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Ceylon Graphite Closes Upsized $3,500,000 Private Placement and Extension of Debentures
VANCOUVER, May 13, 2022 (GLOBE NEWSWIRE) -- Ceylon Graphite Corp. (“Ceylon” or the “Company”) (TSXV: CYL) (OTCQB: CYLYF) (FSE: CCY) is pleased to announce that
About this update from Ceylon Graphite Corp.
[{"type":"text","content":" VANCOUVER, May 13, 2022 (GLOBE NEWSWIRE) -- Ceylon Graphite Corp. (“Ceylon” or the “Company”) (TSXV: CYL) (OTCQB: CYLYF) (FSE: CCY) is pleased to announce that further to its press releases of April 6 and 7, 2022, it has closed a private placement of 21,875,000 units (“Units”) at a price of $0.16 per Unit for gross proceeds of $3,500,000 (the “Offering”). Each Unit consists of one common share in the capital of the Company (“Share”) and one common share purchase warrant (“Warrant”). Each Warrant entitles the holder thereof to acquire one common share of the Company (each a “Warrant Share”) at a price of $0.25 per Warrant Share at any time until May 10, 2025. Ceylon intends to use the net proceeds of the Offering to advance the Company’s K1 and M1 mines to commercial production. The Company anticipates achieving this milestone within one year of the closing of the Offering. Ceylon currently has ten low-CAPEX mining projects at the development stage, allowing for scalable production. The high-grade nature of the graphite vein mineralization is expected to generate high margins at the current un-processed graphite price. Ceylon’s underground vein graphite, in Sri Lanka, is high grade (+90% Cg), which can directly be shipped for processing into higher value-add material without the need for a mill or a tailings dam. The combination of underground mining and direct shipping graphite allows Ceylon to operate with Zero-Carbon Footprint to be able to maintain a leading ESG profile, which is has become a necessary characteristic to buyers of battery-quality graphite (Original Equipment Manufacturers (OEMs)). Ceylon CEO, Don Baxter stated “I am extremely grateful for the support our strategic shareholders. I am looking forward to getting two mines producing graphite in the very near term. In the meantime, we continue our conversations with OEMs regarding their battery graphite supply requirements. We are witnessing a sea of change in attitudes from OEMs as they realize need for the supply of critical input materials to feed the battery factories they are announcing.” In connection with the Offering, a 7.5% cash finder’s fee was paid together with the issuance of finder warrants equal to 7.5% of the total number of Units placed, each exercisable for one Unit at a price of $0.16 at any time until May 10, 2025. All securities issued pursuan...