Lithium Ionic Corp. (TSX-V: LTH) (OTCQX: LTHCF) (FSE: H3N) announces the closing, on an oversubscribed basis, of its previously announced non-brokered private placement offering led by long-term strategic shareholders, Fourth Sail Capital and the PowerOne Capital Group.

Under the Offering, the Company issued 17,769,778 units at $0.90 per Unit for gross proceeds of $15,992,800.30.

Each Unit is comprised of one common share in the capital of the Company and one-half of one Common Share purchase warrant. Each Warrant will entitle the holder to purchase one Common Share at an exercise price of $1.05 per Common Share until the date that is 18 months from the date hereof.

The Company plans to use the aggregate net proceeds of the Offering for exploration and development of its Brazilian properties and general corporate purposes.

In connection with the closing of the Offering, the Company paid finder’s fees of $588,721 in cash and issued 613,884 non-transferable finder’s warrants (the “Finder’s Warrants”).  Each Finder’s Warrant will entitle the holder thereof to purchase one Unit at a price of $0.90 for a period of 12 months from the date hereof.

The Offering is subject to the receipt of all necessary approvals, including the final approval of the TSX Venture Exchange.   All of the securities issued by the Company pursuant to the Offering will be subject to a four-month statutory hold period which expires on October 8, 2024.

An officer of the Company has subscribed for 111,111 Units in the Offering. The Insider Investment constitutes a related party transaction, as such term is defined under the policies of the TSXV, and the Company has relied on certain exemptions from the minority approval and formal valuation requirements under Multilateral Instrument 61-101 – Protection of Minority Security Holders in Special Transactions as the fair market value of the aggregate Insider Investment is below 25% of the Company’s market capitalization for the purposes of Sections 5.5(a) and 5.7(1)(a) of MI 61-101.

The securities being offered have not, nor will they be registered under the United States Securities Act of 1933, as amended, and may not be offered or sold within the United States or to, or for the account or benefit of, U.S. persons absent U.S. registration or an applicable exemption from the U.S. registration requirements. This release does not constitute an offer for sale of securities in the United States.

About Lithium Ionic Corp.

Lithium Ionic is a Canadian mining company exploring and developing its lithium properties in Brazil. Its flagship Itinga and Salinas projects cover 14,182 hectares in the northeastern part of Minas Gerais state, a mining-friendly jurisdiction that is quickly emerging as a world-class hard-rock lithium district. The Itinga Project is situated in the same region as CBL’s Cachoeira lithium mine, which has produced lithium for +30 years, as well as Sigma Lithium Corp.’s Grota do Cirilo project, which hosts the largest hard-rock lithium deposit in the Americas.