TORONTO, Dec. 15, 2020 /CNW/ - Neo Lithium Corp.
("Neo Lithium" or the "Company") (TSXV: NLC) (OTCQX:
NTTHF) (FSE: NE2) is pleased to announce the closing of the
previously announced equity investment by Contemporary Amperex
Technology Co. Limited (SZSE: 300750) ("CATL"), whereby
CATL, through a subsidiary controlled by CATL, subscribed for
10,217,503 common shares (the "Common Shares") of Neo
Lithium at a price of C$0.84 per
Common Share (the "Issue Price") for gross proceeds to Neo
Lithium of C$8,582,702, and
representing approximately 8% of issued and outstanding shares of
the Company. The Common Shares issued to CATL are subject to a
4-month statutory hold period expiring on April 15, 2021. With the proceeds of the equity
investment from CATL, the Company has strong net cash position of
approximately C$35 million. For more
details, please refer to the Company's press release dated
September 14, 2020.
Following the TSXV's review and recommendation of the current
trading price relative to the Issue Price and time lapsed since
announcing CATL's intention to invest in the Company, the insider
group has not been permitted to participate in the concurrent
financing at the Issue Price.
"The closing of the CATL strategic investment validates the
quality of our 3Q project and the capabilities of our management
team. It further strengthens our long-term commitment and focus on
our Project as we work together with CATL to bring 3Q into full
development by building a comprehensive financing plan" commented
Constantine Karayannopoulos,
Chairman of Neo Lithium. "On behalf of the board, I am delighted
and honoured to formally welcome CATL as a new shareholder and we
look forward to working with them to advance the 3Q Project into
construction and ultimate production."
About CATL
CATL is a global leader in the development and manufacturing of
lithium-ion batteries, with businesses covering R&D,
manufacturing and sales in battery systems for new energy vehicles
and energy storage systems. In 2019, the company's EV battery sales
volume reached 40.25 GWh worldwide, and making it the world leader
in annual EV battery consumption volume (source SNE Research).
For more information, please visit
http://www.catlbattery.com.
About Neo Lithium Corp.
Neo Lithium Corp. has quickly become a prominent new name in
lithium brine development by virtue of its high quality 3Q Project
and experienced team. Neo Lithium is rapidly advancing its 100%
owned 3Q Project - a unique high-grade lithium brine lake and salar
complex in Latin America's
"Lithium Triangle".
The 3Q Project is located in the Catamarca Province, the largest
lithium producing area in Argentina covering approximately 35,000 ha
including a salar complex of approximately 16,000 ha.
Additional information regarding Neo Lithium Corp. is available
on SEDAR at www.sedar.com under the Company's profile and at its
website at www.neolithium.ca, including various pictures of ongoing
work at the project.
Neither 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 adequacy or
accuracy of this release. The TSX Venture Exchange Inc. has in no
way approved nor disapproved the contents of this press
release.
Cautionary Note Regarding Forward Looking Statements -
Certain information set forth in this news release may contain
forward-looking statements. Such statements include but are not
limited to, statements as to lithium brine grades at depth being
consistent with surface results, the potential for resource
expansion at depth, the potential of the northern salar sediments,
and deeper sediments, for hosting brine, the ability to proceed to
scoping studies quickly, proceeding with continued work for
additional economic studies the potential for production expansion
in the Company's assessment of the economic potential of the 3Q
Project, that test results are indicative of future results, and
the additional of additional independent directors. Generally,
forward-looking statements can be identified by the use of words
such as "plans", "expects" or "is expected", "scheduled",
"estimates" "intends", "anticipates", "believes", or variations of
such words and phrases, or statements that certain actions, events
or results "can", "may", "could", "would", "should", "might" or
"will", occur or be achieved, or the negative connotations thereof.
These forward-looking statements are subject to numerous risks and
uncertainties, certain of which are beyond the control of the
Company, which could cause the actual results, performance or
achievements of the Company to be materially different from the
future results, performance or achievements expressed or implied by
such statements. These risks include, without limitation, risks
related to failure to obtain adequate financing on a timely basis
and on acceptable terms, political and regulatory risks associated
with mining and exploration activities, including environmental
regulation, risks and uncertainties relating to the interpretation
of drill and sample results, risks related to the uncertainty of
cost and time estimation and the potential for unexpected delays,
costs and expenses, risks related to metal price fluctuations, the
market for lithium products, competition for experienced directors
in the junior mineral exploration and development sector, and other
risks and uncertainties related to the Company's prospects,
properties and business detailed elsewhere in the Company's
disclosure record. Although the Company believes its expectations
are based upon reasonable assumptions and has attempted to identify
important factors that could cause actual actions, events or
results to differ materially from those described in
forward-looking statements, there may be other factors that cause
actions, events or results not to be as anticipated, estimated or
intended and undue reliance should not be placed on forward-looking
statements.
SOURCE Neo Lithium Corp.