Raises A$2.75m in Shortfall Placement
Brisbane, July 22, 2020 AEST (ABN Newswire) - Emerging lithium miner Sayona Mining Limited (
ASX:SYA) (DML:FRA) (DMNXF:OTCMKTS) announced today strong investor support for the Company's expansion strategy, having successfully issued the remaining shortfall securities from the 1 for 4 renounceable rights issue announced on 12 March 2020 in a heavily oversubscribed placement.
Due to the high demand, the Company has issued a further 120,416,433 shares and 60,208,233 quoted options (ASX:SYAO) on the same terms (Oversubscription Placement). A total of A$2,750,000 will be raised, which will support the Company's growth plans in Quebec, Canada together with further development of its Pilbara gold tenements.
Demonstrating his confidence in the Company's outlook, Managing Director Brett Lynch has agreed to subscribe for A$100,000 under the Oversubscription Placement. The issue is subject to shareholder approval, which will be sought at the Company's forthcoming Annual General Meeting.
The shares were issued at AUD$0.008 per share with one free attaching listed option for every two new shares subscribed for, exercisable at AUD$0.02 on or before 29 April 2023. Securities issued under the Oversubscription Placement were issued without shareholder approval and using the Company's existing 15% capacity under Listing Rule 7.1.
Mahe Capital Pty Ltd acted as Lead Manager to the Rights issue and the Oversubscription Placement.
Sayona's Managing Director, Brett Lynch said: "The strength of investor demand is extremely welcome and I would like to thank both existing and new shareholders for supporting Sayona's growth plans in Canada and Western Australia.
"These funds will support not only our flagship Authier Lithium Project, the NAL bid and Tansim project in Quebec, but also the further exploration and development of our prospective gold tenements in the Pilbara.
"With the electric vehicle revolution continuing to accelerate globally, we look forward to becoming a world-scale spodumene producer in Quebec, the economic, strategic and green supplier of choice for the North American battery market."
About Elevra Lithium Limited
Elevra Lithium Limited (ASX:ELV) (NASDAQ:ELVR) is North America's largest hard-rock lithium producer with a diversified portfolio of high-quality assets across Quebec Canada, the United States, Ghana and Western Australia.
Our flagship operation, the North American Lithium (NAL) mine in Quebec, Canada has successfully ramped up production of spodumene concentrate, supported by ongoing operational enhancements to increase recovery rates, throughput, and mill utilisation. Following a Mineral Resource upgrade, Elevra completed a Scoping Study for a brownfield expansion to increase NAL's annual spodumene concentrate production and reduce unit operating costs.
Complementing NAL, the Moblan Lithium Project in northern Quebec represents one of the largest undeveloped spodumene resources in North America, with a Mineral Resource of 121 Mt @ 1.19% Li2O.
Development activities are progressing with feasibility studies targeting a large-scale, long-life operation capable of supplying both domestic and international markets.
In Western Australia, Elevra holds an extensive portfolio of lithium and gold tenements, where exploration programs are advancing to unlock additional growth opportunities. Meanwhile, in the United States, our Carolina Lithium Project offers a strategic foothold in the downstream lithium chemicals market and our project in Ghana provides a further option for future growth.
Looking ahead, Elevra is focused on strategic downstream partnerships to enable further value-added lithium production, positioning the Company to deliver a secure, sustainable supply of critical minerals to global customers. Together, these assets establish Elevra as a growth-focused supplier supporting the global energy transition.
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