HLM Raises $566,000 in Financing Oversubscribed by 26%
Sudbury, Ontario (FSCwire) - Houston Lake Mining Inc. (TSX.V: HLM), is a mining exploration company which is actively exploring for rare metals lithium, tantalum, rubidium and cesium by currently advancing its 100% owned and optioned PAK Rare Metals Project in northwestern Ontario, Canada. HLM today reported the closing of a non-brokered private placement offering for a total of 3,144,444 units ("Units") of the Company priced at $0.18 per Unit, for total gross proceeds of $566,000.
The Common Shares to be issued under a unit offering of 3,144,444 units (“Units”) at a subscription price of $0.18 per Unit. Each Unit shall consist of one (1) Common Share of the Company and one (1) share purchase warrant (the “Warrant”). Each full Warrant shall entitle the holder thereof to purchase one additional common share of HLM at an exercise price of $0.29 for an 18 month period from the closing (the “Offering”).
In connection with the $566,000 Offering, the Company issued finder’s fees of $4,320.00 (8% of the gross proceeds of the Offering) and 24,000 finder warrants (8% of the total number of Units sold under the Offering). Each finder option will be exercisable at a price of $0.29 into one common share for a period of eighteen months from the date of issuance.
All of the Shares and Warrants issued pursuant to the private placement are subject to a minimum 4-month hold period. Proceeds from the financing will be used to advance exploration of HLM’s 100% owned and optioned PAK Rare Metals project located in northwestern Ontario.
About the PAK Rare Metals Project
The PAK Rare Metals Project lies close to the boundary between two geological sub-provinces of the western Superior geologic province in northwestern Ontario and hosts a rare metals pegmatite deposit. The deposit is an LCT (lithium- cesium- tantalum) classified pegmatite. These rare types of deposits have been the principal source of hard rock lithium, tantalum, rubidium and cesium ores mined in the world.
HLM is actively exploring its 100% owned and optioned project which contains the Pakeagama Lake pegmatite. The deposit is one of the highest grade deposits in North America which has a current Inferred Resource of 6.89 million tonnes of 1.86% Li2O Eq[1] which has a technical/ceramic grade spodumene with low inherent iron (below 0.1% Fe2O3). Within the deposit, the pegmatite uniquely hosts an Upper Intermediate Zone of 1.17million tonnes grading 3.44% Li2O. A 9-hole, 1,500m Phase II diamond drill program was completed in late March 2014 which and has not yet been considered in a resource calculation. As a result of the drill program, the pegmatite now has a 400m strike length with an estimated width varying from 10m to 125m with a sub-vertical orientation. The resource remains open to depth and along strike to the northwest and southeast.
About Houston Lake Mining Inc.
HLM’s goal is to become a fully integrated lithium and tantalum producer through the development of the PAK Rare Metals Project in Ontario, Canada . The Company's strategy is to take advantage of the global shift towards electric/hybrid vehicles and high quality consumer electronics by becoming a raw material supplier of the elements required for the pursuit of sustainable energy and other applications in high-tech electronics and metal alloys. Combined, HLM’s Board of Directors and Management have over 300 years of finance, exploration and mining experience to help to facilitate the Company’s goal
HLM has a total of 104,791,629 common shares issued and outstanding, excluding the proposed shares to be issued as a result of this press release. For additional information on HLM, please visit www.houstonlakemining.com.
Company Contact Information
Trevor R. Walker, President
2736 Belisle Drive
Val Caron, ON.
Henry Kloepper, CEO
T. +001 416.520.0187
P3N 1B3 CANADA
T. +001 705.897.7622
F. +001 705.897.7618
Forward-looking Statements
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. This release includes certain statements that may be deemed “forward-looking statements”. All statements in this release, other than statements of historical facts, that address future production, reserve potential, exploration drilling, exploitation activities and events or developments that the Company expects are forward-looking statements. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in the forward-looking statements. Factors that could cause actual results to differ materially from those in forward looking statements include market prices, exploitation and exploration successes, continued availability of capital and financing, and general economic, market or business conditions. Investors are cautioned that any such statements are not guarantees of future performance and those actual results or developments may differ materially from those projected in the forward-looking statements. For more information on the Company, Investors should review the Company’s registered filings what are available at http://www.sedar.com
[1]Assumptions and calculations used for the Li2O Eq included on page 69 of WSP Resource Estimate and Technical Report, January 17, 2014 filed with SEDAR January 20, 2014. A cut-off of 0.4% Li2O was used for all calculations.
To view this press release as a PDF file, click onto the following link:
public://news_release_pdf/HoustonLakeJuly302015.pdf
Source: Houston Lake Mining Inc. (TSX Venture:HLM) http://www.houstonlakemining.com/
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