news

Sayona raises C$50 million to advance lithium projects in Quebec

Kitco Media
By Vladimir Basov
Published
Updated
Kitco News
The Leading News Source in Precious Metals

Kitco NEWS has a diverse team of journalists reporting on the economy, stock markets, commodities, cryptocurrencies, mining and metals with accuracy and objectivity. Our goal is to help people make informed market decisions through in-depth reporting, daily market roundups, interviews with prominent industry figures, comprehensive coverage (often exclusive) of important industry events and analyses of market-affecting developments.

(Kitco News) - Lithium developer Sayona Mining (ASX: SYA) (OTCQB: SYAXF) announced today it has entered into a subscription agreement with PearTree Securities for the issuance of 174,459,177 shares at a price of A$0.315 per share for aggregate gross proceeds of A$54.9 million using the FTS provisions under Canadian tax law.

According to a company press release, FTS to be placed at A$0.315 per share, representing a 34% premium to Sayona's last closing price and a 41% premium to the 10 day VWAP. 

Sayona said the funding will help advance exploration efforts while the company continues to progress the restart of its North American Lithium (NAL) operation, together with Sayona's other growth projects in Quebec, including its emerging northern lithium hub.

Sayona added that the company is well placed to progress its expanding lithium resource base, with this additional funding adding to its financial resources.

Managing Director Brett Lynch commented, "Sayona has made significant progress in developing the leading hard rock lithium resource base in North America, with the pending restart of production at NAL set to mark our progression from explorer to producer.

"This funding will provide an added boost to our expansion plans, with the FTS provisions allowing us to raise capital at a premium to the current share price, thereby minimizing dilution for the benefit of our shareholders."

Sayona Mining is an emerging lithium producer with projects in Quebec, Canada and Western Australia. In Quebec, Sayona's assets comprise North American Lithium together with the Authier Lithium Project and its emerging Tansim Lithium Project, supported by a strategic partnership with American lithium developer Piedmont Lithium.

The company also holds a 60% stake in the Moblan Lithium Project in northern Quebec. In Western Australia, the company holds a large tenement portfolio in the Pilbara region prospective for gold and lithium.

Top primary silver producer Fresnillo's profit down in 2022 due to challenging operational and economic environment
Kitco Media

Vladimir Basov

Vladimir (PhD, MEng in Mining) is a professional mining engineer, scientist and analyst that has more than 20 years of practical in-field and research experience. He is particularly interested in collecting, processing baseline data and writing insightful data-driven mining industry analytics, articles, statistical and research reports.

Mdi Earth Logo

Share

Disclaimer: The views expressed in this article are those of the author and may not reflect those of Kitco Metals Inc. The author has made every effort to ensure accuracy of information provided; however, neither Kitco Metals Inc. nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in commodities, securities or other financial instruments. Kitco Metals Inc. and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.