Mining
Friday, August 30th, 2024 4:37 pm EDT
Key Points
- Global Uranium Corp. has updated its non-brokered private placement, now aiming to raise up to $2.25 million, with the offering expected to close around October 14, 2024.
- The offering includes units priced at 35 cents and 40 cents per unit, with proceeds intended to finance exploration activities, particularly at the Northwest Athabasca project, as well as for general administrative and working capital purposes.
- The securities issued will be subject to a four-month-and-one-day hold period, and the offering’s completion is contingent on receiving all necessary regulatory approvals, including from the Canadian Securities Exchange.
Global Uranium Corp. has provided an update to the non-brokered private placement which it first announced on July 24, 2024.
The updated private placement will now be for proceeds up to $2.25-million and expects that the revised offering will close on or about Oct. 14, 2024.
The revised offering is expected to consist of the offering of: (i) units of the company at a price of 35 cents per unit for aggregate gross proceeds of up to $1.5-million, with each 35-cent unit comprising one non-flow-through common share of the company and one share purchase warrant of the company entitling the holder to acquire one share at a price of 45 cents per warrant share for a period of 24 months from the date of issuance; and (ii) units of the company at a price of 40 cents per unit for aggregate gross proceeds of up to $750,000, with each 40-cent unit comprising one flow-through common share and one share purchase warrant of the company entitling the holder to acquire one warrant share at a price of 45 cents per warrant share for a period of 24 months from the date of issuance. The flow-through shares issued under the flow-through offering are intended to qualify as flow-through shares within the meaning of the Income Tax Act (Canada).
The company intends to use the net proceeds raised from the revised offering to finance exploration activities on the company’s projects, including at the Northwest Athabasca project, and general and administrative expenditures, including investor awareness and promotional expenditures, and for general working capital purposes. The gross proceeds from the sale of the flow-through shares will be used to incur Canadian exploration expenses, which are intended to qualify as flow-through mining expenditures as those terms are defined in the tax act, which the company intends to renounce to the initial purchasers of the flow-through shares.
All securities issued in the revised offering will be subject to a statutory four-month-and-one-day hold period. Closing of the revised offering is subject to the company’s receipt of all necessary regulatory approvals, including approval of the Canadian Securities Exchange.
About Global Uranium Corp.
Global Uranium focuses on exploring and developing uranium assets primarily in North America. The company currently has an interest in two uranium projects in Canada: the Northwest Athabasca project in the Northwest Athabasca region of Saskatchewan, Canada; and the Wing Lake property in the Mudjatik domain of Northern Saskatchewan, Canada. The company has also entered into an agreement to acquire five other uranium projects in several regions of Wyoming, United States, including the Great Divide Basin district, the Gas Hills district and the Copper Mountain district.
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