(TheNewswire)
Rockport, Ontario – TheNewswire - March 23, 2021 – New Age MetalsInc. (the “Company”) (TSXV:NAM ) ; ( OTC:NMTLF ) ; ( FSE:P7J) announces that further to its press releasedated March 18, 2021 whereby the Company raised an aggregate$3,621,680 in its first tranche private placement closing, the Companyhas closed and oversubscribed its final tranche private placementfinancing raising an additional $1,635,655. The Company has raised atotal of $5,257,335 in both tranches.
The Company has issued an additional aggregate 8,410,344 unitsconsisting of 1,160,344 non-flow through units (“NFT Units”) at aprice of $0.16 per NFT Unit and 7,250,000 flow-through units of theCompany (the “FT Units”) at a price of $0.20 per FT Unit.
Each NFT Unit consisted of one common share and one-half of one CommonShare purchase warrant of the Company (each whole warrant, a"Warrant"). Each Warrant shall entitle the holder thereofto purchase one additional Common Share at an exercise price equal to$0.20 per share at any time up to 24 months from closing.
Each FT Unit consisted of one flow-through share of the Company thatwill qualify within the meaning of subsection 66(15) of the Income TaxAct (Canada) (“FT Common Share”) and one-half of one common sharepurchase warrant (each whole warrant, a “FT Warrant”). Each FTWarrant shall entitle the holder thereof to purchase one Common Shareat an exercise price equal to $0.25 at any time up to 24 monthsclosing.
In connection with the final tranche Private Placement, the Companyhas paid additional finder fees of an aggregate $130,346.20 in cashand has issued an aggregate 837,080 finder’s warrants to purchaseUnits on the same price and terms pursuant of the private placement,in accordance with the policies of the TSX Venture Exchange. IBKCapital Corporation acted as primary finders in connection with thefinal tranche closing.
The Company intends to use the net proceeds from the sale of Unitstowards its exploration and development work on its projects. The primary use of proceeds from thisfinancing will be for the completion of a Prefeasibility Study for theCompany’s flagship River Valley Platinum Group Metals (PGM) Project,one of North America’s largest undeveloped primary palladiumprojects, and for general corporate and working capitalpurposes . The Company intends to use the net proceeds from thesale of FT Units towards its exploration work on both the Company’sPGM and Lithium divisions. This will include a maiden drill program onthe Company’s Lithium Two Project in Manitoba and continued drillingat River Valley.
All securities issued in connection with the privateplacement are subject to TSX Venture Exchange approval and afour-month and a day hold period expiring on July 24, 2021 inaccordance with applicable Securities Laws.
An insider of the Company purchased a total of6,250,000 NFT Units in the first tranche of the Company’s privateplacement, which is considered a related party transaction within themeaning of Multilateral Instrument 61-101 Protection of MinoritySecurity Holders in Special Transactions (" MI 61-101 "). The Companyrelied on the exemptions from the valuation and minority shareholderapproval requirements of MI 61-101 contained in Sections 5.5(a) and5.7(a), respectively, of MI 61-101 in respect of such insiderparticipation. No new insiders and no control persons were createdin connection with the private placement.
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About NAM
New Age Metals is a junior mineral exploration and development companyfocused on the discovery, exploration and development of green metalprojects in North America. The Company has two divisions; a PlatinumGroup Metals division and a Lithium/Rare Element division.
The PGM Division includes the 100% owned, multi-million-ounce,district scale River Valley Project, one of North America’s largestundeveloped Platinum Group Metals Projects, situated 100 km fromSudbury, Ontario. The Company has recently completed a PreliminaryEconomic Assessment on the project and subject to financing, plans are to complete a PrefeasibilityStudy by the end of the first quarter of 2022 . In Alaska, theCompany owns 100% of the Genesis PGM-Cu-Ni Project.
The Lithium Division is one of the largest mineral claim holders inthe Winnipeg River Pegmatite Field, where the Company is exploring forhard rock lithium and various rare elements such as tantalum andrubidium. 2021 plans include dronegeophysics on three of the Company’s seven projects and a drillprogram on the Company’s Lithium Two Project.
Our philosophy is to be a project generator with the objective ofoptioning our projects with major and junior mining companies throughto production. The Company is actively seeking an option/ jointventure partner for its road-accessible Genesis PGM-Cu-Ni project inAlaska and for all or part of our Lithium Division in Manitoba.
Investors are invited to visit theNew Age Metals website at www.newagemetals.com where they can reviewthe company and its corporate activities. Any questions or commentscan be directed to info@newagemetals.com or Harry Barr at Hbarr@newagemetals.com or Cody Hunt at Codyh@newagemetals.com or call 613 659 2773.
On behalf of the Board of Directors
“ Harry Barr”
Harry G. Barr
Chairman and CEO
Forward-Looking Information
Neither the TSX Venture Exchange nor its RegulationServices Provider (as that term is defined in the policies of the TSXVenture Exchange) accepts responsibility for the adequacy or accuracyof this release. Cautionary Note Regarding Forward Looking Statements:This release contains forward-looking statements that involve risksand uncertainties. These statements may differ materially from actualfuture events or results and are based on current expectations orbeliefs. For this purpose, statements of historical fact may be deemedto be forward-looking statements. In addition, forward-lookingstatements include statements in which the Company uses words such as“continue”, “efforts”, “expect”, “believe”,“anticipate”, “confident”, “intend”, “strategy”,“plan”, “will”, “estimate”, “project”, “goal”,“target”, “prospects”, “optimistic” or similarexpressions. These statements by their nature involve risks anduncertainties, and actual results may differ materially depending on avariety of important factors, including, among others, the Company’sability and continuation of efforts to timely and completely makeavailable adequate current public information, additional or differentregulatory and legal requirements and restrictions that may beimposed, and other factors as may be discussed in the documents filedby the Company on SEDAR (www.sedar.com), including the most recentreports that identify important risk factors that could cause actualresults to differ from those contained in the forward-lookingstatements. The Company does not undertake any obligation to review orconfirm analysts’ expectations or estimates or to release publiclyany revisions to any forward-looking statements to reflect events orcircumstances after the date hereof or to reflect the occurrence ofunanticipated events. Investors should not place undue reliance onforward-looking statements.
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