April 13, 2016
For Immediate Release
Stria Lithium Closes a Non-Brokered Offering
For an Amount of $500,000
NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES
OTTAWA, ONTARIO – Stria Lithium Inc. (TSX-V: SRA) (“Stria” or the “Company”) announces the closing of a non-brokered private placement (the “Offering”) for gross proceeds of $500,000. The Company has issued 5,000,000 flow-through units (the “Flow-Through Units”) at a price of $0.05 per Flow-Through Unit and 5,000,000 units (the “Units”) at a price of $0.05 per Unit. Each Flow-Through Unit is comprised of one (1) flow-through common share and one half (1/2) of one common share purchase warrant (each whole warrant a “Warrant”). Each Unit is comprised of one (1) common share and one (1) Warrant. Each Warrant entitles its holder to purchase one (1) common share at a price of $0.05 per share until April 13, 2021.
In connection with the closing of the Offering, the Company paid cash finder’s fees totaling $18,848 and issued 376,690 non-transferable warrants, each warrant entitling the holder to acquire one (1) common share of the Company at a price of $0.05 per common share until April 13, 2021.
The securities issued in connection with the closing of the first tranche of the Offering are subject to a four-month hold period expiring on August 14, 2016. The Offering is subject to the final approval of the TSX Venture Exchange. The company will use the proceeds for general working capital and exploration expenditures.
Two insiders of the Company participated in the Offering and subscribed for an aggregate of 1,940,000 Flow-Through Units and 400,000 Units representing an aggregate amount of $117,000. Participation of insiders of the Company in the Offering constitutes a “related party transaction” as defined under Regulation 61-101 respecting Protection of Minority Security Holders in Special Transactions (“Regulation 61-101”). The Offering is exempt from the formal valuation and minority shareholder approval requirements of Regulation 61-101 as neither the fair market value of securities being issued to insiders nor the consideration being paid by insiders will exceed 25% of the Company’s market capitalization. The Company did not file a material change report 21 days prior to the closing of the Offering as the details of the participation of insiders of the Company had not been confirmed at that time.
Stria Lithium Inc. (TSX-V: SRA) is a Canadian junior mining exploration company with an expanding technology focus and is also the sole owner of the Pontax spodumene lithium property in Northern Quebec. Stria’s mission is to be a reliable, profitable global source for both lithium metal and lithium compound products and process technologies for producing value added lithium products.
Stria’s expanded business focus is on the application of in-house developed technologies and processes that lead to the production and milling of lithium metal and lithium metal foil for advanced lithium batteries.
From the production of lithium metal also comes the value added production of: lithium hydroxide; lithium carbonate; lithium fluoride, and; lithium chloride.
Lithium is a critical metal in the universal fight against global warming. It is a core component of Lithium-Ion batteries used for powering electric vehicles and for industrial scale energy storage
Forward Looking Statement
This news release may contain forward-looking statements, being statements that are not historical facts, and discussions of future plans and objectives. There can be no assurance that such statements will prove accurate. Such statements are necessarily based upon a number of estimates and assumptions that are subject to numerous risks and uncertainties that could cause actual results and future events to differ materially from those anticipated or projected. Important factors that could cause actual results to differ materially from the Company’s expectations are in our documents filed from time to time with the TSX Venture Exchange and provincial securities regulators, most of which are available at www.sedar.com.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the accuracy of this release.
Stria Lithium Inc.
+ 613 241-4040