Mantra Commits To $3.2M Private Placement - Poised To Build Carbon Capture And Recycling Pilot Project
Seattle, WA /PRNewswire/ - Mantra Venture Group Ltd. (OTCBB: MVTG) (FRANKFURT: 5MV) is pleased to announce that it has entered into a $3.2M private placement agreement.
On February 29, 2012, Mantra Venture Group Ltd.'s wholly owned subsidiary, Mantra Energy Alternatives Ltd. entered into subscription agreements with a number of non-US investors for the sale of 3,200,000 shares of Mantra Energy at a price of CAD $1.00 per share, for total proceeds of CAD $3,200,000. Upon closing of the financing Mantra Venture Group will retain a 65% stake in Mantra Energy. Closing of the financing is anticipated to occur in March 2012.
The $3.2 investment will afford Mantra Energy an opportunity to implement its powerful ERC (Electrochemical Reduction of Carbon Dioxide) technology on an industrial scale. ERC is one of the most promising examples of Carbon Capture and Recycling (CCR) which allows for the conversion of industrially produced carbon dioxide into a number of valuable chemical byproducts. After two years of planning, Mantra is now poised to begin construction of a 100 kilogram per day CCR facility inVancouver, British Columbia.
"We are very thankful to our new investors for their support," said Larry Kristof, Mantra's President and CEO; "their confidence speaks to the potential of ERC and to the quality of our recent research and development work. Our planned industrial pilot project promises to bring ERC to the forefront of carbon capture and recycling, and we are very excited to begin working with our industrial partners in the coming months."
About Mantra Energy:
Mantra Energy Alternatives Ltd.'s mission is to become the world leader in production of high value, carbon negative chemicals and fuels. Mantra's ERC system will reduce the problem greenhouse gas CO2 and convert it into a series of valuable chemicals, a form of carbon capture and recycling (CCR). There are currently 27 Billion metric tonnes of CO2 emitted annually from fossil fuel combustion providing an inexhaustible supply of feedstock. The first product is formic acid (HCOOH) which commands a market of approximately USD $1 billion.
Mantra is a public company quoted on the OTC BB under the symbol MVTG and on the Frankfurt Stock Exchange under the symbol 5MV.
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Except for the historical information contained herein, the matters discussed in this press release are forward-looking statements. Actual results may differ materially from those described in forward-looking statements and are subject to risks and uncertainties. See Mantra Venture Group's filings with the Securities and Exchange Commission which identify specific factors that may cause actual results or events to differ materially from those described in the forward-looking statements.
SOURCE Mantra Venture Group Ltd.