OTTAWA, ONTARIO–(Marketwired – July 7, 2017) –
NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES
Stria Lithium Inc. (TSX VENTURE:SRA) (“Stria” or the “Company”) announces that it is effecting a private placement of a minimum of 5 million units ($200,000) and a maximum of 12.5 million units ($500,000) at a price of $0.04 per unit. Each of the units will be comprised of one common share and one common share purchase warrant; each warrant will entitle its holder to acquire one additional common share of Stria at a price of $0.05 per share for a period of 36 months from the closing date.
The units will be offered to Stria shareholders (the “Eligible Stria Shareholders”) of record as of the close of business on July 6, 2017 (the “Record Date”) pursuant to the “Existing Security Holders” exemption of OSC Rule 45-501 – Ontario Prospectus and Registration Exemptions, and similar prospectus exemptions in other provinces of Canada (the “Existing Shareholder Exemption”), as well as to “accredited investors” in some or all of the provinces of Canada and in other jurisdictions, if any, determined by Stria. Subscriptions by shareholders are subject to a number of conditions, including a limit of $15,000 unless the shareholder has received advice regarding the suitability of an investment in the units from a registered investment dealer. The Company expects to close on at least the minimum Offering on or before July 19, 2017, which remains subject to regulatory approval. Any Eligible Stria Shareholder who wishes to participate in the Offering is asked to please contact Judith Mazvihwa-MacLean, CFO of the Company, at (613) 702-0789 or by email to: [email protected] in order to receive subscription documentation and instructions. The Offering will remain open to existing shareholders until July 14, 2017. Orders will be processed by the Company on a first come, first served basis such that it is possible that a subscription received from a shareholder may not be accepted by the Company if the Offering is over subscribed. Any person who becomes a shareholder of Stria after the Record Date shall not be entitled to participate in the Offering under the Existing Shareholder Exemption.
In connection with the private placement, Stria may pay a cash commission to various securities dealers in an amount equal to 7% of the proceeds from the sale of units through such dealers. Stria may also issue non-transferable warrants to such dealers in an amount equal to 7% of the number of units sold through them. Such warrants will entitle the holder to purchase one common share of the Company at a price of $0.05 for a period of 36 months.
Over the next six month period, the Company shall use the gross proceeds of the Offering as follows: (i) in the event of the minimum Offering, the Company will use the proceeds for general corporate purposes ($66,000), which includes the further development of its lithium extraction process, to pay the finder’s fee under the Offering (up to $14,000) and to reduce it current liabilities ($120,000); (ii) in the event of the maximum Offering, the Company will use the proceeds for general corporate purposes ($120,000), which includes the further development of its lithium extraction process, to conduct an exploration program on its Pontax spodumene lithium property ($225,000), to pay the finder’s fee under the Offering (up to $35,000) and to reduce it current liabilities ($120,000). Stria is not aware of any “material fact” or “material change”, as such terms are defined under applicable securities legislation, related to the Company or its activities that has not been generally disclosed.
Finally, the Company announces that Dr. Iain Todd has resigned as President and Chief Operating Officer, to pursue another career opportunity. Stria wishes to thank Dr. Todd for his services and wishes him the best of luck in his future endeavors.
About Stria Lithium Inc.
Stria is a Canadian junior mining exploration company with an expanding technology focus and is the sole owner of the Pontax spodumene lithium property in Northern Quebec. Stria’s mission is to be a reliable, profitable global source for both lithium metal and lithium compound products and process technologies for producing value added lithium products.
Stria’s expanded business focus is on the application of in-house developed technologies and processes that lead to the production and milling of lithium metal and lithium metal foil for advanced lithium batteries.
From the production of lithium metal also comes the value added production of: lithium hydroxide; lithium carbonate; lithium fluoride; and lithium chloride.
Lithium is a critical metal in the universal fight against global warming. It is a core component of Lithium-Ion batteries used for powering electric vehicles and for industrial scale energy storage.
Stria is part of the 2GL Platform green energy technology strategy alliance with Grafoid Inc., Focus Graphite Inc. and Braille Battery Inc.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the accuracy or adequacy of this release.
Gary Economo, President, CEO & COO
613 241-4040
[email protected]
www.strialithium.com
