HLM Raises $811,635 in Non Flow-Through Financing
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 Lithium Project in northwestern Ontario, Canada. HLM today reported the closing of a non-brokered private placement offering for a total of 3,864,929 units ("Units") of the Company priced at $0.21 per Unit, for total gross proceeds of $811,635.
The Common Shares to be issued under a unit offering of 3,864,929 units (“Units”) at a subscription price of $0.21 per Unit. Each Unit shall consist of one (1) Common Share of the Company and one-half (½) 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 $0.21 for an 18 month period from the closing (the “Offering”).
In connection with the $811,635 Offering, the Company issued finder’s fees of $30,477 (7% of $435,390 of the Offering) and 145,130 finder warrants (7% of 2,073,286 of Units sold under the Offering). Each finder option will be exercisable at a price of $0.30 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 Lithium Project located in northwestern Ontario.
About the PAK Lithium Project
The PAK Lithium 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) type pegmatite. These types of pegmatites have been the principal source of hard rock lithium, tantalum, rubidium and cesium ores mined in the world but there are comparatively few commercially-viable deposits.
HLM is actively exploring its 100% owned and optioned project which contains the Pakeagama Lake pegmatite. The deposit is one of the highest grade lithium deposits in North America which has a current Indicated Resource of 2.45 million tonnes of 1.81% Li2O Eq. and Inferred Resource of 5.91 million tonnes of 2.01% Li2O Eq. which has a technical/ceramic grade spodumene with low inherent iron (below 0.1% Fe2O3). The deposit has adjacent zones that are enriched in rubidium and tantalum. HLM is also evaluating the phased co-production of rubidium and tantalum concentrates once lithium mineral production has been commercialized.
The deposit now has a known 480m strike length with an estimated true 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. The Phase III and IV, diamond drill programs and the 2015 Channel sampling were conducted with the objectives to extend the known strike length and to upgrade the lithium Indicated mineral resource to a Measured category, and to possibly upgrade the Inferred mineral resource to a Measured and Indicated category.
About Houston Lake Mining Inc.
HLM’s goal is to become a fully integrated lithium, rubidium 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.
HLM has a total of 115,192,011 common shares issued and outstanding. For additional information, please visit the company website at www.houstonlakemining.com.
Company Contact Information
| Trevor R. Walker, President | Henry J. Kloepper, CEO |
| 2736 Belisle Drive | T. +001 416.520.0187 |
| Val Caron, ON | |
| 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
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public://news_release_pdf/HLM04052016.pdf
Source: Houston Lake Mining Inc. (TSX Venture:HLM) http://www.houstonlakemining.com/
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