June 23, 2022, Vancouver, British Columbia (GLOBE NEWSWIRE) — South Star Battery Metals Corp. (“South Star” or “Company”) (TSXV: STS) (OTCQB: STSBF) will inform you that it is complete. The unit is a non-mediated private placement (“private placement” or “recruitment”) with a total income of C $ 1,906,990. Most of the participation in private placements was by major institutional investors and insiders. Net income from private placements is used for advanced material sample preparation, commercial contracts, project finance, and general working capital requirements for the company.
The private placement consists of 3,467,254 units priced at an integrated price of C $ 0.55 per unit (“Units”). Each unit consists of one common stock and one common stock purchase warrant (“warrant”). Each warrant gives holders the right to purchase one additional share of the Company’s common stock at an exercise price of C $ 1.25 per share for five years from the date of issue. The securities are subject to a four-month holding period expiring October 24, 2022 from the date of closing and approval by TSXV. We have issued a total of 1,636 finder warrants in connection with the private placement (the number of units sold to subscribers introduced to the company by the finder) and a cash finder fee of $ 54,300 has been paid to a particular finder. (Equivalent to 6% of the total revenue of offerings sold to subscribers introduced to the company by Finder).
The daily trading volume-weighted average trading price (or most of the trading volume) of our common stock on TSXV during the 10 consecutive trading period from the date four months after the end of the private placement to the expiration of the warrant. If the C $ 2.50 on a consolidated basis for each of these 10 consecutive days), we will write to the following holders within 30 days of such occurrence: You can be notified. The Warrant warrants that it will expire at 4 pm (Vancouver Time), 30 days after notification, unless the holder exercises it prior to that date. After receiving such notice, the warrant holder has 30 days to exercise the warrant. Warrants that remain unexercised at 4 pm (Vancouver time) on the 30th day after making such a notice will expire at that time.
Two directors, including management, and one of our executives have joined a private placement for a total of 1,071,817 units totaling $ 589,500. Each transaction with a director and officer constitutes a “related party transaction” as defined in Multilateral Instrument 61-101. Protection of minority securities holders in special transactions (“MI61-101”). We rely on the formal valuation of MI 61-101 and the exemption under Section 5.5 (a) and Section 5.7 (1) (b) from the requirements for minority shareholder approval as the fair market value of the transaction. Related parties do not exceed 25% of our market capitalization (determined based on MI 61-101). We did not submit a material change report at least 21 days prior to the closure of the private placement because the details of the private placement and the participation of our stakeholders were not finalized until just before the closure and we requested. Close quickly for healthy business reasons.
About SOUTH STAR BATTERY METAL SCORP
South Star Battery Metals Corp. is a Canadian battery metal project developer focused on the selective acquisition and development of short-term production projects in the Americas. South Star’s Santa Cruz Graphite Project in southern Bahia, Brazil, is the first in a series of industrial and battery metal projects to begin production. Brazil is the second largest graphite producing region in the world with continuous mining for over 80 years. Santa Claus has a mineralization effect on the surface of fragile materials, and a large-scale pilot plant test (> 30t) has been successfully completed. Test results show that about 65% of the Cg concentrate is +80 mesh, with a high recovery rate of 95% -99% Cg. With excellent infrastructure and logistics, Southstar is implementing development plans for Phase 1 production planned for the second quarter of 2023.
South Star’s next project in the development pipeline is a project in Alabama, located in the middle of an electric vehicle, aerospace, and defense hub under development in the southeastern United States. This project is a historic mine that was active during World War II. Trenching, sampling, analysis, and preliminary metallurgical testing have been completed. Testing has shown that conventional milling / milling / flotation enrichment circuits achieve grades of approximately 96-97% and recovery rates of approximately 86%. Southstar is implementing plans to establish a diverse multi-asset battery metal company with short-term operations in strategic jurisdictions. South Star is traded on the TSX Venture Exchange under the STS symbol and on OTC QB under the STSBF symbol.
Southstar is committed to a corporate culture, project execution plans, and secure operations that employ the highest standards of ESG principles based on transparency, stakeholder involvement, and ongoing education and management. For more information, please visit our website http://www.southstarbatterymetals.com.
This news release has been reviewed and approved by Richard Pearce, PE, National Instrument 43-101 “Qualified Person” and President and CEO of South Star Battery Metals Corp.
On behalf of the board of directors
Chief executive officer
For more information, please contact:
South Star Investor Relations (Canada IR)
Email: [email protected]
RBMG – RB Milestone Group LLC (IR US)
Trevor Brucato, Managing Director
Email: [email protected]
YouTube: South Star Battery Metal – YouTube
Neither the TSX Venture Exchange nor its regulatory service provider (the term is defined in the TSX Venture Exchange Policy) is responsible for the validity or accuracy of this press release.
Information about the future outlook
This press release contains “forward-looking statements” in the sense of the applicable securities law. Forward-looking statements relate to management assumptions, forecasts of future outcomes, and information based on estimates of undecided amounts. Statements of forecasts, expectations, beliefs, plans, forecasts, objectives, assumptions, or future events or achievements may be “forward-looking statements” rather than historical facts. The forward-looking statements in this press release include, but are not limited to, the following: And the company’s plans and expectations.
Forward-looking statements carry various risks and uncertainties and may differ from what is reflected in the forward-looking statements of actual events and consequences. Under acceptable conditions; risks associated with the outcome of legal proceedings. Political and regulatory risks associated with mining and exploration. Risks associated with maintaining a stock exchange listing. Risks related to environmental regulations and responsibilities. Delays in exploration or development activities or the possibility of completing feasibility studies. Profitability Uncertainty; Risks and Uncertainties Related to Drilling Results Interpretation, Geology, Field Grade and Continuity. Uncertainties inherent in production and cost estimates, and risks associated with unexpected costs and potential costs. The results of feasibility and feasibility studies, and future exploration, development, or mining results may not meet our expectations. Risks associated with fluctuations in commodity prices. And other risks and uncertainties related to our outlook, assets and businesses detailed elsewhere in our disclosure records. If one or more of these risks and uncertainties become apparent, or if the underlying assumptions are found to be incorrect, the actual results will differ materially from those described in the forward-looking statements. There is a possibility. Investors are warned of giving undue certainty to forward-looking statements. These forward-looking statements are current as of the date of this document and we undertake no obligation to update or revise them to reflect new events or circumstances. Actual events or results may differ materially from our expectations or expectations.
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South Star Battery Metals Announces Closure of Unmediated Private Placement, Canadian Business Journal
Source link South Star Battery Metals Announces Closure of Unmediated Private Placement, Canadian Business Journal