(TheNewswire)
VANCOUVER, BC - TheNewswire – March 02, 2021 - One World LithiumInc. (CSE:OWLI) (OTC:OWRDF) (CNSX:OWLI.CN) (the“Company”) (“OWL”) today is pleased to announce ithas closed its previously announced $1,500,000 non-brokered privateplacement for gross proceeds of $ 2,251,110.50 . Theprivate placement closed with the issuance of 45,022,210 units (“ Units ”) priced at$0.05 per Unit (the “ Offering ”). Theprivate placement has been oversubscribed, resulting in the issuanceof an additional 15,022,210 Units for $751,110.50. All funds arestated in Canadian dollars.
Each Unit consist of one common share (a“ Common Share ”) and one non-transferable common share purchase warrant(a “ Warrant” ) (collectively the “Securities” ). Each Warrant will entitlethe holder thereof to acquire one common share, at a price of $0.10per common share for a period of 36 months from the closing date ofthe Offering. All Securities are subject to a four month and one dayhold period from the closing date.
The net proceeds of the Offering will be used primarilyfor the Salar del Diablo Lithium Brine Property southern drillingprogram, advancement of its potential lithium separation technologyand the balance for working capital.
Douglas Fulcher, CEO and director of theCompany commented, “Closing the Private Placement is a milestone forthe Company to fund an aggressive exploration program at its Salar delDiablo Lithium Brine Project as well as advancing the potential for acritical fluid separation technology”. In addition, he noted “Weappreciate our shareholder’s confidence.”
The Company has received binding commitments forparticipation in the Offering from members of the Company’s board ofdirectors including the extended management team in the aggregate of$30,000 or 600,000 Units. Accordingly, the Offering constitutes a"related party transaction" as such term is defined inMultilateral Instrument 61-101 – Protection of Minority Security Holders inSpecial Transactions (" MI 61-101 "),which requires that the Company, in the absence of exemptions, obtaina formal valuation for, and minority shareholder approval of, therelated party transaction. The Offering will be exempt from thevaluation and the minority shareholder approval requirements of MI61-101 by virtue of the exemptions contained in section 5.5(a) and5.7(1)(a), respectively, as neither the fair market value of theconsideration for the Units nor the value of the Units issuable to"related parties" is more than 25% of the Company's marketcapitalization. As the material change report relating to thecompletion of the Offering will be filed on SEDAR less than 21 daysbefore the completion of the Offering, there is a requirement under MI61–101 to explain why the shorter period is reasonable or necessaryin the circumstances. In the view of the Company, such shorter periodis reasonable and necessary in the circumstances because thesubscribers of the Company wished to complete the Offering in a timelymanner.
The Company also announces that is has grantedincentive stock options to certain of itsdirectors, officers, management and consultants of the Company topurchase up to an aggregate of 4,900,000 common shares of the Company(the “Options ”). The Options are exercisable on or before March 01,2023, at a price $0.13 per common share, being the closing price ofthe Company’s common shares on the Canadian Stock Exchange on March01, 2021. All Options were granted in accordance with the Company’sStock Option Plan.
This news release does not constitute an offer to sell or thesolicitation of an offer to buy, nor shall there be any sale of thesesecurities, in any jurisdiction in which such offer, solicitation orsale would be unlawful prior to registration or qualification underthe securities laws of such jurisdiction. The securities have not beenand will not be registered under the United States Securities Act of1933, as amended (the “U.S. Securities Act”), or any statesecurities laws, and may not be offered or sold within the UnitedStates or to, or for the account or benefit of, U.S. Persons (asdefined in Regulation S under the U.S. Securities Act) unless anexemption from such registration is available.
About One World Lithium Inc.
One World Lithium Inc. is an exploration anddevelopment company focused on lithium in brine projects and newlithium separation technologies. It currently has earned a 60%property interest in the Salar del Diablo property. On completing thesouthern drill program, OWL will earn an additional 20% propertyinterest and has an option to purchase a further10% property interest for a total of a 90% property interest in the103,450 hectare (399 square mile) Salar del Diablo Lithium Brineproject located in the State of Baja California, Mexico.
On behalf of the Board of Directors of OneWorld Lithium Inc.,
“DouglasFulcher”
President and Chief Executive Officer
For further information please visit www.oneworldlithium.com or email info@oneworldlithium.com
or call 1-604-564-2017 Extension-3.
Forward-Looking Information: Thispress release may include forward looking information within themeaning of Canadian securities legislation. Forward lookinginformation is based on certain key expectations and assumptions madeby the management of the OWL, including the intention of OWL toproceed with the advancement of the Property and the new criticalseparation technology. Although OWL believes that the expectations andassumptions on which such forward looking information is based arereasonable, undue reliance should not be placed on the forward-lookinginformation because OWL can give no assurance that they will prove tobe correct. Forward looking statements contained in this press releaseare made as of the date of this press release. OWL disclaims anyintent or obligation to update publically any forward-lookinginformation, whether as a result of new information, future events orresults or otherwise, other than as required by applicable securitieslaws. There can be no assurance that such statements will prove to beaccurate and actual results and future events could differ materiallyfrom the those anticipated in such statements, important factors thatcould cause actual results to differ materially from the company’sexpectations include: (I) inability of OWL to execute its businessplan and raise the required financing (II) accuracy of mineral orresource exploration activity (III) continued access to mineralproperty and (IV) risks and market fluctuations common to the miningindustry and lithium sector in particular (V) advancement in newtechnologies. The reader is cautioned that assumptions used in thepreparation of any forward-looking information may prove to beincorrect. Events or circumstances may cause actual results to differmaterially from those predicted, as a result of numerous known andunknown risks, uncertainties, and other factors, some of which arebeyond the control of the OWL. The reader is cautioned not to placeundue reliance on any forward-looking information contained in thispress release.
Neither the Canadian SecuritiesExchange nor its Market Regulator (as that term is defined in thepolicies of the Canadian Securities Exchange) accepts responsibilityfor the adequacy or accuracy of this release.
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