This will boost the total raised under the placement to $3.37 million with 84.02 shares to be issued priced at 4 cents each.
A supplementary prospectus is anticipated to be lodged on or around 26 February 2020 regarding the placement upsizing.
Additionally, the share purchase plan (SPP) to raise an additional $1.5 million closes this Friday 28 February 2020.
Proceeds to pay off debt and Kachi development work
Funds raised through the placement and the SPP will be used by Lake to make part of the cash payment required for the early close-out of the convertible securities facility.
In addition, funds will be used to:
- Produce further high purity samples from the pilot plant for downstream participants to conduct qualification testing using the Lilac direct extraction process;
- The development, construction, transport and operation of the direct extraction pilot plant;
- The optimisation of the pre-feasibility study (PFS); and
- General exploration, paying offer costs and working capital.
Partner receives US$20 million from Bill Gates-led fund
In recent events, Lake’s partner and provider of a sustainable direct extraction ion exchange process for lithium brine, Lilac Solutions, secured US$20 million through Bill Gates-led fund Breakthrough Energy.
Proactive caught up with managing director Steve Promnitz for an update.