Green Battery Minerals Approach Potential PEA With Announcement of Private Placement Stream
Green, clean, reduce, reuse, recharge! TheNewswire – May 20, 2021 – Green Battery Minerals Inc. is pleased to announce that it is preparing to complete the company’s planned preliminary economic assessment of its “Berkwood Graphite Project, northern Quebec” accessible road project, with plans announced today to issue up to a total of 2,037,000 flow-through units at a price of $ 0.25 for gross proceeds of…
TheNewswire – May 20, 2021 – Green Battery Minerals Inc. (TSXV: GEM) (FSE: BK2P) (WKN: A2QENP) (OTC: GBMIF) (“Green Battery” or the “Company”) is pleased to announce its move more near completing the company’s planned preliminary economic assessment (“PEA”) on its road-accessible “Berkwood graphite project, northern Quebec”, with plans announced today to issue up to 2,037,000 flow-through units priced at $ 0.25 for gross proceeds of $ 509,250. Each unit will consist of one flow-through common share and 12 warrants, each whole warrant exercisable for one common share at a price of $ 0.50 for a period of two years. The Company will ask the TSX-Venture to close and issue the securities.
The proceeds from the issuance of flow-through shares will be used for exploration expenses in Canada and will qualify as flow-through mining expenses, within the meaning of subsection 127 (9) of the Income Tax Act (Canada), which will be waived to subscribers with an effective date no later than December 31, 2022, to initial buyers of the securities offered for an aggregate amount not less than the gross proceeds from the issuance of the flow. by way of shares, as the case may be, and, if the eligible expenses are reduced by the Canada Revenue Agency, the Company will indemnify each subscriber from any additional tax payable by said subscriber as a result of the failure of the Company to waive the eligible expenses as agreed.
The net proceeds will be used for costs associated with continuing the exploration / drilling program and reporting for a planned PEA for the Berkwood Graphite project.
The securities to be issued will bear the legend with the required four months plus a holding period of one day from the issue.
The objective is to move forward towards the creation of a PEA which is in line with our path as indicated in the press release of the company of April 19. e , 2021.
The Company confirms that there are no material facts or changes relating to the Company which have not been generally disclosed.
The purpose of a PEA is to assess the potential economic viability of a mining project.
A Preliminary Economic Assessment (PEA) is defined as a study that includes a preliminary economic analysis of the potential viability of a project’s mineral resources. Preliminary economic assessments are performed prior to pre-feasibility and feasibility studies and are an important step towards feasibility that helps determine whether a company should consider developing a mineral resource project.
Before a mineral resource project becomes a mine, several engineering studies must be completed on a deposit to ensure its economic viability. As mentioned, developing a PEA is one of the first steps in the assessment process, followed by pre-feasibility and feasibility studies.
Typically, PEAs will include basic information on the estimated capital costs associated with bringing a project into production, an estimate of how the mine will operate once it is built, the amount of metals / minerals it will produce and at what operating cost. The PEA helps the Company understand the risks and uncertainties associated with a project. The study can be part of exploration with both surface mining and underground mining and should include a mining plan.
Specifically, a PEA tends to contain information on pre-production capital costs, mine life sustaining capital, mine life and an estimate of projected cash flows, as well as details of processing and production methods and rates.
PEAs also contain information on the economics of mining projects at various metal / mineral prices. This will include an estimate of the NPV (net present value) of the mine and an estimated IRR (internal rate of return).
PEA allows companies to help predict an estimate of potential profit margins, which helps determine their NPV.
Tom Yingling, state president and chief executive officer s, “We are very happy to get closer to the planned PEA. Neighboring graphite companies in Quebec have a significantly higher market capitalization than Green Battery and management believes this is due to the lack of a positive PEA. Going forward with the financing, this should allow the Company to proceed this summer with a much larger drilling program which brings it closer to the planned PEA. The upcoming drilling program will include infill and incremental drilling to potentially expand the already proven Zone 1 resource, which to date has only been drilled approximately 20%. In addition, we plan to drill our zone 6 located separately. The company has already confirmed that Zone 6 contains graphite because it has been grooved multiple times on the surface and produced high quality large flake graphite. The geophysical anomaly of Zone 6, which has been proven ac curate sampling by channel, also involves a large graphitic body on the surface. This again confirms our mission to repeat what Mason did, right on our side of the dividing line that we share with Mason.
Qualified person: Mr. Dave Kelsch, P.Geo. is a qualified person within the meaning of National Instrument 43-101, and has reviewed and approved the technical content of this press release.
About the company: Green Battery Minerals is managed by a team of over 150 years collectively with a proven track record of not only finding many mines, but also building and operating them. The most recent success of the Green Battery Mineral management team is the discovery of the Berkwood Graphite resource in northern Quebec. Green Battery Mineral owns this 100% asset and the company’s shareholders stand to benefit as the demand for graphite for electric vehicles increases dramatically.
On behalf of the board of directors
Green Battery Minerals Inc.
President, CEO and Director
FOR MORE INFORMATION PLEASE CONTACT:
[email protected] www.greenbatteryminerals.com
Disclaimer for forward-looking information:
Certain statements contained in this press release are forward-looking statements, which reflect the expectations of management. Forward-looking statements consist of statements which are not purely historical, including statements regarding beliefs, plans, expectations or intentions regarding the future. These statements are subject to risks and uncertainties which may cause actual results, performance or developments to differ materially from those contained in the statements. No assurance can be given that any of the events contemplated by forward-looking statements will occur or, if they do, what benefit the Company will derive from them. These forward-looking statements reflect the current views of management and are based on certain expectations, estimates and assumptions, which may prove to be incorrect.
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 adequacy or accuracy of this release. .
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