party Transaction
In connection with the Offering, certain insiders of the Company, including officers and directors, have
agreed to acquire an aggregate 260,000 Units, for gross proceeds of $65,000. The acquisition of the
Units by insiders in connection with the Offering will be considered a "related party transaction" pursuant
to Multilateral Instrument 61-101-
Protection of Minority Security Holders in Special Transactions
("MI
61-101") requiring the Company, in the absence of exemptions, to obtain a formal valuation for, and
minority shareholder approval of, the "related party transaction". The Company is relying on an
exemption from the formal valuation requirements of MI 61-101 available because no securities of the
Company are listed on specified markets, including the TSX, the New York Stock Exchange, the
American Stock Exchange, the NASDAQ or any stock exchange outside of Canada and the United
States other than the Alternative Investment Market of the London Stock Exchange or the PLUS markets
operated by PLUS Markets Group plc. The Company is also relying on the exemption from minority
shareholder approval requirements set out in MI 61-101 as the fair market value of the participation in
the Offering by the insiders does not exceed 25% of the market capitalization of the Company, as
determined in accordance with MI 61-101. The Company did not file a material change report in respect
of the related party transaction at least 21 days before the closing of the Offering, which the Company
deems reasonable in the circumstances so as to be able to avail itself of the proceeds of the Offering in
an expeditious manner.
About ION Energy Ltd.
ION Energy Ltd. (TSXV: ION) (OTCQB: IONGF) (FSE: 5YB) is committed to exploring and developing
high quality lithium resources in strategic jurisdictions. ION's flagship, 81,000+ hectare Baavhai Uul
lithium brine project represents the largest and first lithium brine exploration licence award in Mongolia.
ION also holds the 29,000+ hectare Urgakh Naran highly prospective lithium brine licence in Dorngovi
Province in Mongolia. With the acquisition of the Bliss Lake project in NWT, Canada, ION will have
significantly enhanced its lithium asset and jurisdiction profile. ION is well-poised to be a key player in the
clean energy revolution, positioned well to service the world's increased demand for lithium. Information
about the Company is available on its website,
www.ionenergy.ca
, or under its profile on SEDAR at
www.sedar.com
.
For further information:
COMPANYCONTACT: Ali Haji,
, 647-871-4571
MEDIA CONTACT: Siloni Waraich,
, 416-432-4920
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
news release.
Cautionary Note Regarding Forward-Looking Information
Information set forth in this news release contains forward-looking statements. Forward-looking
statements include estimates and statements that describe the Company's future plans, objectives or
goals, including words to the effect that the Company or management expects a stated condition or
result to occur. Forward-looking statements may be identified by such terms as "believes",
"anticipates", "expects", "estimates", "may", "could", "would", "will", or "plan". Since forward-looking
statements are based on assumptions and address future events and conditions, by their very nature
they involve inherent risks and uncertainties. Although these statements are based on information
currently available to the Company, the Company provides no assurance that actual results will meet
management's expectations. Risks, uncertainties and other factors involved with forward-looking
information could cause actual events, results, performance, prospects and opportunities to differ
materially from those expressed or implied by such forward-looking information. Forward-looking
information in this news release includes, but is not limited to, the Company's objectives, goals or
future plans, statements, potential mineralization, exploration and development results, the estimation
of mineral resources, exploration and mine development plans, timing of the commencement of
operations and estimates of market conditions. Important factors that could cause actual results to
differ materially from Ion Energy's expectations include, among others, uncertainties relating to
availability and costs of financing needed in the future, changes in equity markets, risks related to
international operations, the actual results of current exploration activities, delays in the development
of projects, conclusions of economic evaluations and changes in project parameters as plans
continue to be refined as well as future prices of lithium, and ability to predict or counteract potential
impact of COVID-19 coronavirus on factors relevant to the Company's business. There can be no
assurance that forward-looking statements will prove to be accurate and actual results and future
events could differ materially from those anticipated in such statements. Accordingly, readers should
not place undue reliance on forward-looking statements.
THIS NEWS RELEASE IS INTENDED FOR DISTRIBUTION IN CANADA ONLY AND IS NOT
AUTHORIZED FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR
DISSEMINATION IN THE UNITED STATES.
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https://www.newsfilecorp.com/release/174261