CALGARY,
AB, Jan. 8, 2025 /CNW/ - Avanti Helium
Corp. (TSXV: AVN) (OTC: ARGYF) ("Avanti" or the "Company")
is pleased to announce an increase in the size of the previously
announced non-brokered private placement financing (the "Offering")
of units of the Company ("Units") at a price of $0.09 per Unit. The size of the Offering has been
increased from up to 13,363,333 Units to up to 17,030,000 Units for
aggregate gross proceeds of up to $1,532,700.
Each Unit under the Offering will consist of one (1) common
share of the Company (each, a "Share") and one (1) Share purchase
warrant (each, a "Warrant"), with each Warrant entitling the holder
to purchase one (1) additional Share at a price of $0.15 per Share for a period of three (3) years
from the date of issue.
Chris Bakker, the Chief Executive
Officer and a director of the Company, will subscribe for 2,944,444
Units for gross proceeds of $265,000,
and such participation will be considered a "related party
transaction" as defined under Multilateral Instrument 61-101 -
Protection of Minority Security Holders in Special
Transactions ("MI 61-101"). The Company expects to be exempt
from the requirement to obtain a formal valuation and minority
shareholder approval in connection with Mr. Bakker's participation
in the Offering in reliance of Sections 5.5(a) and 5.7(a) of MI
61-101, respectively, on the basis that Mr. Bakker's participation
in the Offering is not expected to exceed 25% of the fair market
value of the Company's market capitalization.
The net proceeds of the Offering will be used for ongoing costs
associated with the Company's projects and general working capital
requirements.
The Company may pay a finder's fee in cash and/or securities of
the Company in connection with the Offering.
All securities issued under or in connection with the Offering,
including securities issuable on the exercise thereof, are subject
to a hold period expiring four (4) months and one (1) day from the
date of issuance.
The closing of the Offering is expected to occur on or about
January 13, 2025 and is subject to
the acceptance of the TSX Venture Exchange.
This news release does not constitute an offer of securities for
sale in the United States. The
securities being offered have not been, nor will they be,
registered under the United States Securities Act of 1933, as
amended (the "U.S. Securities Act") or any applicable state
securities laws. Such securities may not be offered or sold within
the United States except pursuant
to an effective registration statement under the U.S. Securities
Act and the securities laws of any applicable state in the United States or pursuant to an available
exemption from the registration requirements thereof.
About Avanti Helium Corp.
Avanti is focused on the exploration, development, and
production of helium across western Canada and the
United States. Avanti's professional oil and gas exploration
and production team is actively targeting helium trapped in
structures to help meet the increasing global demand for an
irreplaceable and scarce element critical to advanced technology,
medical and space exploration industries. For more information,
please go to the Company's website
at www.avantihelium.com.
Forward-Looking Statements
The information set forth in this news release contains
forward-looking statements that are based on assumptions as of the
date of this news release. These statements reflect management's
current estimates, beliefs, intentions and expectations. They are
not guarantees of future performance. The Company cautions that all
forward-looking statements are inherently uncertain and that actual
performance may be affected by a number of material factors, many
of which are beyond the Company's control. Such factors include,
among other things: statements relating to the expected timing for
the development of the helium recovery plant and timing estimates
with respect to initial production therefrom, statements relating
to the expected benefits to Avanti from the midstream agreement and
liquefaction tolling agreement, statements relating to obtaining
financing to fund associated infrastructure work for the plant,
risks associated with helium exploration, development, production,
marketing and transportation, volatility in helium prices, risks
relating to the Company's ability to access sufficient capital from
production and external sources, risks and uncertainties relating
to the Company's limited operating history and the need to comply
with environmental and governmental regulations. Accordingly,
actual and future events, conditions and results may differ
materially from the estimates, beliefs, intentions and expectations
expressed or implied in the forward-looking information. Except as
required under applicable securities legislation, the Company
undertakes no obligation to publicly update or revise
forward-looking information. Please see the public filings of the
Company at www.sedarplus.ca for further
information and risks applicable to the Company.
Neither TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in the policies of the Exchange)
accepts responsibility for the adequacy or accuracy of this
release.
SOURCE Avanti Helium Corp.