- Lake completed oversubscribed private placement of $4.5 million
- Offer was upscaled from $4 million due to significant demand from current shareholders
- Patersons Securities Limited and Hunter Capital Advisors Pty Ltd were joint lead managers
The intention was to raise $4 million but due to significant demand from current shareholders, the offer was upsized. The Company has agreed to seek quotation of the Attaching Options subject to meeting the listing requirements under the ASX Listing Rules.
The funds raised through the Placement will be used by Lake for further exploration at its Olaroz, Cauchari and Paso Lithium Brine Projects, and for ongoing drilling and initial scoping studies at the Kachi Lithium Brine Project. In addition, a portion of the funds will repay the outstanding notes and for working capital.
Lake Resources' Managing Director Steve Promnitz, said: "Lake is grateful for the overwhelming interest to support exploration over the Olaroz and Cauchari areas as they are immediately adjacent to high grade lithium production or drill holes with high grades and flow rates."
Lake's 100% owned flagship brine projects (covering over 170,000ha), Olaroz/Cauchari/Paso and Kachi, have similar settings to major world-class brine projects being developed in the highly prospective Lithium Triangle in Argentina. The Company's Olaroz/Cauchari Projects are located next to Orocobre's Olaroz lithium production project and SQM/Lithium Americas Cauchari development project. Lake recently signed a landmark agreement with the Jujuy Provincial Government, confirming tenure of its Olaroz/Cauchari/Paso Projects and allowing Lake to advance exploration efforts for the first time since their acquisition 2 years ago.
The Company is currently drilling at its Kachi Lithium Brine Project (100% ownership - mining lease). The Kachi project covers 50,000 Ha over a salt lake south of FMC's lithium operation and near Albemarle's Antofalla Project. Results are expected from April/May onwards.
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About Lake Resources NL
Lake Resources NL (ASX:LKE) is a lithium exploration and development company focused on developing its three lithium brine projects and hard rock project in Argentina, all owned 100%. The leases are in a prime location among the lithium sector's largest players within the Lithium Triangle, where half of the world's lithium is produced. Lake holds one of the largest lithium tenement packages in Argentina (~200,000Ha) secured in 2016 prior to a significant 'rush' by major companies. The large holdings provide the potential to provide consistent security of supply demanded by battery makers and electric vehicle manufacturers.
The Kachi project covers 69,000 ha over a salt lake south of FMC's lithium operation and near Albemarle's Antofalla project in Catamarca Province. Drilling at Kachi has confirmed a large lithium brine bearing basin over 20km long, 15km wide and 400m to 800m deep. Drilling over Kachi (currently 16 drill holes, 3100m) has produced a maiden indicated and inferred resource of 4.4 Mt LCE (Indicated 1.0Mt and Inferred 3.4Mt) within a 8-17 Mt LCE exploration target (refer ASX announcement 27 November 2018).
A direct extraction technique is being tested in partnership with Lilac Solutions, which has shown 80-90% recoveries and lithium brine concentrations in excess of 3000 mg/L lithium and is planned to be trialled on site in tandem with conventional methods as part of a PFS to follow the resource statement. Scope exists to unlock considerable value through partnerships and corporate deals in the near term.
Lake Resources N.L.