Lake Resources Completes Oversubscribed Capital Raise
Sydney, Feb 23, 2017 AEST (ABN Newswire) - Lake Resources N.L. (
ASX:LKE) ("Lake" or "the Company") is pleased to announce that it has successfully completed a capital raising of A$1,200,000 (before costs) via a private Placement ("Placement") with professional, sophisticated and institutional investors. The Placement leaves the Company well funded to continue its aggressive exploration programme in Argentina over both lithium brine projects, and currently under option, lithium pegmatite project.
- Completion of A$1,200,000 capital raising via private Placement heavily oversubscribed
- Offer increased due to substantial demand from sophisticated, professional and institutional investors
- LKE well-funded to unlock the substantial value from its lithium brines and pegmatite asset base in Argentina
The placement was completed as follows:
1. 24,000,000 fully paid LKE ordinary shares at $0.05 per share ("Shares"); and
2. 12,000,000 options exercisable at $0.10 each and expiring 18 months after date of issue ("Options").
The Placement was significantly oversubscribed and increased to accommodate substantial demand from a broad range of new investors. Lake is grateful for this support and welcomes new shareholders to the register. Proceeds from the Placement will be used to continue the Company's aggressive exploration programme in Argentina to ensure value and optionality is maximised from its portfolio of lithium exploration assets.
Lake aims to initiate a drill program at the Kachi Project in Catamarca Province in the near term and continue advancing exploration activities across the rest of its portfolio.
The new Shares will rank equally with existing ordinary shares on issue and the Company will seek ASX listing of issued Options.
APP Securities Limited was appointed lead manager for the Placement issue. Fees will include the issue of 1,500,000 Options on the same terms as the Placement. Settlement of the Placement is expected to occur on Friday, 24 February 2017 with the Shares and Options to be allotted on Monday, 27 February 2017.
Steve Promnitz, Managing Director of Lake Resources, commented: "We are delighted with the outcome of the capital raising and are grateful for the level of support from new investors and some existing shareholders.
"Lake's portfolio of prime lithium brine projects and pegmatite assets in Argentina are in outstanding locations and we look forward to maximising value from the portfolio. We are now well funded to complete an initial drill programme in Catamarca and accelerate its broader asset development programme.
"We look forward to reporting a steady stream of news on our exploration results and other initiatives as we progressively unlock the value of our large asset base in Argentina."
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About Lake Resources NL
Lake Resources NL (ASX:LKE) (OTCMKTS:LLKKF) is a clean lithium developer utilising state-of-the-art ion exchange extraction technology for production of sustainable, high purity lithium from its flagship Kachi Project in Catamarca Province within the Lithium Triangle in Argentina among three other projects covering 220,000 ha.
This ion exchange extraction technology delivers a solution for two rising demands - high purity battery materials to avoid performance issues, and more sustainable, responsibly sourced materials with low carbon footprint and significant ESG benefits.
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