Elcora Begins Verifying Other Graphite Sources for Its Anode Program
HALIFAX, NOVA SCOTIA / ACCESSWIRE / September 8, 2016 / Troy Grant, President and CEO of Elcora Advanced Materials Corp. (TSXV: ERA) (OTCQB: ECORF) (FSE: ELM), (the "Company" or "Elcora"), announces the expansion of its Anode test program to other graphite sources.
The Elcora vertically integrated strategy is designed to optimize the end product and to minimize supply risks. Optimization is done by working closely with source companies to ensure that mining and initial processing does not interfere with the end product and therefore Elcora only works with established mines and/or companies that are near-term production. In order to minimize supply risk associated with any one mine, Elcora has developed its separation process to be flexible and at the same time commenced tests on two other graphite sources; one from Europe and one from Africa. The utilization of more than one source will provide Elcora with additional supply flexibility for anode production.
"The move to expand our Anode test program to other graphite sources is to ensure sufficient supply flexibility for anode production, and to minimize supply risk. Elcora's separation process is specifically designed to be flexible and coupled with flexible supply will in turn ensure an uninterrupted supply to Elcora's clients", said Troy Grant, Elcora's President and CEO.
The Company also wish to announce an amendment to the non-brokered private placement financing (the "Private Placement") announced on April 26, 2016 and closed on June 10, 2016 (See June 10, 2016 news release). The Private Placement offered up to 7,500,000 units ("Units") at a price of $0.40 per Unit to raise aggregate gross proceeds of up to $3,000,000. Each Unit was comprised of one common share and half common share purchase warrant. Each full warrant gave the holder the right to purchase one additional common share of Elcora at an exercise price of $0.52 for three years following the closing of the Private Placement.
Elcora has issued 2,208,750 Units at a price of $0.40 per Unit for aggregate gross proceeds of $883,500. The Company issued 1,104,375share purchase warrants entitling the holder to purchase one additional common share of Elcora at an exercise price of $0.52 for three years following the closing of the Private Placement. The Company paid finders' fees of $13,100 in cash and 15,000 in finders' warrants in connection with this tranche of the Private Placement.
The actual proceeds were actually $893,500, not $883,500 and the Company will issue an additional 25,000 shares and 12,500 warrants under the same terms as above. The news release of June 10, 2016 incorrectly stated that the company issued 2,208,750 warrants instead of 1,104,375. The correct amount of warrants issued after the correction is 1,116,875.
All securities issued pursuant to the Private Placement will be subject to a statutory four-month hold period from the date the securities are issued. The proceeds from the Private Placement will be used for funding additional Lithium-Ion battery testing and for general corporate purposes.
About Elcora Advanced Materials
Elcora was founded in 2011 and has been structured to become a vertically integrated graphite & graphene company that mines, processes, refines graphite, and produces both the graphene and end user graphene applications. As part of the vertical integration strategy, Elcora has secured high-grade graphite and graphene precursor graphite from its interest in the operation of the Ragedara mine in Sri Lanka which is already in production. Elcora has developed a unique low cost effective processes to make high quality graphite and graphene that are commercially scalable. This combination means that Elcora has the tools and resources for graphite and graphene vertical integration.
For further information please visit the company's website at http://www.elcoracorp.com
For further information please contact: Troy Grant, Director, President and CEO, Elcora Resources Corp., T: 902 802-8847 F: 902 446-2001.
CAUTIONARY STATEMENT:
The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release. No stock Exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein. This News Release includes certain "forward-looking statements". All statements other than statements of historical fact, included in this release, including, without limitation, statements regarding potential mineralization and reserves, exploration results, and future plans and objectives of Elcora, are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from Elcora's expectations are exploration risks detailed herein and from time to time in the filings made by Elcora with securities regulators.
Investors are cautioned that, except as disclosed in the filing statement prepared in connection with the transaction, any information released or received with respect to the transaction may not be accurate or complete and should not be relied upon.
SOURCE: Elcora Advanced Materials