NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES OF AMERICA
CALGARY, Alberta, July 14, 2021 (GLOBE NEWSWIRE) -- Canadian Premium Sand Inc. (“CPS” or the “Company”) (TSXV: CPS) is pleased to announce that it has initiated a Front End Engineering and Design (“FEED”) study for its proposed flat glass manufacturing facility and plans to conduct a non-brokered private placement based on receiving unsolicited interest from a U.S. institution.
FEED Study
The Company has engaged CM Project Ing GmbH (“CMP”), a global expert and independent firm, to conduct its FEED study. CMP’s staff have extensive background and knowledge in glass technology, R&D, and plant operations, with an international track record of successful design and project management. Utilizing a comprehensive engineering approach in its design process, CMP will explore avenues to achieve a high level of sustainability balanced with operational and capital efficiency generating an optimal design. The Company has also engaged AECOM’s Winnipeg based team to assist with its environmental and regulatory applications process in support of the FEED study. The outcome of the FEED study is expected to result in a facility design that will yield not only significant cost competitiveness but also a low-carbon advantage relative to international rivals.
Non-Brokered Private Placement
Following receipt of an unsolicited offer from a U.S. Institution, the Company has agreed to a non-brokered US $1 Million private placement at a price of Cdn $0.35 per common share. (the “Placement”). The net proceeds of the Placement will be used to fund key activities to progress the business plan as well as for general working capital purposes. Closing of the Placement is subject to the approval of the TSX Venture Exchange ("TSXV"). The Company anticipates closing as soon as practicable, following TSXV approval.
The common shares issued under the Placement will be subject to a statutory hold period in Canada of four months and one day following the closing date.
The securities described herein have not been, and will not be, registered under the United States Securities Act of 1933, as amended (the “U.S. Securities Act”) or any state securities laws and accordingly may not be offered or sold within the United States or to “U.S. persons”, as such term is defined in Regulation S promulgated under the U.S. Securities Act (“U.S. Persons”), except in compliance with the registration requirements of the U.S. Securities Act and applicable state securities requirements or pursuant to exemptions therefrom. This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the Company’s securities to, or for the account of benefit of, persons in the United States or U.S. Persons.
About Canadian Premium Sand Inc.
The Company is evaluating the potential for sustainable manufacturing of high clarity flat glass through a Company owned facility in the greater Winnipeg area that utilizes the high-quality silica sand from its wholly-owned Wanipigow silica sand deposit. The Company is a reporting issuer in Ontario, Alberta and British Columbia. Its shares trade on the TSXV under the symbol "CPS".
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.
CONTACT INFORMATION:
Canadian Premium Sand Inc.
Glenn Leroux
President and Chief Executive Officer
glenn.leroux@cpsmail.com
Investor Relations
IR@cpsmail.com
587.355.3714
Disclaimer for Forward-Looking Information
Certain statements in this press release related to the business prospects of the Company and the benefits to be derived from the FEED study and the Placement are forward-looking statements and are prospective in nature. Forward-looking statements are not based on historical facts, but rather on current expectations and projections about future events, and are therefore subject to risks and uncertainties which could cause actual results to differ materially from the future results expressed or implied by the forward-looking statements. These statements generally can be identified by the use of forward-looking words such as "may", "should", "will", "could", "intend", "estimate", "plan", "anticipate", "expect", "believe" or "continue", or the negative thereof or similar variations. Forward-looking statements in this news release include statements involving the size of the Placement, use of net proceeds under the Placement, the anticipated closing and closing time of the Placement, the receipt of TSXV approval for the Placement and statements regarding the Company's business plan and the timing thereof. Such statements are qualified in their entirety by the inherent risks and uncertainties in manufacturing and mining industry in general and such other factors outlined in the Company's continuous disclosure documents available on SEDAR at www.sedar.com, which are beyond the control of the Company. Such forward-looking statements should therefore be construed in light of such factors, and the Company is not under any obligation, and expressly disclaims any intention or obligation, to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except in accordance with applicable securities laws.
