Greenridge Exploration Closes First Tranche of Flow Through Private Placement Financing
August 02 2024 - 4:30PM
Greenridge Exploration Inc. (“Greenridge” or the
“Company”) (CSE: GXP | FRA: HW3), announces that
further to its July 2, 2024 and July 25, 2024 news releases, the
Company has closed the first tranche of its non-brokered private
placement of flow-through units (each, a "
FT
Unit") for aggregate gross proceeds in this first tranche
of $750,798.40 (the "
Offering"). The Company has
issued 853,180 FT Units at a price of $0.88 per FT Unit, with each
FT Unit comprised of one (1) common share of the Company (each, a
“
Common Share”) issued on a flow-through basis
under the Income Tax Act (Canada) (each, a “
FT
Share”) and one half of one Common Share purchase warrant
(each whole warrant, a “
Warrant”). Each Warrant
entitles the holder to purchase one Common Share of the Company at
a price of $1.15 for a period of 36 months from the date of
issuance.
The gross proceeds from the sale of the FT
Shares will be used by the Company to incur eligible “Canadian
exploration expenses” that will qualify as “flow-through mining
expenditures” as such terms are defined in the Income Tax Act
(Canada) (the “Qualifying Expenditures“) related
to the Company’s projects in Canada. All Qualifying Expenditures
will be renounced in favour of the subscribers of the FT Units
effective December 31, 2024.
In connection with the first tranche closing, an
aggregate of $15,048 was paid in cash and a total of 17,100
finder’s warrants (the “Finder’s Warrants”) were
issued as finder’s fees. Each Finder’s Warrant entitles the holder
thereof to acquire one (1) Common Share (a “Finder’s
Warrant Share”) at a price of $0.88 per Finder’s Warrant
Share for a period of 36 months from the date of issuance.
The Offering constitutes a "related party
transaction" within the meaning of Multilateral Instrument 61-101 -
Protection of Minority Security Holders in Special Transactions
("MI 61-101") as a certain director and officer of
the Company (the "Insider") subscribed for an
aggregate of 284,090 FT Units for aggregate proceeds of
$249,999.20. The Company relied on the exemptions from the
valuation and minority shareholder approval requirements of MI
61-101 contained in Sections 5.5(a) and 5.7(1)(a) of MI 61-101 with
respect to the Insider participation in the Offering as the fair
market value of the consideration of the securities issued to the
related party did not exceed 25% of the Company's market
capitalization. The Company did not file a material change report
in respect of the participation of the Insider in the Offering at
least 21 days before closing of the Offering as the participation
of the Insider was not determined at that time.
All securities issued in connection with the
Offering are subject to a statutory hold period of four months and
one day.
The securities issued pursuant to the Offering
have not been, nor will they be, registered under the United States
Securities Act of 1933, as amended, and may not be offered or sold
within the United States or to, or for the account or benefit of,
U.S. persons in the absence of U.S. registration or an applicable
exemption from the U.S. registration requirements. This news
release shall not constitute an offer to sell or the solicitation
of an offer to buy nor shall there be any sale of the securities in
the United States or in any other jurisdiction in which such offer,
solicitation or sale would be unlawful.
References
1 Source: 1978
Assessment Report (number 81075) by Pan Ocean Oil Ltd.
About Greenridge Exploration
Inc.
Greenridge Exploration Inc. (CSE: GXP | FRA:
HW3) is a mineral exploration company dedicated to creating
shareholder value through the acquisition, exploration, and
development of critical mineral projects in North America. The
Carpenter Lake Uranium Project is located in the Athabasca Basin
consisting of 7 mineral claims covering 13,387 hectares across the
Cable Bay Shear Zone and the Company is advancing the Project to
test multiple high priority targets. The Company’s Nut Lake Uranium
Project located in the Thelon Basin includes historical drilling
which intersected up to 9ft of 0.69% U3O8 including 4.90% U3O8 over
1ft from 8ft depth1.
The Company’s Weyman Copper Project in southeast
British Columbia sits on the south portion of the famous Quesnel
Terrance. The Company is led by an experienced management team and
board of directors with significant expertise in capital raising
and advancing mining projects. The Snook and Ranger Lake uranium
projects, 4,899 hectares and 20,782 hectares respectively are
located in western Ontario, with multiple previous uranium
occurrences across both projects.
On Behalf of the Board of
Directors
Russell StarrChief Executive Officer, DirectorTelephone: +1
(778) 897-3388 Email: info@greenridge-exploration.com
Disclaimer for Forward-Looking Information
This news release contains certain
forward-looking statements within the meaning of applicable
securities laws. All statements that are not historical facts,
including without limitation, statements regarding future
estimates, plans, programs, forecasts, projections, objectives,
assumptions, expectations or beliefs of future performance,
including statements regarding the project acquisition bringing a
low-risk opportunity, the Company, building a strong battery metals
portfolio with low-risk opportunities that positively impact the
Company and its shareholders and the Company providing an initial
work plan are "forward-looking statements". Forward-looking
statements in this news release include, but are not limited to,
statements with respect to the Offering and the intended use of
proceeds therefrom. These forward-looking statements reflect the
expectations or beliefs of management of the Company based on
information currently available to it. Forward-looking statements
are subject to a number of risks and uncertainties, including those
detailed from time to time in filings made by the Company with
securities regulatory authorities, which may cause actual outcomes
to differ materially from those discussed in the forward-looking
statements. These factors should be considered carefully, and
readers are cautioned not to place undue reliance on such
forward-looking statements. The forward-looking statements and
information contained in this news release are made as of the date
hereof and the Company undertakes no obligation to update publicly
or revise any forward-looking statements or information, whether
because of new information, future events or otherwise, unless so
required by applicable securities laws.
The Canadian Securities Exchange (CSE) does not
accept responsibility for the adequacy or accuracy of this
release.