Avalon completes non-middleman private placement for gross proceeds of $ 1,384,000
Toronto, Ontario – (Newsfile Corp. – December 21, 2021) – Avalon Advanced Materials Inc. (TSX: AVL) (OTCQB: AVLNF) (“Avalon” or the “Company”) is pleased to announce that it has today completed a non-brokered private placement consisting of 9,099,994 flow-through units at a price of 0, $ 12 per unit and 2,920,000 non-flow-through units at a price of $ 0.10 per unit for gross proceeds of $ 1,384,000.
Each flow-through unit consisted of one flow-through common share and one-half common share purchase warrant, each whole warrant entitling its holder to acquire one common share of the Company at a price of $ 0.18. for a period of 24 months. from now on. Each non-flow-through unit consisted of one common share and one-half common share purchase warrant, each whole warrant entitling its holder to acquire one common share of the Company at a price of $ 0.15. for a period of 24 months from today.
Donald Bubar, President and Chief Executive Officer of the Company, subscribed 250,000 flow-through units and Alan Ferry, Chairman of the Board of Directors of the Company, subscribed 300,000 flow-through units. The proceeds of this private placement will be used to finance a winter drilling program on the Company’s Separation Rapids Lithium project and for general working capital purposes.
In connection with this private placement, Avalon paid finder’s fees of $ 90,580 and issued 788,900 non-transferable finder’s warrants, each warrant being exercisable to acquire one common share of the Company at price of $ 0.18 for a period of 24 months from today. In accordance with Canadian securities laws, the securities that may be issued within the framework of this private placement are subject to a holding period which expires on April 22, 2022.
If you have any questions or comments, please email Avalon President and CEO Donald Bubar at [email protected]
About Avalon Advanced Materials Inc.
Avalon Advanced Materials Inc. is a Canadian mining development company specializing in sustainably produced materials for clean technology. The Company now has four late-stage projects, providing investors with exposure to lithium, tin and indium, as well as rare earth elements, tantalum, cesium and zirconium. Avalon is currently focused on developing its Separation Rapids Lithium project near Kenora, Ontario, while continuing to advance other projects, including its 100% owned Lilypad Cesium-Tantalum project. Social responsibility and environmental stewardship are the cornerstones of the business.
This press release contains “forward-looking statements” within the meaning of the United States Private Securities Litigation Reform Act of 1995 and applicable Canadian securities laws. Forward-looking statements include, without limitation, statements relating to how the Company intends to use the net proceeds of the private placement and that the proceeds from this offering will be used to finance work programs on the Separation Project. Rapids Lithium Company and for general purpose capital works. Generally, such forward-looking statements can be identified by the use of forward-looking terminology such as “potential”, “expected”, “anticipates”, “continuing”, “expects” or “does not expect”. “,” Is planned “,” planned “,” targeted “,” planned “or” believes “, or variations of these words and expressions or state that certain actions, events or results” could “,” could “,” could “,” Could “or” will be “or” will not “taken, achieved or result,” will “or” will be achieved “. Forward-looking statements are subject to known and unknown risks, uncertainties and other factors that may cause Avalon’s actual results, level of business, performance or achievements to differ materially from those expressed or implied by these forward-looking statements. Forward-looking statements are based on what management believes are reasonable assumptions at the time such statements are made. Although Avalon has attempted to identify material factors that could cause actual results to differ materially from those contained in forward-looking statements, other factors may cause results not to be as anticipated, estimated or not. planned. Factors that may cause actual results to differ materially from the expected results described in forward-looking statements include, without limitation, market conditions and the possibility of cost overruns or unforeseen costs and expenses as well as factors set out in the current annual information form, the MD&A and other disclosure documents available under the Company Profile at www.SEDAR.com. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. These forward-looking statements have been provided for the purpose of helping investors understand the plans and objectives of the Company and may not be appropriate for other purposes. Therefore, readers should not place undue reliance on forward-looking statements. Avalon does not undertake to update any forward-looking statements contained in this document except in accordance with applicable securities laws.
This press release does not constitute an offer to sell securities in the United States. The securities have not been and will not be registered under the US Securities Act of 1933, as amended (the “US Securities Act”), and may not be offered or sold in the United States or to United States nationals ( as defined in Regulation S under the US Securities Act) in the absence of registration or an applicable exemption from registration.
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