Clean AIR Metals Announces Upsizing of Previously Announced Best Efforts Private Placement to $12.5 Million
CLEAN AIR METALS ANNOUNCES UPSIZING
OF PREVIOUSLY ANNOUNCED BEST
EFFORTS PRIVATE PLACEMENT TO $12.5
MILLION
/ NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES
OR FOR DISSEMINATION IN
THE
UNITED STATES
/
THUNDER BAY, ON
,
Jan. 31, 2022
/CNW/ - Clean Air Metals Inc. ("
Clean Air Metals
" or the
"
Company
") (TSXV: AIR) (OTCQB: CLRMF) (FRA: CKU) is pleased to report that in connection
with its previously announced "best efforts" private placement offering, the Company and a syndicate
of agents led by Paradigm Capital Inc. (the "
Lead Agent
"), and including Beacon Securities Inc.,
Echelon Wealth Partners Inc., and Hannam & Partners (collectively, the "
Agents
"), have agreed to
increase the size of the offering to total gross proceeds of
$12.5 million
("
The Offering
"). The
Company will now issue (i) 23,150,400 flow-through units ("
FT Units
"), of which 10,869,600 will be
issued at a price of
$0
.23 per FT Unit (the "
FT Issue Price"
) and 12,280,800 of which will be issued
at a price of
$0.285
(the "
Premium
FT Issue Price"
), and (ii) 32,250,000 non-flow-through units
("
Units
") at a price of
$0.20
per Unit (the "
Unit Issue Price
").
Each FT Unit will consist of one common share of the Company and one common share purchase
warrant (each whole common share purchase warrant a "
Warrant
") that will each qualify as a flow-
through share (within the meaning of subsection 66(15) of the Income Tax Act (
Canada
)).
Each Unit will consist of one non-flow-through common share of the company and one Warrant.
Each Warrant will entitle the holder thereof to acquire one common share of the Company at a price
of
$0.25
for a period of 2 years following the closing of the Offering.
The Company will use an amount equal to the gross proceeds received by the Company from the
sale of the FT Units 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
Ontario
. All Qualifying
Expenditures will be renounced in favour of the subscribers of the FT Units effective
December 31,
2022
.
The Offering is expected to close on or about
February 23, 2022
and is subject to certain closing
conditions including, but not limited to, the receipt of all necessary approvals including the conditional
listing approval of the TSX Venture Exchange and the applicable securities regulatory authorities.
The securities offered have not been registered under the U.S. Securities Act of 1933, as amended,
and may not be offered or sold in
the United States
absent registration or an applicable exemption
from the registration requirements. This press 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 any State in which such
offer, solicitation or sale would be unlawful.
About Clean Air Metals Inc.
Clean Air Metals' flagship asset is the 100% owned, high grade Thunder Bay North Project, a
platinum, palladium, copper, nickel project located near the
City of Thunder Bay, Ontario
and the Lac
des Iles Mine owned by Impala Platinum. The Thunder Bay North Project hosts the twin magma
conduit bodies which host Current and Escape deposits forming the basis for a positive preliminary
economic assessment around a ramp access underground mine reported
December 1, 2021
.
Executive Chair
Jim Gallagher
and CEO
Abraham Drost
lead an experienced team of geologists and
engineers who are using the Norilsk magma conduit stratigraphic and mineral deposit model to guide
ongoing exploration and development studies at Thunder Bay North. As the former CEO of North
American Palladium Ltd. which owned the Lac des Iles Mine prior to the sale to Impala Platinum in
December 2019
,
Jim Gallagher
and team are credited with the mine turnaround and creation of
significant value for shareholders.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined
in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or
accuracy of this release.
Cautionary Note Regarding Forward-Looking Information
The information contained herein contains "forward-looking statements" within the meaning of
applicable securities legislation. Forward-looking statements relate to information that is based on
assumptions of management, forecasts of future results, and estimates of amounts not yet
determinable. Any statements that express predictions, expectations, beliefs, plans, projections,
objectives, assumptions or future events or performance are not statements of historical fact and
may be "forward-looking statements." Forward-looking statements in this press release include
statements related to the TSXV approval, use of proceeds of the Offering, tax treatment of the flow-
through shares and flow-through units, and renunciation of the Qualifying Expenditures are subject to
a variety of risks and uncertainties which could cause actual events or results to differ from those
reflected in the forward-looking statements, including, without limitation: risks related to, risk related
to the failure to obtain adequate financing on a timely basis and on acceptable terms; risks related to
the outcome of legal proceedings; political and regulatory risks associated with mining and
exploration; risks related to the maintenance of stock exchange listings; risks related to
environmental regulation and liability; the potential for delays in exploration or development activities
or the completion of feasibility studies; the uncertainty of profitability; risks and uncertainties relating
to the interpretation of drill results, the geology, grade and continuity of mineral deposits; risks
related to the inherent uncertainty of production and cost estimates and the potential for unexpected
costs and expenses; results of prefeasibility and feasibility studies, and the possibility that future
exploration, development or mining results will not be consistent with the Company's expectations;
risks related to commodity price fluctuations; and other risks and uncertainties related to the
Company's prospects, properties and business detailed elsewhere in the Company's disclosure
record. Should one or more of these risks and uncertainties materialize, or should underlying
assumptions prove incorrect, actual results may vary materially from those described in forward-
looking statements. Investors are cautioned against attributing undue certainty to forward-looking
statements. These forward-looking statements are made as of the date hereof and the Company
does not assume any obligation to update or revise them to reflect new events or circumstances,
except in accordance with applicable securities laws. Actual events or results could differ materially
from the Company's expectations or projections.
SOURCE
Clean Air Metals Inc.
View original content:
http://www.newswire.ca/en/releases/archive/January2022/31/c4800.html
%SEDAR: 00005465E
For further information:
Abraham Drost, Chief Executive Officer of Clean Air Metals Inc., Phone:
807-252-7800, Email: [email protected], Website: www.cleanairmetals.ca
CO: Clean Air Metals Inc.
CNW 15:37e 31-JAN-22