(TheNewswire)
Vancouver, BC, Canada - TheNewswire - November 10, 2020 - Rock Tech Lithium Inc. (the"Company" or "Rock Tech") (TSXV:RCK ) ( Frankfurt:RJIB) (OTC: RCKTF ) announces that itwill conduct a non-brokered private placement (the"Offering") of up to 5,882,353 units (the "Units")of the Company at a price of $0.85 per Unit for gross proceeds of upto $5,000,000.
"Increasing investor interest is furtherconfirmation of our low-operating cost, vertically-integrated lithiumhydroxide converter as presented in our recently completed PreliminaryEconomic Assessment," said Simon Bodensteiner, Chief ExecutiveOfficer of Rock Tech. "This Offering ensures that the Company iswell positioned and can accelerate progress towards key milestones onboth upstream and downstream strategic fronts in 2021."
Proceeds from the private placement will be used to fund aPre-Feasibility Study ("PFS") on a lithium hydroxideconverter, continuing investigations of novel lithium processingcircuits, further development and permitting work at the Company'sGeorgia Lake lithium project and general working capital.
Each Unit will consist of one common share of the Company and onecommon share purchase warrant. Each warrant will entitle the holder topurchase an additional common share of the Company at a price of $1.00per share for a period of 24 months from the date of closing, subjectto accelerated expiry in certain circumstances.
A portion of the Offering may be completed pursuant to the BritishColumbia Securities Commission's BC Instrument 45-534 - Exemption from Prospectus Requirement forCertain Trades to Existing Security Holders (the "ExistingSecurity Holder Exemption"). Under the Existing Security HolderExemption, existing shareholders resident in British Columbia maypurchase up to $15,000 in Units from the Company without qualifying asan Accredited Investor (as that term is defined in National Instrument45-106 - ProspectusExemptions ) or other prospectus exemption subject to therequirements of the instrument.
Similar exemptions exist in certain other jurisdictions. The Companyhas set November 6, 2020 as the record date for the purpose ofdetermining shareholders entitled to participate in the Offering inreliance on the Existing Shareholder Exemption. Existing shareholderswho wish to participate in the Offering should contact Brad Barnett,Chief Financial Officer of the Company, at the contact information setforth below.
In addition to conducting the Offering pursuant to the ExistingShareholder Exemption, the Offering will also be conducted pursuant toother available prospectus exemptions.
The closing of the Offering is subject to regulatory approvalincluding that of the TSX Venture Exchange. All securities issued inconnection with the Offering will be subject to a four-month holdperiod.
On behalf of the Board of Directors,
"SimonBodensteiner"
Simon Bodensteiner
Director, Chief Executive Officer
For further information, pleasecontact:
Brad Barnett
Chief Financial Officer
Rock Tech Lithium Inc.
777 Hornby Street, Suite 600
Vancouver, B.C., V6Z 1S4
Telephone: (778) 358-5200
Facsimile: (604) 670-0033
Email: bbarnett@rocktechlithium.com
Neither 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.
Statements included in this announcement, includingstatements concerning our plans, intentions and expectations, whichare not historical in nature are intended to be, and are herebyidentified as, "forward - looking statements". Forward - looking statements may be identifiedby words including "anticipates", "believes","intends", "estimates", "expects" andsimilar expressions. The Company cautions readers thatforward - lookingstatements, including without limitation those relating to theCompany's future operations and business prospects, are subject tocertain risks and uncertainties that could cause actual results todiffer materially from those indicated in the forward - looking statements.
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