Avalon Advanced closes $540,000 private placement

2020-08-25 16:28 ET - News Release

An anonymous director reports

AVALON COMPLETES NON-BROKERED PRIVATE PLACEMENT FOR GROSS PROCEEDS OF $540,000 TO ADVANCE THE SEPARATION RAPIDS LITHIUM PROJECT

Avalon Advanced Materials Inc. has completed a non-brokered private placement of six million flow-through units at a price of nine cents per unit for gross proceeds of $540,000.

Each unit consists of one flow-through common share and one-half common share purchase warrant. Each warrant shall entitle the holder to acquire one non-flow-through common share at a price of $0.12 until August 25, 2022. In conjunction with this private placement, Avalon paid finder's fees of $32,400. Pursuant to Canadian securities laws, the securities issuable under this private placement are subject to a hold period which expires on December 26, 2020.

The proceeds from this offering will be used primarily to continue to advance the Company's Separation Rapids lithium project. The work will include collection of another bulk sample in order to continue metallurgical process development work and other field work to continue exploration of new lithium pegmatites on the western part of the property. The metallurgical work will include optimization of the petalite concentration process to recover high purity petalite product samples for certain glass-ceramic manufacturers that have expressed interest in the product. In addition, some further piloting of the process to recover a high purity lithium hydroxide battery material product is planned.

About Avalon Advanced Materials Inc.

Avalon Advanced Materials is a Canadian mineral development company specializing in sustainably-produced materials for clean technology. The Company now has four advanced stage projects, providing investors with exposure to lithium, tin and indium, as well as rare earth elements, tantalum, cesium and zirconium. Avalon is currently focusing on developing its Separation Rapids Lithium Project near Kenora, Ontario while looking at several new project opportunities, including reactivating its 100-per-cent-owned Lilypad Tantalum-Cesium Project in northwestern Ontario. Social responsibility and environmental stewardship are corporate cornerstones.

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