Nemaska Lithium Announces Public Offering Through Underwriting and Updates on Project Whabouchi

QUEBEC CITY, QUEBEC – Nemaska Lithium Inc. (“Nemaska Lithium” or the “Company”) is pleased to announce that it has entered into an agreement with a syndicate of underwriters led by National Bank Financial Inc. . (Together, the ” Underwriters “) pursuant to which the Underwriters have agreed to purchase, by way of underwriting, 47,620,000 common shares of the Company (the ” Shares “) at a price of $ 1.05 per Share for gross proceeds of $ 50 million (the ” Offering “). The Shares will be offered in each of the provinces and territories of Canada under a simplified prospectus to be filed by Nemaska Lithium, and in the United States pursuant to exemptions from the “

The Company has also granted the Underwriters an over-allotment option to purchase up to an additional number of Shares equal to 15% of the number of Shares subscribed for under the Offering, exercisable in whole or in part and From time to time, for a period of 30 days from and including the closing date of the Offering.

The Company intends to use the net proceeds of the Offering for the further development of the Whabouchi lithium mine, the spodumene concentrator located at the Whabouchi site and the Shawinigan hydrometallurgical plant (collectively, the ” Lithium Project “), Including the continuation of engineering work, construction of infrastructure, payment of installments for the ordering of long-term delivery equipment and general working capital requirements.

Closing of the Offering is scheduled to occur on or about June 29, 2017 and remains conditional upon receipt of required regulatory approvals including, but not limited to, approval of the Toronto Stock Exchange and certain other conditions.

This press release does not constitute an offer to sell or a solicitation of an offer to purchase securities in the United States. The Shares have not been and will not be registered under the United States Securities Act of 1933 , as amended, or any state securities law and therefore will not May be offered or sold in the United States or to a person in the United States, except in accordance with the registration requirements or exemptions from the applicable registration requirements.

Lithium Project Financing Update

Nemaska Lithium also reports that it is actively involved in discussions with potential lenders regarding the terms and conditions of debt financing for the Lithium Project (” Debt Project Financing “) and has recently begun the verification process Diligent with some of them. The Company is confident that it will enter into an agreement with lenders by the end of the third quarter of calendar year 2017.

Update discussions with Ressources Quebec

The Quebec government, the largest shareholder in Nemaska Lithium through Resources Quebec, which owns 29.4 million shares, continues to support Nemaska Lithium and the Lithium Project. Nemaska Lithium and Ressources Quebec continue to discuss any potential capital investment in the Company to further support the completion of this project. To date, no agreement has been reached between the parties and Nemaska Lithium will continue to evaluate its financing alternatives to maximize shareholder value.

Update on the general progress of the Lithium Project

Guy Bourassa, President and CEO of Nemaska Lithium, commented on these recent announcements: “The Investment will place Nemaska Lithium in a strong financial position to continue the development work associated with the Lithium Project. This funding will enable Nemaska Lithium to make further progress in the construction of the required facilities at the Whabouchi site and at the Shawinigan hydrometallurgical plant, which will enable it to stay on track with the start of commercial scale production For the first quarter of calendar year 2019. Eventually, as Nemaska Lithium becomes a low-cost producer emerging within the global lithium market, The Company will be ideally positioned to capitalize on the needs of the dynamic lithium market that we anticipate in the short and medium term. “

“We are also encouraged by ongoing discussions about the Debt Project Financing. These developments, combined with the continued support of Ressources Quebec and other key shareholders, reiterate what management and the board of directors have known for a very long time – Nemaska Lithium is destined to become a major player in the global lithium. “

Source: Nemaska Lithium Inc.