The funds will be used to accelerate the development of the Authier project in Canada.
More specifically, Sayona will allocate the new funds for:
- Resource upgrade following the completion of the Phase 2 drilling program;
- Geotechnical and hydrogeological programs to improve the pit wall slopes and reduce the life-of-mine waste movement;
- Further metallurgical testing to optimise recoveries and concentrate grades;
- Updating the February 2017 Pre-Feasibility Study and Ore Reserve;
- Studying the potential for producing value-added lithium carbonate and/or hydroxide; and
- Continuation of the environmental and mining lease work programs.
Eligible shareholders can subscribe for up to $15,000 worth of new shares.
The price will be determined at the issue date of new shares under the SPP.
This will be based on a 20% discount to the volume weighted average price of Sayona shares traded on the ASX during the 5 days immediately prior to the issue date.