Appia Announces Closing of $1,070,000 Non-Brokered Private Placement
Appia Announces Closing of $1,070,000 Non-
Brokered Private Placement
Toronto, Ontario--(Newsfile Corp. - October 30, 2024) -
Appia Rare Earths & Uranium Corp. (CSE:
API) (OTCQX: APAAF) (FSE: A0I0) (MUN: A0I0) (BER: A0I0) (the "Company" or "Appia")
further
to its press release of October 22, 2024, Appia is pleased to announce the closing of its non-brokered
private placement for an increased amount of 9,531,250 working capital units (the "
WC Units
") of the
Company at a price of $0.08 per WC Unit for
$762,500 (the "
WC Offering
") and 3,075,000 critical
mineral flow-through units ("
FT Units
") at a price of $0.10 per FT Unit for $307,500 (the "
FT Offering
"
and together with the WC Offering the "
Offering
") for total gross proceeds of $1,070,000.
Each WC Unit consists of one (1) common share of the Company priced at $0.08 per common share
and one (1) common share purchase warrant (a "
WC Warrant
"). Each WC Warrant entitles the holder to
purchase one (1) common share (a "
WC Warrant Share")
at a price of $0.15 until the earlier of October
29, 2026
;
and (ii) in the event that the closing price of the Common Shares on the Canadian Securities
Exchange is at least $0.25 for ten (10) consecutive trading days, and the 10th trading day (the "
Final
Trading Day")
is at least four (4) months from October 29, 2024, the date which is thirty (30) days from
the Final Trading Day (the "
Trigger Date").
Each FT Unit consists of one (1) flow-through Common Share ("
FT Share
") priced at $0.10 per FT
Share and one (1) common share purchase warrant (a "
Warrant")
with each Warrant entitling the holder
to acquire one (1) common share of the Company (a "
Warrant Share")
at a price of $0.15 until the
earlier of October 29, 2026; and (ii) the Trigger Date.
Eligible Finders were paid $3,660 in cash and issued 45,750 broker warrants in relation to the sale of
WC Units. Each broker warrant issued entitles the holder to acquire one (1) common share of the
Company at a price of $0.08 until October 29, 2026. Securities issued on the Offering will be subject to a
resale restriction expiring on March 1, 2025.
One insider has subscribed for 875,000 WC Units and 2,500,000 FT Units for aggregate proceeds of
$320,000 ($70,000 as to the WC Offering and $250,000 as to the FT Offering). The insider private
placement is exempt from the valuation and minority shareholder approval requirements of Multilateral
Instrument 61-101 ("
MI 61-101")
by virtue of the exemptions contained in sections 5.5(a) and 5.7(1) (a)
of MI 61-101 in that the fair market value of the consideration for the securities of the Company issued to
the insider does not exceed 25% of its market capitalization.
Proceeds from the WC Offering will be used for general working capital and funding for exploration of the
Company's PCH Project in Brazil.
The gross proceeds from the FT Offering will be used for Canadian Exploration Expenses (within the
meaning of the Income Tax Act (Canada) (the "
Tax Act
")) which qualify as a "flow-through critical mineral
mining expenditure" for purposes of the Tax Act related to the exploration program of the Company to be
conducted on the Company's properties located in Saskatchewan. The Company will renounce such
Canadian Exploration Expenses with an effective date of no later than December 31, 2024. The
Canadian Exploration Expenses to be renounced by the Company will qualify for the critical mineral
exploration tax credit under the Tax Act.
The securities described herein have not been, and will not be, registered under the United States
Securities Act of 1933, as amended (the "
U.S. Securities Act
"), or any state securities laws, and
accordingly, may not be offered or sold within the United States except in compliance with the
registration requirements of the U.S. Securities Act and applicable state securities requirements or
pursuant to exemptions therefrom. This press release does not constitute an offer to sell or a solicitation
to buy any securities in any jurisdiction.
About Appia Rare Earths & Uranium Corp. (Appia)
Appia is a publicly traded Canadian company in the rare earth element and uranium sectors. The
Company holds the right to acquire up to a 70% interest in the PCH Ionic Adsorption Clay Project (See
June 9th, 2023 Press Release - Click
HERE
) which is 40,963.18 ha. in size and located within the Goiás
State of Brazil. (See January 11th, 2024 Press Release -
Click HERE
) The Company is also focusing on
delineating high-grade critical rare earth elements and gallium on the Alces Lake property, and exploring
for high-grade uranium in the prolific Athabasca Basin on its Otherside, Loranger, North Wollaston, and
Eastside properties. The Company holds the surface rights to exploration for 94,982.39 hectares
(234,706.59 acres) in Saskatchewan. The Company also has a 100% interest in 13,008 hectares
(32,143 acres), with rare earth elements and uranium deposits over five mineralized zones in the Elliot
Lake Camp, Ontario.
Appia has 149.4 million common shares outstanding, 170.8 million shares fully diluted.
Cautionary note regarding forward-looking statements: This News Release contains forward-looking
statements which are typically preceded by, followed by or including the words "believes", "expects",
"anticipates", "estimates", "intends", "plans" or similar expressions. Forward-looking statements are
not a guarantee of future performance as they involve risks, uncertainties and assumptions. We do
not intend and do not assume any obligation to update these forward-looking statements and
shareholders are cautioned not to put undue reliance on such statements.
Neither the Canadian Securities Exchange nor its Market Regulator (as that term is defined in the
policies of the CSE) accepts responsibility for the adequacy or accuracy of this release.
For more information, visit
www.appiareu.com
As part of our ongoing effort to keep investors, interested parties and stakeholders updated, we have
several communication portals. If you have any questions online (
X
,
,
) please feel
free to send direct messages.
To book a one-on-one 30-minute Zoom video call, please
click here
.
Contact:
Tom Drivas, CEO and Director
(c) (416) 876-3957
(e)
Stephen Burega, President
(c) (647) 515-3734
(e)
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THE UNITED STATES
To view the source version of this press release, please visit
https://www.newsfilecorp.com/release/228316