Mr. Chris Doornbos reports
E3 METALS CORP CLOSES TRANCHE 1 OF PRIVATE PLACEMENT AT $907,000
E3 Metals Corp. has successfully closed the first tranche of its non-brokered private placement financing announced on Nov. 20, 2019. Under the offering, the company has issued 2,267,900 units of the company at a price of 40 cents per unit for gross proceeds of $907,160. Each unit comprises one common share and one-half of one common share purchase warrant. Each warrant entitles the holder to acquire one additional common share at an exercise price of 60 cents for a period of 30 months following the date of issuance. On closing of tranche 1 of the offering E3 Metals has 27,341,885 common shares issued and outstanding. All securities issued are subject to a hold period under applicable securities laws in Canada expiring on April 18, 2020. There are no finder's fees or warrants associated with the issuance.
"In spite of 2019 being a challenging year for companies in the lithium industry, E3 has made significant progress in advancing its unique Alberta lithium project. The company was successful in further testing its proprietary ion exchange direct lithium extraction technology; was selected for GreenCentre Canada's Raising Innovative and Sustainable Enterprises (RISE) program, and most importantly entered into a joint development agreement with Livent Corp., the world's largest pure play lithium producer, to further develop our lithium extraction technology. Numerous insiders, including all the directors and members of the senior management team, have expressed their underlying confidence in the company by electing to participate in the current financing," stated E3 director Paul Reinhart.
Chris Doornbos, E3 Metals' president and chief executive officer, commented: "We are pleased with the closing of the first tranche of this financing with strong support from our executive team, existing shareholders, and new local and international shareholders. The second tranche is well under way and we look forward to completing the financing early in the new year."
About E3 Metals Corp.
E3 Metals is a lithium development company with 6.7 million tonnes lithium carbonate equivalent (LCE) inferred mineral resources (1) in Alberta. E3 Metals is currently advancing its proprietary ion exchange direct lithium extraction (DLE) process in partnership with Livent under a joint development agreement. Livent is the world's largest pure play lithium producer, well-known for being one of the lowest cost producers of lithium carbonate. With facilities across the globe, Livent holds technical expertise in the extraction and production of various lithium products.
Chris Doornbos (PGeo), CEO and director of E3 Metals, is a qualified person as defined by National Instrument 43-101 and has read and approved the technical information contained in this announcement.
(1) E3 Metals has released information on three NI 43-101 technical reports totalling a resource of 6.7 million tonnes LCE. The Central Clearwater resource area (CCRA) technical report, identifying 1.9 million tonnes LCE (inferred), is dated effective Oct. 27, 2017, and the North Rocky resource area (NRRA) technical report was dated effective Oct. 27, 2017, identifies 900,000 t LCE (inferred). A third report for the Exshaw West resource area (EWRA) identifies 3.9 Mt LCE (inferred) and was filed on June 15, 2018, effective June 4, 2018. All reports are available on SEDAR.
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