Standard Lithium Ltd. (“
Standard
Lithium” or the “
Company”) (TSXV: SLI)
(NYSE: SLI) (FRA: S5L), an innovative technology and lithium
project development company, announces that Koch Strategic
Platforms (“
KSP”), a subsidiary of Koch
Investments Group, has completed its US$100 million investment in
Standard Lithium through a direct private placement (the
“
Direct Investment”). The Direct Investment is
intended to support the Company’s strategic development goals and
will be used by the Company to pursue the following objectives:
- Continue to rapidly advance the
first commercial project proposed for the Lanxess facility;
- Accelerate and expand the Company’s
development of the South West Arkansas Lithium Project;
- Continue to develop and
commercialise modern lithium extraction and processing technologies
and work collaboratively with Koch Engineered Solutions
(“KES”) businesses; and,
- Allow for strategic project
expansion.
The Company, along with several Koch Industries
subsidiaries, is also exploring opportunities to work
collaboratively in several key areas. These potentially include
working with KES which provides key process equipment, engineering,
procurement, and construction services; as well as Koch Minerals
& Trading which is involved in the trading of many of the
materials that will be required by the Company in the future, as
well as the lithium products it intends to produce.
Terms of the Direct
Investment
Under the terms of the Direct Investment, KSP
was issued 13,480,083 common shares of Standard Lithium
(“Common Shares”) at a price of CDN$9.43 (US$7.42)
per Common Share for aggregate gross proceeds to Standard Lithium
of CDN$127,070,000 (US$100,000,000). All Common Shares issued to
KSP are subject to statutory restrictions on resale until March 31,
2022 in accordance with applicable securities laws. In connection
with the Direct Investment, Standard Lithium has granted KSP the
right of first offer to participate in future equity financings for
a period of sixty months.
MaxEn Capital Advisors, Ltd., Howard L.
Margulis, PLLC and related parties provided advisory services to
the Company in connection with the Direct Investment, and as
consideration for such services received a one-time fee of
US$5,000,000 and 336,877 common share purchase warrants (each, a
“Warrant”). Each Warrant is exercisable at a price
of CDN$11.09 until November 30, 2023.
About Standard Lithium Ltd.
Standard Lithium is an innovative technology and
lithium development company. The Company’s flagship project is
located in southern Arkansas, where it is engaged in the testing
and proving of the commercial viability of lithium extraction from
over 150,000 acres of permitted brine operations. The Company has
commissioned its first-of-a-kind industrial-scale direct lithium
extraction demonstration plant at Lanxess’s south plant facility in
southern Arkansas. The demonstration plant utilizes the Company’s
proprietary LiSTR technology to selectively extract lithium from
Lanxess’s tail brine. The demonstration plant is being used for
proof-of-concept and commercial feasibility studies. The scalable,
environmentally friendly process eliminates the use of evaporation
ponds, reduces processing time from months to hours and greatly
increases the effective recovery of lithium. The Company is also
pursuing the resource development of over 30,000 acres of separate
brine leases located in southwest Arkansas, referred to as the
South West Arkansas Lithium Project, and approximately 45,000 acres
of mineral leases located in the Mojave Desert in San Bernardino
County, California.
Standard Lithium is jointly listed on the TSX
Venture Exchange and the NYSE American Exchanges under the trading
symbol “SLI”; and on the Frankfurt Stock Exchange under the symbol
“S5L”. Please visit the Company’s website
at https://www.standardlithium.com.
On behalf of the Board of Standard Lithium Ltd.
Robert Mintak, CEO & Director
About Koch Strategic
Platforms
With offices in Atlanta and Wichita, KSP desires
to be the preferred investment partner of growth focused, strategic
companies who are innovating in industries with disruptive
potential. Created in 2020, the KSP team pursues public and private
investments with companies where long-term mutual benefit can be
realized. https://www.kochind.com/
Neither TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in policies of the TSX Venture
Exchange) accepts responsibility for the adequacy or accuracy of
this release. This news release may contain certain
“Forward-Looking Statements” within the meaning of the United
States Private Securities Litigation Reform Act of 1995 and
applicable Canadian securities laws. When used in this news
release, the words “anticipate”, “believe”, “estimate”, “expect”,
“target”, “plan”, “forecast”, “may”, “schedule” and other similar
words or expressions identify forward-looking statements or
information. These forward-looking statements or information may
relate to future plans and objectives of the Company, including,
without limitation, the pursuit and/or realization of any strategic
opportunities, the anticipated benefits of the Direct Investment,
future prices of commodities, accuracy of mineral or resource
exploration activity, reserves or resources, accuracy of
preliminary economic assessments, including net present value,
internal rate of return, capital and operating costs, life of mine
production, progression of the project, including to a
pre-feasibility study, regulatory or government requirements or
approvals, the reliability of third party information, continued
access to mineral properties or infrastructure, fluctuations in the
market for lithium and its derivatives, changes in exploration
costs and government regulation in Canada and the United States,
and other factors or information. Such statements represent the
Company’s current views with respect to future events and are
necessarily based upon a number of assumptions and estimates that,
while considered reasonable by the Company, are inherently subject
to significant business, economic, competitive, political and
social risks, contingencies and uncertainties. Many factors, both
known and unknown, could cause results, performance or achievements
to be materially different from the results, performance or
achievements that are or may be expressed or implied by such
forward-looking statements. The Company does not intend, and does
not assume any obligation, to update these forward-looking
statements or information to reflect changes in assumptions or
changes in circumstances or any other events affections such
statements and information other than as required by applicable
laws, rules and regulations.
For further information, contact Anthony Alvaro at (604) 240 4793.
Contact: info@standardlithium.com
Twitter: @standardlithium
LinkedIn: https://www.linkedin.com/company/standard-lithium/
Koch Industries
Christin Fernandez, Director of Communications
Christin.Fernandez@kochps.com
202-879-8546
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