Energizer Resources Raises Capital for Value Engineering
Energizer Resources Inc. (TSX:EGZ) (OTCQB:ENZR) (WKN: A1CXW3) (“Energizer” or the “Company”) announces it closed a non-brokered private placement offering on May 17th, 2016 (the “Offering”) for gross proceeds of CDN$1,003,500. The net proceeds of the Offering will be used to fund in part the value engineering of the Company’s Molo graphite project in Madagascar and for general working capital purposes.
The Company has issued 11,150,000 units (the “Units”) at a price of CDN$0.09 per Unit, with each Unit consisting of one (1) common share of the Company.
All securities issued in connection with the Offering will be subject to a minimum six-month hold period as required by U.S. securities laws, and will also be subject to a four-month hold period (which will run concurrently with the six-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.
The Company expects to provide a project update in the near future.
This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the “U.S. Securities Act”) or any state securities laws and may not be offered or sold within the United States or to, or for the account or benefit of, U.S. Persons unless registered under the U.S. Securities Act and applicable state securities laws, unless an exemption from such registration is available.
About Energizer Resources
Energizer Resources is a mineral exploration and mine development company based in Toronto, Canada, that is developing its 100%-owned, feasibility-stage Molo Graphite Project in southern Madagascar.
For further information contact:
Brent Nykoliation, Senior Vice President, Corporate Development: bnykoliation@energizerresources.com
or
Craig Scherba, President and CEO: cscherba@energizerresources.com
+1.416.364.4911