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Leading Edge Materials Completes Sale of 100% of the Bergby Lithium Project
Vancouver, April 29, 2021 – Leading Edge Materials Corp. (“Leading Edge Materials” or the “Company”) (TSXV: LEM) (Nasdaq First North: LEMSE) (OTCQB: LEMIF) is p
About this update from Leading Edge Materials Corp.
[{"type":"text","content":" Vancouver, April 29, 2021 – Leading Edge Materials Corp. (“Leading Edge Materials” or the “Company”) (TSXV: LEM) (Nasdaq First North: LEMSE) (OTCQB: LEMIF) is pleased to announce, further to its news releases dated December 6, 2020 and February 11, 2021, that it has completed the sale (the “Transaction”) to United Lithium Corp. (“ULTH”) of 100% of the issued and outstanding share capital of Bergby Lithium AB (“Bergby”), which holds a 100% interest in the mining licenses comprising the Bergby Lithium project located in central Sweden, 25km north of Gavle (the “Project”). Pursuant to the Transaction, in consideration for the shares of Bergby, the Company’s wholly owned subsidiary, Tasman Metals AB (“Tasman”) as the owner of the Bergby shares, received from UTLH: CAD 250,000 in cash; 1,031,864 common shares in the capital of ULTH (each, a “ULTH Share”), valued at CAD 1,042,183 using ULTH closing price of CAD 1.01 on the CSE on April 29, 2021; 400,000 common share purchase warrants (the “Warrants”), with each Warrant entitling Tasman Metals to acquire, for a period of 36 months from the closing date of the Transaction, one common share in the capital of ULTH at an exercise price equal to approximately CAD 0.485; and a 2% net smelter returns royalty on the Project, which is subject to a buyback right in favour of ULTH, exercisable for CAD 1,000,000. The ULTH Shares will be escrowed and released over a 20-month period. ULTH shall also pay an additional CAD 250,000 in cash on October 29, 2021. In addition to the foregoing, ULTH has committed to exercise reasonable commercial efforts toward spending CAD 1,000,000 on exploration work on the Project prior to October 29, 2022, and the Company will, at its cost, make available to ULTH the part-time services of its Chief Geologist to provide geological support in exploring the Project until April 29, 2022. Filip Kozlowski, CEO of Leading Edge Materials states “With the completion of the sale of Bergby we now look forward to follow United Lithium as they further explore this exciting project with us sharing any success as shareholders. On our side we now remain focused on finishing work together with our consultants on the two ongoing preliminary economic assessment projects and will publish results from those as soon as they are finalized. Progressing the Norra Karr HREE and Woxna Graphite ...