LTMCF - Lithium Chile Announces Closing of Its $3.5 Million Financing
(TheNewswire)
CALGARY, ALBERTA – TheNewswire - February 24, 2021 – Lithium Chile Inc.(“Lithium Chile” or the “Company”) (TSXV:LITH) (OTC:LTMC) is pleased to announce that it has closed its fullysubscribed previously announced private placement of units of theCompany (the “ Units ”) for gross proceeds of $3.5 million(the “ Offering ”) and thatthe 15% option (the “ Over-Allotment Option ”) was taken up for gross proceeds tothe Company of approximately $4,024,000. Each Unit is comprised ofone (1) common share of the Company (a “ Common Share ”) andone (1) Common Share purchase warrant (“ Warrant ”). EachWarrant is exercisable at $0.60 per Common Share for a period of 24months from the date of closing of the Offering. The Warrants issuedpursuant to the Offering contain an acceleration clause such that theexpiry date for the Warrants may be accelerated at the Company'sdiscretion upon the Common Shares trading at or above $0.75 per sharefor a period of 20 consecutive trading days. If the Company elects totrigger the acceleration clause, the Warrants must be exercised withinthirty days from receipt of notice from the Company that theacceleration clause has been triggered.
Pursuant to the Offering, Lithium Chile paid cashcommissions to qualified non-related parties of $251,779.50 and issued892,649 broker warrants (the “ Broker Warrants ”). Each Broker Warrantentitles the holder to acquire one common share of the Company at aprice of $0.28 per Broker Warrant for a period of 18 months from thedate of issuance.
The use of the net proceeds will be as follows ():$2,990,000 to evaluate, plan and drill up to nine holes, $388,400 fordetailed sampling and geophysics, and $394,000 for working capital andto pay the expenses of the Offering.
Completion of the Offering is subject to regulatoryapproval including, but not limited to, the approval of the TSXVenture Exchange. The securities issued are subject to a four monthhold period from the date of the closing of the Offering.
Commenting on the closing, Steve Cochrane, Presidentand CEO commented “I would like to add my personal wishes ofgratitude to the Ocean Wall Ltd. and Leede Jones Gable Inc. teams. Inparticular I would like to recognize and thank the team from OceanWall Ltd. of London, England for their efforts in helping raise$1,800,000 from their clients in Great Britain, Europe and the MiddleEast. It is evident to us at Lithium Chile that the Laguna Blancaand Los Morros salars hold great promise and with this show ofsupport, we were able to accelerate our exploration plans at those twosalars. We remain confident that Lithium Chile is uniquelypositioned within the Lithium triangle with exposure to a number ofprojects within our diverse portfolio”.
About Lithium Chile
Lithium Chile is advancing a lithium property portfolioconsisting of 71,900 hectares covering sections of 10 salars and twolaguna complexes in Chile.
Lithium Chile also owns 5 properties that areprospective for gold, silver and copper. Exploration efforts arecontinuing on Lithium Chile’s Carmona gold/silver/copper propertywhich lies in the heart of the Chilean mega porphyry gold/silver/copper belt.
Lithium Chile’s common shares are listed on the TSX-Vunder the symbol " LITH ” and on the OTC-BB under the symbol“ LTMCF ”.
To find out more about Lithium Chile Inc., pleasecontact:
Steven Cochrane, President and CEO via email: steve@lithiumchile.ca or;
Terry Walker, VP Exploration at (011) 562 2455-6473 orvia email: twalker@chilelithium.cl .
NEITHER THE TSXVENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM ISDEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTSRESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.
NOT FOR RELEASE INTHE UNITED STATES OF AMERICA
Forward Looking Statements
This news release may contain certain forward-lookinginformation and forward-looking statements within the meaning ofapplicable securities legislation (collectively "forward-lookingstatements"). Generally, forward-looking information can beidentified by the use of forward-looking terminology such as"expects", "believes", "aims to","plans to" or "intends to" or variations of suchwords and phrases or statements that certain actions, events orresults "will" occur. In particular, this news releasecontains forward-looking statements relating to, among other things,statements pertaining to the use of proceeds, and the Company'sability to obtain necessary approvals from the TSX Venture Exchange.
You are cautioned that the following list of materialfactors and assumptions is not exhaustive. Specific material factorsand assumptions include, but are not limited to: the general stabilityof the economic and political environment in which the Companyoperates; the timely receipt of required regulatory approvals; theability of the Company to obtain future financing on acceptable terms;currency, exchange and interest rates; operating costs; the successthe Company will have in exploring its prospects and the results fromsuch prospects. Accordingly, readers should not place undue relianceon forward-looking statements. The Company does not undertake toupdate any forward-looking statements herein, except as required byapplicable securities laws. All forward-looking statements containedin this news release are expressly qualified by this cautionarystatement.
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