Avalon Advanced Materials Secures Funding for Sustainable Byproduct Project and Advances Lithium Processing

Avalon Advanced Materials has secured $1.3 million in funding from Lind Global Fund II to advance strategic projects and corporate initiatives. The company is progressing its Analcime Utilization Project, which aims to enhance the value of byproducts from lithium processing and align with sustainable construction efforts. Avalon is positioning itself as a leader in the critical minerals economy, contributing to Ontario's economic future and infrastructure development.

Avalon Advanced Materials Inc. (TSX: AVL) has announced a significant financial milestone, securing an additional $1.3 million from Lind Global Fund II. This funding will support the company's ongoing projects and corporate initiatives, positioning Avalon as a key player in the critical minerals economy.

The funding was drawn from Avalon's existing $15 million convertible security funding agreement with Lind Global Fund II, LP, with a two-year term and a 10% annual interest rate. The convertible security will have a face value of $1.56 million, allowing Lind to convert the amount over 24 months at 85% of the 5-day VWAP of Avalon's shares [1].

The funds will primarily be used to advance the Analcime Utilization Project, which aims to enhance the value of byproducts from lithium processing and align with sustainable construction efforts. Additionally, the funding will support general corporate purposes, furthering Avalon's mission to develop strategic assets that support secure, domestic supply chains and long-term economic growth.

In conjunction with the funding, Lind will receive a $45,500 closing fee and 10.6 million warrants exercisable at $0.09 per share for 60 months. Avalon has the right to repurchase the convertible security after a 4-month hold period, subject to Lind's option to convert up to one third of the face value into Avalon common shares prior to such repurchase [1].

This latest funding round underscores Avalon's commitment to advancing its strategic projects and corporate initiatives, aligning with its vision of becoming a leader in the critical minerals economy. By securing additional funding, Avalon is poised to contribute significantly to Ontario's economic future and infrastructure development.

References:
[1] https://www.stocktitan.net/news/AVLNF/avalon-announces-second-draw-from-convertible-securities-agreement-3or10wnx5w8y.html