nsrcf_ex991
NextSource
Materials Completes Oversubscribed Non-Brokered Private
Placement
TORONTO, Oct. 28,
2019 -- NextSource Materials Inc. (TSX:NEXT) (OTCQB:NSRCF)
(“NextSource” or the “Company”) announces
it has completed a non-brokered private placement offering (the
“Offering”) of 29,077,768 units (the
“Units”) at a price of CAD$0.045 per Unit for gross
proceeds of CAD$1,308,500.
The
Offering was over-subscribed and received substantial support from
existing shareholders of the Company and from management and
directors.
Each
Unit consists of one common share of the Company and one-half
common share purchase warrant (a “Warrant”), with each
full Warrant entitling the holder to acquire one additional common
share of the Company at a price of CAD$0.09 per share for a period
of 24 months. No finder fees or commissions were paid inn
association with the Offering.
Use
of Proceeds
The net
proceeds of the Offering will enable the completion of graphite
product testing, as requested by a major international automotive
company that has recently initiated offtake discussions with the
Company and will be used for general and administrative
expenses.
The
Company is also working to secure additional working capital and
funding for the construction of the Molo Graphite
Project.
All
securities issued in connection with the Offering will be subject
to a minimum four-month hold period as required by Canadian
securities laws. The Company has obtained conditional approval from
the Toronto Stock Exchange (the “TSX”) for the listing
of all common shares issued pursuant to the Offering. The Offering
is subject to receipt of final approval of the TSX.
About
NextSource Materials Inc.
NextSource
Materials Inc. is a mine development company based in Toronto,
Canada, that is developing its 100%-owned Molo Graphite Project in
southern Madagascar. The Molo Graphite Project is a fully
permitted, feasibility-stage project that ranks as one of the
largest-known and highest quality flake graphite deposits in the
world and is the only project with SuperFlake®
graphite.
For
further information contact: +1.416.364.4911
Brent
Nykoliation, Senior Vice President, Corporate Development at
brent@nextsourcematerials.com or Craig Scherba, President and CEO
at craig@nextsourcematerials.com
Safe Harbour: This press release contains statements that may
constitute “forward-looking statements” within the
meaning of applicable Canadian and United States securities
legislation. Readers are cautioned not to place undue reliance on
such forward-looking statements. Forward-looking statements in this
release relate to the results of the 2019 Feasibility Study,
funding of the development of the Molo Project, implementation and
commencement of the build-out of the Molo Project, commencement of
production at the Molo Project, commencement of procurement for
mine infrastructure, the procurement of equipment to construct a
mine, value engineering, any and all product test results and
product analysis, and the permit application. These are based on
current expectations, estimates and assumptions that involve a
number of risks, which could cause actual results to vary and in
some instances to differ materially from those anticipated by the
Company and described in the forward-looking statements contained
in this press release. No assurance can be given that any of the
events anticipated by the forward-looking statements will transpire
or occur or, if any of them do so, what benefits the Company will
derive there from. The forward-looking statements contained in this
news release are made as at the date of this news release and the
Company does not undertake any obligation to update publicly or to
revise any of the forward-looking statements, whether as a result
of new information, future events or otherwise, except as may be
required by applicable securities laws.