Canada Lithium announces grant of option to upsize convertible unsecured subordinated debenture financing

 Canada Lithium announces grant of option to upsize convertible unsecured  subordinated debenture financing  TSX: CLQ; U.S. OTC: CLQMF  NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR RELEASE,  PUBLICATION, DISTRIBUTION OR DISSEMINATION DIRECTLY, OR INDIRECTLY, IN WHOLE  OR IN PART, IN OR INTO THE UNITED STATES OR TO U.S. PERSONS  TORONTO, May 10, 2013 /CNW Telbec/ - Canada Lithium Corp. ("Canada Lithium" or  the "Company") (TSX: CLQ) (U.S. OTC: CLQMF) today announced that, in  connection with the convertible unsecured subordinated debenture financing  previously announced on April 29, 2013, the Company has granted to Dundee  Securities Ltd., on behalf of a syndicate of underwriters including Primary  Capital Inc., as co-lead underwriter, and Jones, Gable & Company Limited  (collectively, the "Underwriters"), an option (the "Option") to purchase an  additional 6,446 convertible unsecured subordinated debentures of the Company  (the "Debentures") at a price of $1,000 per Debenture. The Option is  exercisable in whole or in part, in the sole discretion of the Underwriters,  at any time up to the closing of the private placement. If the Option is  exercised in full, gross proceeds to the Company from the offering would be  $27,556,000 (the "Offering"). These additional Debentures are being offered  and would be issued on the same terms as set forth in the April 29, 2013 press  release regarding the private placement of the Debentures. The Company  intends to use the net proceeds from the Offering for working capital and  general corporate purposes.  For additional information on the terms of the Debentures and the Offering,  please refer to the Company's previous press release dated April 29, 2013.  The Closing Date of the Offering is anticipated to occur on or about May 15,  2013 and is subject to customary closing conditions, including the receipt of  applicable regulatory approvals including approval of the Toronto Stock  Exchange.  All securities issued in connection with the Offering will be subject to a  four (4) months plus one (1) day hold period from the Closing Date, pursuant  to Canadian securities laws. The Offering is being conducted on a private  placement basis pursuant to exemptions from the prospectus requirements of  applicable securities laws in one or more provinces of Canada. The  securities mentioned herein have not been and will not be qualified by  prospectus for sale to the public under applicable Canadian securities laws.  The securities mentioned herein will be subject to transfer and selling  restrictions in certain jurisdictions, including the United States and Canada.  This news release does not constitute an offer of securities for sale or the  solicitation of an offer to buy the securities in the United States or any  other jurisdiction. The securities being offered have not been, nor will they  be, registered under the Unites States Securities Act of 1933, as amended, and  such securities may not be offered or sold within the United States absent  U.S. registration or an applicable exemption from U.S. registration  requirements and in compliance with applicable state securities laws.  About Canada Lithium Corp.  The Company holds a 100% interest in the Québec Lithium Project near Val  d'Or, the geographical heart of the Québec mining industry. It has completed  construction and is in the commissioning phase of an open-pit mine and on-site  processing plant with estimated capacity to produce approximately 20,000  tonnes of battery-grade lithium carbonate annually. Metallurgical tests have  produced battery-grade lithium carbonate samples. A five-year off-take  agreement for a minimum of 12,000 tonnes per year was recently signed with  Tewoo-ERDC, one of China's largest commodities traders. A second off-take for  up to 5,000 tonnes per year was recently signed with Marubeni Corp., a major  Japanese commodities trading company. Lithium carbonate is used in lithium-ion  batteries that power consumer electronics (laptops, tablets, etc.), power-grid  storage facilities and electric and hybrid vehicles. For more information  regarding the Company, please refer to the Company's public filings available  at www.sedar.com and www.canadalithium.com including, in particular, the  Company's Management Discussion and Analysis for the year ended December 31,  2012 and its Annual Information Form for the year ended December 31, 2012.  The Company trades under the symbol CLQ on the TSX and on the U.S. OTCQX under  the symbol CLQMF.  Cautionary Statement Regarding Forward-Looking Information  This press release contains "forward-looking information" within the meaning  of Canadian securities legislation. Forward-looking information is based upon  the Company's beliefs, estimates and opinions as at the date of this press  release, which the Company believes are reasonable, but no assurance can be  given that these will prove to be correct. Furthermore, the Company undertakes  no obligation to update or revise forward-looking information contained herein  if these beliefs, estimates and opinions or other circumstances should change,  except as otherwise required by applicable law.  Forward-looking information relates to future events or to future conditions,  performance or results of operations and reflects current expectations or  beliefs regarding such matters including, but not limited to, information or  statements with respect to the completion of the Offering, the exercise of the  Option, the receipt of requisite regulatory approvals, including the approval  of the Toronto Stock Exchange and the use of proceeds, in addition to: (i) the  amount of mineral resources; (ii) exploration, development and production  activities, including information regarding the potential mineralization and  resources; (iii) the amount of future output over any period; (iv) net present  value and internal rates of return of the mining operation; (v) assumptions  relating to capital costs, operating costs and other cost metrics; (vi)  assumptions relating to gross revenues, operating cash flow and other revenue  metrics; (vii) assumptions relating to future price and demand for lithium and  other macroeconomic metrics; (viii) exploration and development plans,  including anticipated costs and timing thereof, time frames for completion,  and anticipated time to production; (ix) mine potential and expected mine  life; and * sources of and anticipated financing requirements.  All information other than matters of historical fact may be forward-looking  information. In some cases, forward-looking information can be identified by  the use of words such as "seek", "expect", "anticipate", "budget", "plan",  "project", "estimate", "assume", "continue", "forecast", "intend", "believe",  "predict", "potential", "target", "strategy", "goal", "may", "could", "would",  "might", or "will" and similar words or phrases (including negative  variations) suggesting future outcomes or statements regarding an outlook.  Forward-looking information is based upon certain assumptions by the Company  or its consultants and other important factors that, if untrue, could cause  the actual results, performances or achievements of the Company to be  materially different from future results, performances or achievements  expressed or implied by such information. Such information is based on  numerous assumptions regarding present and future business strategies and the  environment in which the Company will operate in the future, including the  price of lithium, anticipated costs and ability to achieve goals. Certain  important factors that could cause actual results, performances or  achievements to differ materially from those in the forward-looking  information include, but are not limited to: (i) required capital investment  and estimated workforce requirements; (ii) estimates of net present value and  internal rates of return; (iii) future demand and market prices for lithium;  (iv) receipt of regulatory approvals on acceptable terms within commonly  experienced time frames; (v) anticipated timelines for the commencement of  production; (vi) anticipated timelines for community consultations and the  impact of those consultations on the regulatory approval process; and (vii)  future exploration plans and objectives.  By its nature, forward-looking information involves known and unknown risks,  uncertainties and other factors which may cause actual results, performance or  achievements, or industry results, to differ materially from those expressed  or implied by such forward-looking information. Some of the risks and other  factors that could cause actual results to differ materially from those  expressed in the forward-looking information contained in this press release  include, but are not limited to, risks and uncertainties relating to: (i) the  interpretation of drill results, the geology, grade and continuity of mineral  deposits and conclusions of economic evaluations; (ii) results of feasibility  studies, and the possibility that future exploration, development or mining  results will not be consistent with the Company's expectations, (iii) the  outcome of litigation in which the Company is or may in the future become  involved; (iv) risks relating to possible variations in reserves, grade,  planned mining dilution and ore loss, or recovery rates and changes in project  parameters as plans continue to be refined; (v) mining and development risks,  including risks related to accidents, equipment breakdowns, labor disputes  (including work stoppages and strikes) or other unanticipated difficulties  with or interruptions in exploration and development; (vi) risks related to  the inherent uncertainty of production and cost estimates and the potential  for unexpected costs and expenses; (vii) risks related to future commodity  demand and price and foreign exchange rate fluctuations; (viii) the  uncertainty of profitability based upon the cyclical nature of the industry in  which the Company operates; (ix) risks related to failure to obtain adequate  financing on a timely basis and on acceptable terms or delays in obtaining  governmental approvals or in the completion of development or construction  activities; * risks related to environmental regulation and liability; (xi)  political and regulatory risks associated with mining and exploration; (xii)  risks related to the uncertain global economic environment; and (xiii) other  risks and uncertainties related to the Company's prospects, properties and  business strategy. Although the Company has attempted to identify important  factors that could cause actual results or events to differ materially from  those described in the forward-looking information, investors and others are  cautioned that this list is not exhaustive and there may be other factors that  the Company has not identified. Readers are cautioned not to place undue  reliance on forward-looking information contained in this press release. All  forward-looking information contained in this press release or incorporated by  reference herein is expressly qualified by this cautionary note. For more  information on the risks, uncertainties and assumptions that could cause the  Company's actual results to differ from current expectations, please refer to  the Company's public filings available at www.sedar.com and  www.canadalithium.com including, in particular, the "Risks and Uncertainties"  section of the Company's Management Discussion and Analysis and the "Risk  Factors" section of the Company's Annual Information Form for the year ended  December 31, 2012.  Peter Secker, CEO and Deputy Chairman (416) 361-2821 Olav Svela, Director,  Investor Relations (416) 361-2821 or (416)  479-4355 or  emailosvela@canadalithium.com  SOURCE: Canada Lithium Corp.  To view this news release in HTML formatting, please use the following URL:  http://www.newswire.ca/en/releases/archive/May2013/10/c5552.html  CO: Canada Lithium Corp. ST: Ontario NI: MNG PVT NEWSTK