Orbite files preliminary prospectus and binding commitment for $40 million in additional funding

Orbite Aluminae announced today that it has filed a preliminary short form prospectus with the securities regulatory authorities in Quebec, Ontario, Alberta and British Columbia, in connection with a "best efforts" marketed offering of up to $16 million in Units comprised of Convertible Unsecured Debentures and Share Purchase Warrants of Orbite. The Corporation also announced it has secured a binding subscription commitment for $40 million in additional Units, subject to certain conditions, in additional funding from Crede Capital Group ("Crede"), a U.S. based institutional investor, to be completed subsequent to closing of the Offering via private placement. Crede has also agreed to purchase $10 million of Units under the Offering. Euro Pacific Canada Inc. has been retained as lead placement agent for the Offering (the "Agent"). The Corporation has granted the Agent an option, for a period of 30 days from the closing date, to purchase a number of additional Units equal to 15% of the number of Units issued under the Offering.

"We are pleased to report to our shareholders, who have been extremely patient over the last four months, that we now have a binding funding commitment that should allow us to access the capital required for the finalization of our high-purity alumina facility in Cap-Chat, Quebec," said Glenn Kelly, Orbite's Chief Operating Officer. "However, we also remain focused on other financing initiatives, including our discussions with the Government of Quebec which have progressed well."