Frontier Lithium Announces Oversubscribed Private Placement
SUDBURY, ON, July 22, 2020 /CNW/ - Frontier Lithium Inc. (TSXV: FL) (the "Company" or "Frontier") announces that it has received strong interest above the previously announced $1,250,000, and accordingly intends to increase the amount to be raised under its non-brokered private placement offering to $2,005,400; therefore the company now proposes to issue 10,027,000 units at a price of $0.20 each subject to TSX Venture Exchange ("TSX-V") approval. All other terms of the offering remain as set out in the Company's June 23, 2020 news release.
All of the Shares and Warrants issued pursuant to the private placement are subject to a minimum 4-month 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-V and applicable securities regulatory authorities. Proceeds from the financing will be used to advance Frontier's 100% owned PAK Lithium Project located in northwestern Ontario.
Other matters
Effective immediately, Michael Tamlin has curtailed his responsibilities to the Company by stepping down from the Board of Directors for personal reasons. Mr. Tamlin has agreed to continue to provide strategic advice to the Company and will serve on the Advisory Board.
About Frontier Lithium Inc.
Frontier Lithium is a Sudbury based, publicly listed, junior mining company with the largest land position in an emerging premium lithium mineral district located in the Great Lakes region of northern Ontario. The company's PAK Lithium Project contains North America's highest-grade concentration of rare low-iron, lithium bearing mineral spodumene and is Ontario's largest resource with significant upside potential to increase. Frontier Lithium's objective is to build fully integrated operations to produce premium lithium concentrates for industrial use and downstream lithium chemicals essential for the burgeoning electric vehicle market.
Frontier maintains a tight share structure with management ownership exceeding 30% of the Company.
About the PAK Lithium Project
The PAK Lithium Project encompasses 26,774 hectares at the south end of Ontario's Electric Avenue, which is the largest land package hosting lithium bearing pegmatites in Ontario. The Project covers 65km of Avenue length and remains largely unexplored; however, since 2013 the company has delineated two premium spodumene bearing lithium deposits located 2.3 km from each other at the southwestern end of the project. Recently, Frontier confirmed the presence of spodumene with the Pennock Lake pegmatite occurrence a further 30km along Frontier's PAK Lithium Project.
The PAK deposit has a mineral reserve in proven and probable category of 5.77 MT averaging 2.06% Li2O. The deposit hosts a rare technical/ceramic grade spodumene with low inherent iron (below 0.1% Fe2O3). The "2019 Discovery of the year award" winning Spark Deposit has a mineral resource estimate of 3.2 MT averaging 1.59% Li2O in indicated and 12.2 MT averaging 1.36% Li2O in inferred category, as per NI 43-101 Technical Report, "PAK prefeasibility study, Spark resource estimation" by WSP Canada Inc. and Nordmin Engineering Ltd., updated on March 23, 2020.
SOURCE Frontier Lithium Inc.
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