Saint Jean Carbon announces a loan premium, a share for the debt
OAKVILLE, Ontario, November 18, 2020 (GLOBE NEWSWIRE) – Saint Jean Carbon Inc. (“Holy Jeans“or the”Company“) (TSX-V: SJL) is pleased to announce that, subject to the approval of the TSX Venture Exchange (the”Exchange“), The Company has agreed to issue, in accordance with Policy 5.1 of the Bourse, a loan premium to two (2) arm’s length third party lenders (the”Lenders“) 115,000 ordinary shares in the capital of the Company in total (the”Free actions”) At a deemed price of $ 0.05 per Bonus Share, in accordance with the terms of loans previously obtained by the Company from lenders. The Company had previously obtained loans totaling $ 40,000 from lenders (collectively, the “”Loans“). The lenders were Gilles Ayotte and Bernice Cooper. The loans bore interest at twelve percent (12%) per annum and were payable on demand. As the ability of the Company to repay the Loans was not evident at the time the Loans were made, the Company and the Lenders agreed that in consideration of the risks taken by the Lenders, the Company would issue the Free Shares to the Lenders. . The Company repaid the Loans and accrued interest to the Lenders in full on October 22, 2020 and October 29, 2020, respectively. Free Shares are subject to a holding period of four months and one (1) day.
The Company also wishes to announce, subject to the approval of the Exchange, that it has agreed to settle a total of $ 150,000 of debt (the “Debt“) owed to an arm’s length third party service provider by issuing a total of 3,000,000 common shares (the”Actions“) in the capital of the Company at a deemed price of $ 0.05 per share (the”Debt transaction actions“). In order to preserve liquidity for continuing operations, the Company believes that it is in its best interest to settle the debt with shares. The Shares are subject to a four month and one (1) day holding period.
Direct debit agreement
The Company also wishes to elaborate on its arm’s length direct debit agreement with Ameca Ltd. (“Ameca”), Previously announced on September 30, 2020. A revised agreement was signed on November 5, 2020. Production in Sri Lanka could begin as early as summer 2021. Saint John intends to pre-sell at least 10,000 tonnes of the highest quality graphite in the world, verified in the R&D center of Saint Jean, to a third party and never take physical possession of the material. Ameca and Saint John have agreed on a profit sharing formula on all sales. The intention is to sell all of the 15,000 tonnes of graphite under the Company’s offtake agreement with Ameca. Ameca’s planned initial production is 15,000 tonnes per year.
Saint John is a publicly traded carbon science company with specific interests in energy storage and the creation and recreation of green energy, with interests in mining claims in the province of British Columbia in Canada. For the latest information on Saint Jean properties and news, please visit the website: http://www.saintjeancarbon.com/
On behalf of the board of directors
Saint Jean Carbon Inc.
William Pfaffenberger, Chairman of the Board, Interim President and Chief Financial Officer
E-mail: [email protected]
Phone. : (250) 381-6181
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
FORWARD-LOOKING STATEMENTS: This press release contains forward-looking statements, within the meaning of applicable securities laws, regarding the business and affairs of Saint John. In some cases, forward-looking statements can be identified by the use of words such as “” ”, ”, ” believes ”, ” plans ”, ” intends ”, ” anticipate ” or variations of such words and phrases or state that certain actions, events or results ” may ”, ” could ”, ” would ”, ” might ” or ” will be taken ” , ” occur ” or ” be reached ”. These forward-looking statements include those concerning: (I) approval through the exchange of free shares; (ii) the issue of Free Shares; (iii) completion of the Debt Transaction Actions; (iv) approval by the Exchange of Shares for a borrowing transaction; (v) the planned start of production in Sri Lanka; (vi) the intention to pre-sell at least 10,000 tonnes of graphite worldwide; and (vii) the intends to sell 15,000 tonnes of graphite to Ameca. These forward-looking statements are based on current expectations and are naturally subject to uncertainties and changes in circumstances that could cause actual results to differ materially. Although Saint John believes that the expectations represented in these forward-looking statements are reasonable, there can be no assurance that such expectations will prove to be correct.
Statements of past performance should not be construed as an indication of future performance. Forward-looking statements involve significant risks and uncertainties, should not be interpreted as guarantees of future performance or results, and will not necessarily constitute precise indications as to whether or not such results will be obtained. A number of factors, including those discussed above, could cause actual results to differ materially from the results discussed in forward-looking statements. These forward-looking statements are expressly qualified in their entirety by this cautionary statement.
All forward-looking statements contained in this press release are qualified by these cautionary statements. Readers are cautioned not to place undue reliance on these forward-looking statements. Forward-looking information is provided as of the date of this press release, and Saint Jean assumes no obligation to update or revise it to reflect new events or circumstances, except as required by applicable securities legislation. .