SUDBURY, ON, June 5, 2019 /CNW/ - Frontier Lithium Inc. (TSX.V: FL) (the "Company") announces the closing of a non-brokered Flow Through private placement offering conditional upon the approval of the TSX Venture Exchange ("TSX-V") for a total of 5,000,000 units ("Units") of the Company priced at $0.40 per Unit, for total gross proceeds of $2,000,000. The Flow Through private placement was oversubscribed from the initial offering by $500,000 issuing an additional 1,250,000 common shares of the Company. Each Unit consists of one (1) Common Share of the Company and one-half (½) share purchase warrant (the "Warrant"). Each full Warrant entitles the holder thereof to purchase one (1) additional common share of Frontier Lithium at an exercise price of $0.50 for a period of twenty-four (24) months from the date of issuance.
In connection with the CDN $2,000,000 Offering, the Company issued finder's fees of CDN $100,200.00 and 250,500 finder warrants. Each finder warrant will be exercisable at a price of $0.50 into one common share for a period of twenty-four (24) months from the date of issuance.
All of the Shares and Warrants issued pursuant to the private placement are subject to a minimum 4-month and one day statutory hold period. The Offering is subject to certain conditions including, but not limited to, the receipt of all necessary approvals, including the approval of the TSX Venture Exchange ("TSX-V") and applicable securities regulatory authorities. Proceeds from the financing will be used to advance exploration of Frontier's 100% owned PAK Lithium Project located in northwestern Ontario.
About Frontier Lithium Inc.
Frontier Lithium is a Canadian junior mining company with the largest land position in the Electric Avenue, an emerging premium lithium mineral district located in the Canadian Shield of northwestern Ontario containing the company's PAK Lithium Deposit, North America's highest concentration of rare low-iron spodumene. Frontier Lithium's objective is to firstly become a near term producer of premium technical grade lithium mineral concentrates of 2,000 tonnes of Lithium Carbonate Equivalent (("LCE") firstly for glass producers then scale up to 30,000 tonnes by 2025 for both glass producers and battery producers via a phased approach.
Frontier maintains a tight share structure with management ownership exceeding 30% of the Company.
About the PAK Lithium Project
The PAK Deposit is located at the south end of Ontario's Electric Avenue, a newly emerging premium lithium-metal district which also hosts Frontier's new discovery at Spark showing (2km northwest) and the Pennock Lake pegmatite occurrence a further 30km along Frontier's PAK Lithium Project. The PAK deposit has a current Measured and Indicated Resource of 7.5 million tonnes of 2.02% Li2O and an Inferred Lithium Resource of 1.8 million tonnes of 2.10% Li2O which has a rare technical/ceramic grade spodumene with low inherent iron (below 0.1% Fe2O3) as per its NI 43-101 Technical Report, "Preliminary Feasibility Study" disseminated on April 16, 2018.
Company Contact Information
Additional information regarding Frontier Lithium is available on SEDAR at www.sedar.com under the Company's profile and on its website at www.frontierlithium.com, including various pictures of ongoing work at the project.
Neither the 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 adequacy or accuracy of this release.
SOURCE Frontier Lithium Inc.
For further information: Bora Ugurgel, Manager, Investor Relations, 2736 Belisle Drive Val Caron, ON. P3N 1B3 CANADA, T. +001 705.897.7622, F. +001 705.897.7618