Sayona Mining (ASX:SYA) completes Moblan acquisition

• Sayona Mining (SYA) has acquired a 60 per cent stake in the Moblan Lithium Project in Québec after completing a successful capital raise
• SYA raised $100 million through a placement to institutional investors, helping cover the US$86.5 million (A$116.44 million) cost of the acquisition
• The business also plans to raise an extra $25.5 million via a rights issue for shareholders, with the extra money to help fund a drilling program at Moblan
• SYA wants to expand the lithium resource, with a revised definitive feasibility study targeting an increase in spodumene production capacity being planned
• Shares in Sayona Mining are trading 1.61 per cent in the green at 15.8 cents at 11:32 am AEDT

Sayona Mining (SYA) has acquired a 60 per cent stake in the Moblan Lithium Project in Québec after completing a successful capital raise.

The emerging lithium producer raised $100 million through a placement to institutional investors, helping cover the US$86.5 million (A$116.44 million) cost of the acquisition.

SYA also plans to raise an extra $25.5 million via a rights issue for shareholders, with new shares priced at 14.5 cents each – the same offer as the placement.

The Québec acquisition complements Sayona’s existing investment with Piedmont Lithium (PLL) in North American Lithium.

The company is planning an additional drilling program at Moblan next year to try and expand its lithium resource.

SYA also plans to undertake a revised definitive feasibility study targeting an increase in
its spodumene production capacity.

Sayona’s Managing Director Brett Lynch said the North American EV industry represented a strong investment opportunity.

“Moblan in northern Québec adds to our established Abitibi lithium hub as we build the leading lithium asset base in North America,” Mr Lynch said.

“This is an important step as this expansion in our lithium resource further strengthens our capacity and plans to move downstream into lithium hydroxide/carbonate production in Québec, capturing added value and ensuring the province plays a leading role in North America’s clean energy drive.”

Shares in Sayona Mining were trading 1.61 per cent in the green at 15.8 cents at 11:32 am AEDT.