Global Battery Metals Announces Closing Private Placement

Written by Newsfile

Vancouver, British Columbia--(Newsfile Corp. - November 6, 2020) - Global Battery Metals Ltd. (TSXV: GBML) (the 'Company') is pleased to announce that further to its press release of October 26, 2020, it has closed its non-brokered private placement (the "Offering") and has raised gross proceeds of $1,035,000. The Company will, on TSX-V approval, issue 10,350,000 units ("Units") at a price of $0.10 per Unit.

Each Unit consists of one common share and one-half of one common share purchase warrant (each whole warrant a "Warrant"). Each Warrant is exercisable into one common share at an exercise price of $0.15 for a period of 2 years from the issue date.

All securities ‎issued in the Offering are subject to a hold period of four months and a day from ‎the date of closing. The net proceeds from the Offering will be used for the evaluation of potential acquisition transactions, including land and legal due diligence reviews, for general working capital and administrative expenses.‎

Insiders participation in the offering was for an aggregate amount of $75,000 comprising 750,000 Units representing 7.2% of the offering. Such participation is considered a related party transaction within the meaning of Multilateral Instrument 61-101 - Protection of Minority Security Holders in Special Transactions ("MI 61-101"). The related party transaction is exempt from minority approval and valuation requirements pursuant to the exemptions contained in Sections 5.5(a) and 5.7(1)(a) of MI 61-101, as neither the fair market value of the securities to be issued under the Offering nor the consideration to be paid by the insiders exceeds 25% of the Company's market capitalization.

The Company will pay cash finder's fees of $37,100 and further issue a total of 383,000 Finders warrants having the same terms and conditions as the warrants offered as part of the Units, to certain finders in connection with the Offering.

Proceeds from the Offering are expected to be used for project evaluation and general working capital. Certain insiders of the Company may participate in the Offering.

About GBML Battery Metals Ltd.

GBML is a mineral exploration company with a focus on metals that make up and support the rapid evolution to battery power. GBML's common shares are listed on the TSX Venture Exchange, OTCBB and Frankfurt. GBML currently has two projects: (1) an option to acquire up to 90 per cent of the North-West Leinster lithium property in Ireland, and (2) a 55-per-cent stake in Peru-based Lara copper property, which has over 10,000 metres of drilling. As previously disclosed, Minsur S.A., a Peruvian mining company, entered into an option agreement with GBML and Lara Exploration Ltd. to acquire the Lara property for staged payments of $5.75 million (U.S.). GBML will retain a 0.75-per-cent net smelter royalty. Please see the press release of July 28, 2020, for more information.

Michael Murphy BA, MBA, MSc., ICD President & CEOE: MM@gbml.ca^[1]

This press release contains forward-looking information within the meaning of the applicable Canadian securities legislation. Forward-looking information in this press release includes, but is not limited to, statements about the Offering generally, the anticipated closing and successful completion of the Offering, the use of proceeds received therefrom, receipt of applicable regulatory approvals including the conditional approval of the TSX-V, and the Company's assets. These statements are based on information currently available to the Company and the Company provides no assurance that actual results will meet management's expectations. In certain cases, forward-looking information may be identified by such terms as "anticipates", "believes", "could", "estimates", "expects", "may", "shall", "will", or "would". These forward-looking statements are subject to numerous risks and uncertainties, certain of which are beyond the control of the Company, including, but not limited to, impacts arising from the global disruption caused by the Covid-19 coronavirus outbreak, fluctuations in general macroeconomic conditions; receipt of applicable regulatory approvals including TSX-V conditional approval of the Offering, availability of financing, the potential for gold and/or lithium at any of the Company's properties, the prospective nature of any claims comprising the Company's property interests, the impact of general economic conditions, industry conditions, dependence upon regulatory approvals, uncertainty of sample results, timing and results of future exploration, and the availability of financing.

Neither the TSX-V nor its Regulation Services Provider (as that term is defined in the policies of the TSX-V) accepts responsibility for the adequacy of this release. No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/67686 ^[2]

References

^{^} MM@gbml.ca (www.newsfilecorp.com)
^{^} https://www.newsfilecorp.com/release/67686 (www.newsfilecorp.com)