South Star Battery Metals Announces Upsize of Non-Brokered Private Placement to Raise Up to US$3.20M, Extends Closing and Amended and Restated Stream Agreement
South Star Battery Metals (TSXV:STS)(OTCQB:STSBF) has increased its previously announced non-brokered private placement to US$3.2 million (CA$4.48 million) due to high demand. The private placement consists of units priced at US$0.43, each including one common share and one warrant exercisable at US$0.89 for five years.
The TSX Venture Exchange has extended the closing date to January 10, 2025. The proceeds will fund exploration, development, construction activities, corporate G&A, and working capital. The company has also amended its metals purchase and sale agreement with Sprott Private Resource Streaming and Royalty Corp., primarily to reflect organizational changes and add provisions for off-shore sales.
South Star Battery Metals (TSXV:STS)(OTCQB:STSBF) ha incrementato il suo collocamento privato non mediato precedentemente annunciato a 3,2 milioni di dollari USA (4,48 milioni di dollari canadesi) a causa dell'alta domanda. Il collocamento privato consiste in unità a un prezzo di 0,43 dollari USA, ciascuna delle quali include un'azione comune e un warrant esercitabile a 0,89 dollari USA per cinque anni.
La TSX Venture Exchange ha prorogato la data di chiusura al 10 gennaio 2025. I proventi finanzieranno attività di esplorazione, sviluppo, costruzione, spese generali aziendali e capitale circolante. L'azienda ha anche modificato il suo contratto di acquisto e vendita di metalli con Sprott Private Resource Streaming e Royalty Corp., principalmente per riflettere cambiamenti organizzativi e aggiungere disposizioni per vendite all'estero.
South Star Battery Metals (TSXV:STS)(OTCQB:STSBF) ha aumentado su colocación privada no mediada previamente anunciada a 3,2 millones de dólares EE.UU. (4,48 millones de dólares canadienses) debido a la alta demanda. La colocación privada consiste en unidades a un precio de 0,43 dólares EE.UU., cada una incluyendo una acción ordinaria y una opción de compra ejercitable a 0,89 dólares EE.UU. durante cinco años.
La TSX Venture Exchange ha extendido la fecha de cierre hasta el 10 de enero de 2025. Los ingresos se destinarán a actividades de exploración, desarrollo, construcción, gastos generales corporativos y capital de trabajo. La empresa también ha modificado su contrato de compra y venta de metales con Sprott Private Resource Streaming y Royalty Corp., principalmente para reflejar cambios organizativos y agregar disposiciones para ventas en el extranjero.
South Star Battery Metals (TSXV:STS)(OTCQB:STSBF)는 높은 수요로 인해 이전에 발표한 비중개 사모 배정을 320만 달러 (448만 캐나다 달러)로 늘렸습니다. 사모 배정은 각 0.43달러에 가격이 책정된 유닛으로 구성되며, 각 유닛은 일반 주식 1주와 5년 동안 0.89달러에 행사 가능한 워런트를 포함합니다.
TSX 벤처 거래소는 마감일을 2025년 1월 10일로 연장했습니다. 수익금은 탐사, 개발, 건설 활동, 기업 일반 관리비 및 운영 자본에 사용될 것입니다. 이 회사는 또한 Sprott Private Resource Streaming 및 Royalty Corp.와의 금속 구매 및 판매 계약을 수정하였으며, 주로 조직 변경을 반영하고 해외 판매 조항을 추가하기 위해서입니다.
South Star Battery Metals (TSXV:STS)(OTCQB:STSBF) a augmenté son placement privé non-intermédié précédemment annoncé à 3,2 millions de dollars US (4,48 millions de dollars canadiens) en raison d'une forte demande. Le placement privé se compose d'unités au prix de 0,43 dollar US, chacune incluant une action ordinaire et un bon de souscription exerçable à 0,89 dollar US pendant cinq ans.
La Bourse de croissance TSX a prolongé la date de clôture au 10 janvier 2025. Les produits financeront des activités d'exploration, de développement, de construction, des frais généraux d'entreprise et du fonds de roulement. L'entreprise a également modifié son contrat d'achat et de vente de métaux avec Sprott Private Resource Streaming et Royalty Corp., principalement pour refléter des changements organisationnels et ajouter des dispositions pour des ventes à l'étranger.
South Star Battery Metals (TSXV:STS)(OTCQB:STSBF) hat ihre zuvor angekündigte nicht vermittelte Privatplatzierung aufgrund der hohen Nachfrage auf 3,2 Millionen US-Dollar (4,48 Millionen kanadische Dollar) erhöht. Die Privatplatzierung besteht aus Einheiten zum Preis von 0,43 US-Dollar, wobei jede Einheit eine Stammaktie sowie einen Warrant umfasst, der für fünf Jahre zu 0,89 US-Dollar ausgeübt werden kann.
Die TSX Venture Exchange hat das Schließdatum auf den 10. Januar 2025 verlängert. Die Erlöse werden für Erkundungs-, Entwicklungs-, Bauaktivitäten, Unternehmensadministration und Betriebskapital verwendet. Das Unternehmen hat auch seine Kauf- und Verkaufsvereinbarung von Metallen mit Sprott Private Resource Streaming und Royalty Corp. geändert, um organisatorische Änderungen zu reflektieren und Bestimmungen für Auslandsverkäufe hinzuzufügen.
- Increased private placement size to US$3.2M due to high demand
- Five-year warrant term provides long-term investment opportunity
- Proceeds will accelerate exploration and development activities
- Potential dilution for existing shareholders through new share issuance
- Warrant acceleration clause could force early exercise
THIS NEWS RELEASE IS NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES FOR DISSEMINATION IN THE UNITED STATES
VANCOUVER, BC / ACCESSWIRE / December 23, 2024 / South Star Battery Metals Corp. ("South Star" or the "Company") (TSXV:STS)(OTCQB:STSBF), is pleased to announce that as a result of demand, it is increasing the size of its previously announced non-brokered private placement (the "Private Placement") to up to an aggregate total of US
The Company has been granted an extension by the TSX Venture Exchange (the "TSXV") to close on or before January 10, 2025. Closing of the Private Placement is subject to customary closing conditions, including, but not limited to, the receipt of all necessary approvals, including the approval of the TSXV. Proceeds from the Private Placement will be used for accelerating exploration, development, construction activities, corporate G&A and general working capital requirements.
The Company may pay finders' fees to eligible finders, in accordance with applicable securities laws and the policies of the TSXV. All securities issued pursuant to the Private Placement will be subject to a four-month hold period.
Insiders may participate in the Private Placement including subscriptions from related parties of the Company as defined in Multilateral Instrument 61-101 - Protection of Minority Security Holders in Special Transactions ("MI 61-101"). The participation of insiders in the Private Placement is exempt from the formal valuation and minority shareholder approval requirements of MI 61-101 pursuant to exemptions contained in sections 5.5(c) and 5.7(1)(a) of MI 61-101.
Acceleration Clause
The Warrants and Finder's Warrants will be subject to an acceleration clause that provides that, if, during any period of ten consecutive trading days between the date that is (a) four months following the closing of the Private Placement, and (b) the expiry of the Warrants and Finder's Warrants, the daily volume weighted average trading price of the Shares on the TSXV (or such other stock exchange where the majority of the trading volume occurs) is equal to or exceeds US
Amended and Restated Stream Agreement
The Company is also pleased to announce that on December 20, 2024, it amended and restated its metals purchase and sale agreement with Sprott Private Resource Streaming and Royalty Corp. dated April 4, 2022, as amended on October 4, 2022 (the "Stream Agreement"). The Stream Agreement was amended and restated primarily to reflect that South Star dissolved a subsidiary, which was a party to the Steam Agreement, in connection with internal changes to how it transacts certain business matters. Additional changes were also made to, among other things, add a "Designated Jurisdiction" and provide for off-shore sales.
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About South Star Battery Metals Corp.
South Star is a Canadian battery-metals project developer focused on the selective acquisition and development of near-term production projects in the Americas. South Star's Santa Cruz Graphite Project, located in Southern Bahia, Brazil is the first of a series of industrial- and battery-metals projects that will be put into production. Brazil is the second-largest graphite-producing region in the world with more than 80 years of continuous mining. Santa Cruz has at-surface mineralization in friable materials, and successful large-scale pilot-plant testing (> 30 tonnes) has been completed. The results of the testing show that approximately
South Star's second project in the development pipeline is strategically located in Alabama, U.S.A. in the center of a developing electric-vehicle, aerospace, and defense hub in the southeastern United States. The BamaStar Project includes a historic mine active during the First and Second World Wars. A NI 43-101 Preliminary Economic Assessment was filed on SEDAR+ in November 2024. Trenching, Phase 1 drilling, sampling, analysis, and preliminary metallurgical testing have been completed. The testing included a traditional crush/grind/flotation concentration circuit that achieved grades of approximately 94
South Star is committed to a corporate culture, project execution plan and safe operations that embrace the highest standards of ESG principles, based on transparency, stakeholder engagement, ongoing education, and stewardship. To learn more, please visit the Company website at http://www.southstarbatterymetals.com.
This news release has been reviewed and approved for South Star by Richard Pearce, P.E., a "Qualified Person" under National Instrument 43-101 and President and CEO of South Star Battery Metals Corp.
On behalf of the South Star Board of Directors,
MR. RICHARD L. PEARCE,
President & Chief Executive Officer
For additional information, please contact:
South Star Investor Relations
Email: invest@southstarbatterymetals.com
Phone: +1 (604) 706-0212
Website: www.southstarbatterymetals.com
Twitter: https://twitter.com/southstarbm
Facebook: https://www.facebook.com/southstarbatterymetals
LinkedIn: https://www.linkedin.com/company/southstarbatterymetals/
YouTube: South Star Battery Metals - YouTube
CAUTIONARY STATEMENT
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this press release.
Forward-Looking Information
This press release contains "forward-looking statements" within the meaning of applicable securities legislation. Forward-looking statements relate to information that is based on assumptions of management, forecasts of future results, and estimates of amounts not yet determinable. Any statements that express predictions, expectations, beliefs, plans, projections, objectives, assumptions or future events or performance are not statements of historical fact and may be "forward-looking statements". Forward-looking statements in this press release include, but are not limited to statements regarding the Private Placement, including the closing date, the use of proceeds and potential acceleration of Warrants and Finder's Warrants, production at Santa Cruz, and scaling operations as well as advancing the Alabama project; and the Company's plans and expectations.
Forward-looking statements are subject to a variety of risks and uncertainties which could cause actual events or results to differ from those reflected in the forward-looking statements, including, without limitation: risks related to failure to obtain adequate financing on a timely basis and on acceptable terms; risks related to the outcome of legal proceedings; political and regulatory risks associated with mining and exploration; risks related to the maintenance of stock exchange listings; risks related to environmental regulation and liability; the potential for delays in exploration or development activities or the completion of feasibility studies; the uncertainty of profitability; risks and uncertainties relating to the interpretation of drill results, the geology, grade and continuity of mineral deposits; risks related to the inherent uncertainty of production and cost estimates and the potential for unexpected costs and expenses; results of prefeasibility and feasibility studies, and the possibility that future exploration, development or mining results will not be consistent with the Company's expectations; risks related to commodity price fluctuations; and other risks and uncertainties related to the Company's prospects, properties and business detailed elsewhere in the Company's disclosure record. Should one or more of these risks and uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those described in forward-looking statements. Investors are cautioned against attributing undue certainty to forward-looking statements. These forward-looking statements are made as of the date hereof and the Company does not assume any obligation to update or revise them to reflect new events or circumstances. Actual events or results could differ materially from the Company's expectations or projections.
This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act") or any state securities laws and may not be offered or sold within the United States or to U.S. Persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.
SOURCE: South Star Battery Metals Corp.
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FAQ
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