- Fjordland Exploration announces non-brokered private placement for proceeds of up to $1.3 million
- Each of the shares will be issued on a “flow-through” basis at a price of $0.13 per share
- The proceeds of the offering will be used for the exploration of the company’s Renzy Nickel-Copper project in Quebec
- Fjordland Exploration Inc. is a mineral exploration company that is focused on the discovery of large-scale economic metal deposits in Canada
- The company started the day’s trading at $0.105 per share
Fjordland Exploration has announced a non-brokered private placement for gross proceeds of up to $1,300,000.
The company will issue up to 10,000,000 flow-through common shares at a price of $0.13 per share.
A flow–through share is a type of common share – available especially in the mining sector – which permits the initial purchaser to claim a tax deduction equal to the amount invested.
The company intends to use the proceeds of the offering for the exploration of the company’s Renzy Nickel-Copper project in Quebec.
“The gross proceeds from the issuance of the FT shares will be used for Canadian exploration expenses, which will be renounced with an effective date no later than December 31, 2022, to the purchasers of the FT Shares in an aggregate amount not less than the gross proceeds raised from the issue of the FT Shares,” said James Tuer, CEO of Fjordland Exploration.
“If the qualifying expenditures are reduced by the Canada Revenue Agency, the company will indemnify each subscriber of FT shares for any additional taxes payable by such subscriber as a result of the company’s failure to renounce the qualifying expenditures,” he added.
The closing of the offering is subject to the receipt of all necessary regulatory approvals, including the TSX Venture Exchange. Also, finder’s fees will be payable in accordance with the policies of the TSX Venture Exchange.
All securities issued in connection with the offering will be subject to a statutory hold period expiring four months and one day after closing of the offering. Completion of the offering is subject to the approval of the Exchange.
Fjordland Exploration Inc. is a mineral exploration company that is focused on the discovery of large-scale economic metal deposits in Canada.
The company started the day’s trading at $0.105 per share.