- Noram Lithium (NRM) announces a royalty sale and equity investment with Lithium Royalty and the Waratah Electrification and Decarbonization AIE LP
- Mr. Peter A. Ball, President and COO sat down with Dave Jackson to discuss the financing
- The agreement is for the sale of a 1.0 per cent GOR over Noram’s Zeus sedimentary lithium claims in Clayton Valley, Nevada for US$5M and a concurrent $9M private placement
- Proceeds from the investment will be used to assist in accelerating the advancement of the Zeus Lithium Project
- Noram Lithium is a Canadian-based junior exploration company focused on developing lithium deposits
- Noram Lithium Corp. (NRM) opened trading at C$0.87 per share
Noram Lithium (NRM) has signed an LOI for a $14M royalty sale and equity investment.
Mr. Peter A. Ball, President and COO sat down with Dave Jackson to discuss the financing.
The agreement is for the sale of a 1.0 per cent GOR over Noram’s Zeus sedimentary lithium claims in Clayton Valley, Nevada for US$5M and a concurrent $9M private placement.
Lithium Royalty Corp. (LRC) will acquire a 1.0 per cent gross overriding royalty on Noram’s Zeus Lithium Project in Clayton Valley, Nevada for US$5.0 million.
LRC and the Waratah Electrification and Decarbonization AIE LP (E&D) will also invest an additional US$9M through a private placement.
The Zeus Lithium Project is located less than 1 mile from the only lithium production facility in the United States.
Key terms & highlights
- Noram will enter into a royalty agreement with LRC for the sale of a 1.0 per cent GOR over Noram’s Zeus sedimentary lithium claims in Clayton Valley for US$5.0 million, with payments scheduled upon completion of the two following milestones:
- US$4.0 million on closing of the Investment
- US$1.0 million on the completion of a definitive feasibility study
- LRC and E&D will also co-invest US$9.0 million via a private placement alongside the GOR purchase at the price of C$0.825 per share
- LRC and E&D will also be granted the option to invest an additional US$9.0 million if the common shares of Noram reaches C$1.50 per share
- The LOI contains the terms of the proposed royalty agreement, completion of which is subject to the satisfaction of certain conditions by February 18, 2022
Proceeds from the strategic investment will be used to assist in accelerating the advancement of the Zeus Lithium Project through to the completion of a definitive feasibility study.
Noram Lithium is a Canadian-based junior exploration company focused on developing lithium deposits and becoming a low-cost supplier. The company’s primary business is the Zeus Lithium Project (Zeus) in Clayton Valley, Nevada.
Noram Lithium Corp. (NRM) opened trading at C$0.87 per share.