Abasca Resources Engages Red Cloud Securities and Closes the Non-Brokered Flow-Through Private Placement
NEWS RELEASE
Abasca Resources Engages Red Cloud Securities and Closes the Non-Brokered Flow-Through Private
Placement
Abasca Resources Inc. – News Release 2023-05 June 22, 2023
#208 – 211 4th Avenue North, Saskatoon, SK S7K 2L8 Page 1 of 3
Abasca Resources Engages Red Cloud Securities and Closes the Non-
Brokered Flow-Through Private Placement
June 22, 2023 – Saskatoon, S askatchewan: Abasca Resources Inc. (“Abasca” or the “Company”) ( TSX-V: ABA)
announces that subject to regulatory approval, it has engaged Red Cloud Securities Inc. (“Red Cloud”) to provide
market making services to the Company (the “Agreement”) in compliance with the policies of the TSX Venture
Exchange (“TSX-V”) and applicable securities legislation.
Under the Agreement, the Company will pay Red Cloud $5,000 per month during the initial term of three months
starting June 15, 2023 . The term of the Agreement can be extended upon 30 days’ written notice from Abasca.
The Company and Red Cloud have an arm’s length relationship, but Red Cloud and/or its clients may have an
interest, directly or indirectly, in the securities of Abasca. The Agreement is principally for the purposes of
maintaining market stability and liquidity for the Co mpany's common shares . It is not a formal market making
agreement and no performance factors are contained in the Agreement. Red Cloud will not receive any shares or
options from the Company as compensation for the services that it will render.
Abasca is pleased to announce the closing of the $1,000,000 non-brokered private placement of 2,000,000 units
of the Company (the “FT Units”) at a price of $0.50 per FT Unit (the “ Offering“), as previously announced in its
news release of May 30, 2023. Each FT Unit c onsisted of one common share of the Company issued as a flow -
through share within the meaning of the Income Tax Act (Canada) and one-half of one common share purchase
warrant (each whole warrant, a “Warrant”), each Warrant entitling the holder thereof to purchase one non-flow-
through common share of the Company at a price of $0.60 per share for a period of 24 months expiring on June
21, 2025. All securities issued in connection with the Offering have a four-month hold period expiring on October
22, 2023.
A corporation controlled by Dawn Zhou, a director of the Company, subscribed for the full Offering and acquired
2,000,000 FT Units. Ms. Zhou is a “related party” within the meaning of Multilateral Instrument 61-101 - Protection
of Minority Security Holders in Special Transactions of the Canadian Securities Administrators (“MI 61 -101”) and
the Offering thereby constituted a “related party transaction” under MI 61-101. The Company is exempt from the
formal valuation requirement pursuant to subsection 5.5(b) of MI 61 - 101 on the basis that the securities of the
Company are listed or quoted on the TSX-V. The Company is also exempt from the minority approval requirement
pursuant to subsection 5.7(1)(b) of MI 61-101 on the basis that: (i) the common shares of the Company are listed
on the TSX-V; (ii) at the time the transaction was agreed to, neither the fair market value of the FT Units distributed
under the Offering nor the consideration to be received for those FT Units, insofar as the transaction involves the
related party, exceeds $2,500,000; (iii) the Company has more than one independent director ; and (iv) at least
two-thirds of the directors of the Company approved the Offering.
No finders’ fees were paid with respect to the Offering.
The gross proceeds of $1 million received from the sale of the FT Units will be used for exploration programs on
the Company’s Key Lake South Uranium Project.
This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities in
the United States of America. The securities have not been and will not be registered under the United States
NEWS RELEASE
Abasca Resources Engages Red Cloud Securities and Closes the Non-Brokered Flow-Through Private
Placement
Abasca Resources Inc. – News Release 2023-05 June 22, 2023
#208 – 211 4th Avenue North, Saskatoon, SK S7K 2L8 Page 2 of 3
Securities Act of 1933 (the “ 1933 Act”) or any state securities laws and may not be offered or sold within the
United States or to U.S. Persons (as defined in the 1933 Act) unless registered under the 1933 Act and applicable
state securities laws, or an exemption from such registration is available.
About Red Cloud Securities Inc.
Red Cloud is registered as an Investment Dealer in Ontario, Quebec, Alberta, Manitoba, Saskatchewan and British
Columbia and is a member of the Canadian Investment Regulatory Organization (CIRO , formerly “IIROC”). It is
focused on providing unique comprehensive capital market services and innovative financing alternatives to the
junior resource sector. Red Cloud was founded by capital markets professionals who designed the firm to service
small public and priv ate companies. This solution is a comprehensive platform that provides a full range of
unconflicted corporate access services. Offering these services as a unified platform provides the ultimate value
proposition for issuer clients.
About Abasca Resources Inc.
Abasca is a mineral exploration company that is primarily engaged in the acquisition and evaluation of mineral
exploration properties. The Company owns the Key Lake South Uranium Project, a 23,977 -hectare uranium
exploration project located in the Athabasca Basin Region in northern Saskatchewan, approximately 15 km south
of the former Key Lake mine and current Key Lake mill.
On behalf of Abasca Resources Inc.
Dawn Zhou, M.Sc, CPA, CGA
President, CEO and Director
For more information visit the Company’s website at https://www.abasca.ca or contact:
Abasca Resources Inc.
Email: [email protected]
Telephone: +1 (306) 933 4261
NEWS RELEASE
Abasca Resources Engages Red Cloud Securities and Closes the Non-Brokered Flow-Through Private
Placement
Abasca Resources Inc. – News Release 2023-05 June 22, 2023
#208 – 211 4th Avenue North, Saskatoon, SK S7K 2L8 Page 3 of 3
Neither the TSX Venture Exchange Inc. nor its Regulation Service Provider (as that term is defined in the policies of
the TSX Venture Exchange Inc.) accepts responsibility for the adequacy or accuracy of this news release.
Forward-Looking Statements
This news release may contain certain forward -looking information and statements (“forward -looking
information”) within the meaning of applicable Canadian securities legislation, that are not ba sed on historical
fact, including without limitation statements containing the words "believes", "anticipates", "plans", "intends",
"will", "should", "expects", "continue", "estimate", "forecasts" and other similar expressions. Readers are
cautioned to not place undue reliance on forward -looking information. Actual results and developments may
differ materially from those contemplated by these statements. Abasca undertakes no obligation to comment on
analyses, expectations or statements made by third -parties in respect of Abasca, its securities, or financial or
operating results (as applicable). Although Abasca believes that the expectations reflected in forward -looking
information in this news release are reasonable, such forward -looking information has bee n based on
expectations, factors and assumptions concerning future events which may prove to be inaccurate and are subject
to numerous risks and uncertainties, certain of which are beyond Abasca’s control, including the risk factors
discussed in the Filing Statement which are incorporated herein by reference and are available through SEDAR at
www.sedar.com. The forward-looking information contained in this news release are expressly qualified by this
cautionary statement and are made as of the date hereof. Abasca disclaims any intention and has no obligation
or responsibility, except as required by law, to update or revise any forward -looking information, whether as a
result of new information, future events or otherwise.