Battery Mineral Resources Corp. Announces Cease Trade Order Issued By The British Columbia Securities Commission
Battery Mineral Resources Corp. has announced that the Company has been issued a cease trade order (CTO) by the British Columbia Securities Commission (BCSC) for missing the filing deadline of May 2, 2022 for the following periodic disclosure documents (collectively “Annual Filings”):
the audited annual financial statements for the year ended December 31, 2021; the management’s discussion and analysis relating to the audited annual financial statements for the year ended December 31, 2021; and the CEO and CFO certifications for the annual filings for the year ended December 31, 2021 required by National Instrument 52-109 – Certification of Disclosure in Issuers’ Annual and Interim Filings.
As previously announced on April 29, 2022, the Annual Filings delay results from additional audit work required to restate certain 2020 fiscal year transactions, primarily related to the ESI Energy Services Inc. common control acquisition. The Company intends to file its 2021 financial statements along with restated 2020 comparative information. The restatement of the 2020 financial statements is not expected to have an impact on cash or reported loss from continuing operations for the period.
BMR retained PricewaterhouseCoopers LLP (“PwC”) for the 2021 year-end audit and on a go-forward basis. BMR continues to work with PwC to complete the Annual Filings as soon as possible and expects to file the Annual Filings by May 17, 2022. At that time, a news release will be issued indicating that the Annual Filings have been submitted. Upon filing the Annual Filings, the Company expects that the CTO will be revoked within one to two business days (in Canada), as is the customary practice. In the interim, the Company continues to operate normally and without disruption.
Battery CEO Martin Kostuik states; “While we are disappointed with the delay to our Annual Filings as a result of additional audit work required, we are confident that the Annual Filings will be filed soon and that the CTO will be revoked very shortly thereafter. We will keep shareholders appraised of our progress on these matters. Restatement of filings in concert with a change in auditors is not uncommon. Most importantly, we want to remind our shareholders that the restatements and the resulting delay of our Annual Filings do not impact the Company’s assets or operations, including its Punitaqui project in Chile, and we look forward to sharing continued progress towards the restart of copper production and positive cash flow.”
Despite the CTO, a beneficial security holder of the Company who is not, and was not at the date of the CTO, an insider or control person of the Company, may sell securities of the Company acquired before the date of the CTO if the following apply: (a) the sale is made through a “foreign organized regulated market”, as defined in section 1.1 of the Universal Market Integrity Rules of the Investment Industry Regulatory Organization of Canada; and (b) the sale is made through an investment dealer registered in a jurisdiction of Canada in accordance with applicable securities legislation. Holders of the Company’s securities are urged to consult with their own investment advisors or legal counsel about the implications of the CTO.
The Company confirms that, other than as disclosed in prior press releases and material change reports, there have been no material business developments since the filing on November 29, 2021 of the Company’s latest interim financial reports for the period ended September 30, 2021.
