ACME Lithium Inc. closes US$3 million financing with Lithium Royalty Corp. and Waratah Capital Advisors Ltd.

Vancouver, British Columbia–(Newsfile Corp. – March 9, 2022) – ACME Lithium Inc. (CSE: ACME) (OTCQB: ACLHF) (the “Company”, or “ACME”) is pleased to announce that, following its press release dated February 3rd, 2022, it completed its US$3 million financing agreement (the “Transaction”) with Lithium Royalty Corporation (“LRC”), a leading battery metal royalty and streaming company, and Waratah Capital Advisors Ltd. (“Waratah”). The transaction consists of a private placement financing and royalty sale on ACME’s two projects in Manitoba, Canada. With the financing, ACME’s working capital is approximately C$7.2 million debt-free.

The transaction

ACME received US$650,000 from the project royalty grant on its lithium assets in Manitoba and US$2,350,000 through a non-brokered private placement (the “Private Placement”). ACME’s total funding is US$3 million, or approximately C$3,821,705.

  • LRC has purchased a 2% gross overriding lithium or other metals royalty on ACME’s Euclid-Cat Lake and Shatford Lake projects in southeastern Manitoba for US$650,000 or approximately C$832,975 , with proceeds to be used for exploration on these properties.

  • ACME issued 3,179,500 units (the “Units”) in a non-brokered private placement at a price of C$0.94 per Unit for gross proceeds of C$2,988,730 or approximately US$2,350,000 . Each unit consists of one common share and half a common share purchase warrant. Each whole warrant entitles its holder to purchase one additional common share for two years at a price of C$1.22. The private placement consisted of:

  • Waratah Capital Advisors Ltd. Electrification and Decarbonization AIE LP (“E&D”) underwriting 2,705,958 units for proceeds of C$2,543,600.

All securities issued pursuant to the private placement will be subject to, among other things, a hold period of four months and one day in accordance with applicable Canadian securities laws.

ACME will use the gross proceeds of the private placement for the exploration of its wholly-owned Cat-Euclid and Shatford Lake lithium projects in southeastern Manitoba and its Clayton Valley and Fish Lake Valley projects in Nevada, as well as for general working capital purposes. ACME holds 27 claims totaling approximately 11,803 acres strategically located within the pegmatite fields of the Bird River Greenstone Belt (BRGB) in southeastern Manitoba, Canada. The North and South Branches of the Bird River Greenstone Belt contain at least 10 pegmatite fields and host hundreds of individual pegmatite bodies, many of which are classified as complex rare-element lithium-cesium-tantalum (LCT) pegmatites. .

Worldwide, LCT pegmatite deposits account for about a quarter of the world’s lithium production, most of the tantalum production and all of the cesium production. The world-class Tanco mine, a producer of lithium, cesium and tantalum since 1968, is in the southern branch of the BRGB and adjoins ACME’s Shatford Lake project to the north.

In Nevada, ACME is in the process of obtaining a permit for its Clayton Valley lithium brine project for an upcoming drilling program targeting potential lithium brine targets as defined by recent geophysical work.

About Lithium Royalty Corporation

LRC is a specialist battery materials investor that partners with battery materials companies whose assets exhibit key technical characteristics of high quality, low cost and will help drive this theme forward once in a hundred years. . LRC is primarily focused on investing in lithium due to the extremely low risk of obsolescence. LRC brings a wealth of experience and expertise with industry executives, portfolio managers, geologists, chemical engineers and others on its team. LRC is able to create and execute niche transactions using its extensive network with the electric vehicle ecosystem. LRC’s portfolio includes 17 royalties as well as several off-take agreements and equity investments in the lithium industry. For more information on the LRC, please visit https://lithiumroyaltycorp.com/

About Waratah Capital Advisors Ltd.

Based in Toronto, Canada, Waratah Capital Advisors manages over $3 billion in assets from high net worth individuals, family offices, foundations, Canadian banking platforms and pension funds. With a team of 47 experienced professionals, Waratah combines intensive research-driven stock selection with a disciplined and robust risk management program. The founders and employees collectively represent more than $130 million in assets under management for the company. For more information on Waratah, please visit https://waratahadvisors.com/

About ACME Lithium Inc.

Led by an experienced team, ACME Lithium is a mining exploration company focused on acquiring, exploring and developing battery metal projects in partnership with leading technology and commodity companies. ACME has acquired or has the option to acquire a 100% interest in projects located in Clayton Valley and Fish Lake Valley, Esmeralda County, Nevada and southeastern Manitoba.

On behalf of the Board of Directors

Steve Hansson
CEO, President and Director
Phone: (604) 564-9045
[email protected]

Neither CSE nor its regulation services providers accept responsibility for the adequacy or accuracy of this press release. This press release may contain forward-looking information within the meaning of applicable securities laws (“forward-looking statements”). Forward-looking statements are statements that are not historical facts and are generally, but not always, identified by the words “expects”, “plans”, “anticipates”, “believes”, “intends”. , “estimates”, “projects”, “potential” and similar expressions, or that events or conditions “will”, “will”, “could”, “might” or “should” occur and in this press release include , but not limited to, the attributes of, timing for, and expected benefits from the drilling program that will be conducted on the FLV Property Information inferred from the interpretation of drill results and other sampling may also be considered forward-looking statements because they are a prediction of what might be found when and if a project is actually developed.These forward-looking statements are subject to a variety of risks and uncertainties that could cause the Actual events or results differ materially from those reflected in the forward-looking statements, including, without limitation: risks associated with fluctuations in metal prices; uncertainties relating to the mobilization of sufficient financing to finance the planned works in a timely manner and on acceptable terms; changes to the planned work resulting from weather, logistical, technical or other factors; the possibility that the results of the work will not meet expectations and realize the perceived potential of the Company’s properties; the risk of accidents, equipment failures and labor disputes or other unforeseen difficulties or disruptions; the possibility of cost overruns or unforeseen expenses in the work program; the risk of environmental contamination or damage resulting from the Company’s operations and other risks and uncertainties. Any forward-looking statement speaks only as of the date on which it is made and, except as required by applicable securities laws, the Company disclaims any intention or obligation to update any forward-looking statement, whether as a result of new information, future events or results or otherwise.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/116157

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