eCobalt Announces Receipt for Final Base Shelf Prospectus

VANCOUVER, Jan. 16, 2017 /PRNewswire/ - eCobalt Solutions Inc. (TSX: ECS; OTCQB: ECSIF) (the "Company" or "eCobalt") announces that it has obtained a receipt for the final short form base shelf prospectus (the "Shelf Prospectus") from the British Columbia Securities Commission (and all other provincial commissions in Canada where the Company is a reporting issuer) on January 12, 2017 (see Company News Release dated October 16, 2016). 

The Shelf Prospectus, subject to securities regulatory requirements, will allow the Company to make offerings of up to $100,000,000 of common shares, preference shares, debt securities, warrants, subscription receipts, units, or any combination of such securities (all of the foregoing, collectively, the "Securities") during the 25-month period that the Shelf Prospectus is effective. 

The Securities may be offered separately or together, in amounts, at prices and on terms to be determined based on market conditions at the time of sale and set forth in an accompanying shelf prospectus supplement ("Prospectus Supplement") and, subject to applicable regulations, may include 'at-the-market' transactions, private placements, public offerings or strategic investments.  Unless otherwise specified in a Prospectus Supplement, the net proceeds from the sale of Securities for cash will be used for the development of the Idaho Cobalt Project (ICP) for commercial production and general corporate purposes including working capital, funding ongoing operations and/or capital requirements, reducing the level of indebtedness outstanding from time to time, discretionary capital programs, exploration and development of additional properties or interests (direct or indirect) therein, and potential future acquisitions.  Each Prospectus Supplement will contain specific information, if any, concerning the use of proceeds from that sale of Securities.

The Company commissioned a NI 43-101 compliant feasibility study (the "Feasibility Study") on the ICP in June 2016.  As the Feasibility Study progresses to completion and subject to final results, the Shelf Prospectus is expected to provide efficiency, flexibility, and opportunities to finance the ICP to complete development and advance the project into commercial production.

"The 25 month life of the Shelf Prospectus will allow the Company to take advantage of opportunities as they arise, giving management the ability to act quickly on all aspects of business development over the course of a significant period of time.  As we move the ICP through Feasibility Study and ultimately into production, the flexibility provided by the Shelf Prospectus will provide the Company access to the capital required to increase value for all our shareholders", commented Paul Farquharson, President & CEO of eCobalt.

Feasibility Study Update:

On September 22, 2016 the Company commissioned a 2,600 foot metallurgical large diameter drill core program.  This program was successful in providing several hundred kilograms of mineralized core samples.  The samples will be used in metallurgical test work designed to provide additional confirmation data on concentrate recoveries, hydrometallurgical processing and cobalt sulfate heptahydrate crystal production.  The results are expected to compliment the results from the metallurgical program completed in March 2016.  The final products produced from the metallurgical testing will provide potential offtakers and other finance partners with end product samples to be used for their due diligence and evaluation.

This news release shall not in any circumstances constitute an offer to sell or a solicitation of an offer to buy, nor shall there be any sale of these securities in any jurisdiction in which an offer, solicitation or sale would be unlawful prior to the registration or qualification under the applicable securities laws of any such jurisdiction.

A copy of the Shelf Prospectus can be found on SEDAR at www.sedar.com.

About eCobalt Solutions Inc. (www.ecobalt.com)

eCobalt Solutions is a well-established Toronto Stock Exchange listed company committed to providing ethically sourced and environmentally sound battery grade cobalt salts, essential for the rapidly growing rechargeable battery and renewable energy sectors, made safely, responsibly, and transparently in the United States.

eCobalt Solutions Inc.

"J. Paul Farquharson"
 J. Paul Farquharson
 President & CEO

E.R. (Rick) Honsinger, P.Geo., Senior Vice President of the Company, is the Qualified Person as defined by National Instrument 43-101 who has supervised the preparation of this news release and has approved its contents.

Cautionary Statement on Forward Looking Statements

Cautionary Statement on Forward Looking Statements This news release contains "forward-looking statements" within the meaning of applicable Canadian securities legislation. Statements in this news release pertaining to expected financings, filings, uses of proceeds or project completion dates are forward-looking statements. These forward-looking statements are based on assumptions and address future events and conditions and are subject to known and unknown risks, uncertainties and other factors that may cause the actual results, performance or achievements of the Company to be materially different from those expressed or implied by such forward-looking statements.

Such projections are and will inevitably always be dependent on assumptions about future mineral prices and development costs which will be subject to fluctuation due to global and local economic and industry conditions. Further information regarding risks and uncertainties which may cause results to differ from those contained in forward-looking statements is included in filings by the Company with securities regulatory authorities and is available at www.sedar.com. Although the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Although the Company has disclosed that the Idaho Cobalt Project remains the sole, near term, environmentally permitted, primary cobalt deposit in the United States and offers a unique potential for North American consumers to secure an ethically sourced, environmentally sound supply of battery grade cobalt chemicals, there is no guarantee that the Company will attain commercial production of such cobalt chemicals for use in the rechargeable battery sector. Accordingly, readers should not place undue reliance on forward-looking statements. The Company does not undertake to update any forward-looking statements that are contained herein, except in accordance with applicable securities laws.

The statements contained in this news release in regard to eCobalt Solutions Inc. that are not purely historical are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including eCobalt Inc.'s beliefs, expectations, hopes or intentions regarding the future. All forward-looking statements are made as of the date hereof and are based on information available to eCobalt Solutions Inc. as of such date. It is important to note that actual outcome and the actual results could differ from those in such forward-looking statements. Factors that could cause actual results to differ materially include risks and uncertainties such as technological, legislative, corporate, commodity price and marketplace changes.

SOURCE eCobalt Solutions Inc.