Power Nickel Announces C$2 Million Private Placement
POWER NICKEL ANNOUNCES C$2 MILLION
PRIVATE PLACEMENT
TORONTO
,
April 4, 2024
/CNW/ - Power Nickel Inc. (the "
Company
" or "
Power Nickel
") (TSXV: PNPN)
(OTCBB: PNPNF) (Frankfurt: IVVI) is pleased to announce that it plans to complete a Private Placement (the
"
Offering
") for up to 10 Million common shares of the Company, at a price of
$0.20
per share, for gross
proceeds of CAD
$2,000,000
. The Company has received conditional TSX Venture Exchange ("
TSXV
") approval
for the Private Placement.
"We are pleased to announce we have secured commitments to close this financing and that closing is expected
to take place next week. These are challenging market conditions but we are making such great progress we just
must keep going. I sincerely believe this financing will be the last done at these levels and that junior mining
markets are entering a turnaround phase. At Power Nickel in particular, we have had a series of announcements
about our ongoing exploration programs and their positive results and expect to report more on that
shortly", commented Power Nickel CEO
Terry Lynch
.
The financing is non-brokered but certain brokerage fees and / or finder fees payable in cash and /or finder
warrants, may be paid in accordance with applicable securities law and TSXV policies.
Funds will be used for general corporate purposes and in particular will fund specific investor communications
programs.
In the past twelve months we have spent approximately
$500,000
on awareness and investor communications
programs and have hired Agoracom, The DeeperDive, Investor Intel, 6ix, Prodoscomi Inc, National Inflation
Association and Proactive Media to provide such services. It is expected that in 2024 we would have similar or
possibly larger budgets for these services and activities. The relevant agreements will, where applicable and
required by TSXV policies, be filed for TSXV approval, if the services provided under such agreements constitute
"investor relations activities" under TSXV policies.
About Power Nickel Inc.
Power Nickel is a Canadian junior exploration company focusing on developing the High-Grade Nisk project into
Canada's
first Carbon Neutral Nickel mine.
On
February 1, 2021
, Power Nickel (then called Chilean Metals) completed the acquisition of its option to acquire
up to 80% of the Nisk project from Critical Elements Lithium Corp. (CRE: TSXV). Subsequently, Power Nickel has
exercised its option to acquire 50% of the Nisk Project and delivered notice to Critical Elements that it intends to
exercise its second option to bring its ownership to 80%. The last remaining commitment to exercise the option
was the delivery of a NI-43-101 Technical report which has now occurred.
The Nisk property comprises a significant land position (20 kilometers of strike length) with numerous high-grade
intercepts. Power Nickel is focused on expanding the historical high-grade nickel-copper PGE mineralization with a
series of drill programs designed to test the initial Nisk discovery zone and to explore the land package for
adjacent potential Nickel deposits.
In addition to the Nisk project, Power Nickel owns significant land packages in British
Colombia
and
Chile
. Power
Nickel is expected to reorganize these assets in a related vehicle through a plan of arrangement.
Power Nickel announced on
June 8, 2021
, that an agreement had been made to complete the 100% acquisition of
its
Golden Ivan
project in the heart of the Golden Triangle. The Golden Triangle has reported mineral resources
(past production and current resources) in 130 million ounces of gold, 800 million ounces of silver, and 40 billion
pounds of copper (Resource World). This property hosts two known mineral showings (gold ore and Magee) and
a portion of the past-producing Silverado mine, reportedly exploited between 1921 and 1939. These mineral
showings are Polymetallic veins containing quantities of silver, lead, zinc, plus/minus gold, and plus/minus copper.
Power Nickel is also 100 percent owner of five properties comprising over 50,000 acres strategically located in
the prolific iron-oxide-copper-gold belt of northern
Chile
. It also owns a 3-per-cent NSR royalty interest on any
future production from the Copaquire copper-molybdenum deposit sold to a subsidiary of Teck Resources Inc.
Under the terms of the sale agreement, Teck has the right to acquire one-third of the 3-per-cent NSR for
$3
million
at any time. The Copaquire property borders Teck's producing Quebrada Blanca copper mine in
Chile's
first region.
For further information, readers are encouraged to contact:
Power Nickel Inc. The Canadian Venture Building
82 Richmond St East, Suite 202
Toronto, ON
Cautionary Note Regarding Forward-Looking Statements
This message contains certain statements that may be deemed "forward-looking statements" concerning the
Company within the meaning of applicable securities laws. Forward-looking statements are statements that are
not historical facts and are generally, but not always, identified by the words "expects," "plans," "anticipates,"
"believes," "intends," "estimates," "projects," "potential," "indicates," "opportunity," "possible" and similar
expressions, or that events or conditions "will," "would," "may," "could" or "should" occur. Although the Company
believes the expectations expressed in such forward-looking statements are based on reasonable assumptions,
such statements are not guarantees of future performance, are subject to risks and uncertainties, and actual
results or realities may differ materially from those in the forward-looking statements. Such material risks and
uncertainties include, but are not limited to, among others, the timing for the Company to close the private
placement or risk that such transactions do not close at all; raise sufficient capital to fund its obligations under its
property agreements going forward; to maintain its mineral tenures and concessions in good standing; to explore
and develop its projects; changes in economic conditions or financial markets; the inherent hazards associates
with mineral exploration and mining operations; future prices of nickel and other metals; changes in general
economic conditions; accuracy of mineral resource and reserve estimates; the potential for new discoveries; the
ability of the Company to obtain the necessary permits and consents required to explore, drill and develop the
projects and if accepted, to obtain such licenses and approvals in a timely fashion relative to the Company's plans
and business objectives for the applicable project; the general ability of the Company to monetize its mineral
resources; and changes in environmental and other laws or regulations that could have an impact on the
Company's operations, compliance with environmental laws and regulations, dependence on key management
personnel and general competition in the mining industry.
Neither the TSX Venture Exchange nor its Regulation Services Provider accepts responsibility for the adequacy
or accuracy of this release.
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SOURCE
Power Nickel Inc.
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%SEDAR: 00007586E
For further information:
on Power Nickel Inc., please contact: Mr. Duncan Roy, VP Investor Relations, 416-580-
3862, [email protected]
CO: Power Nickel Inc.
CNW 03:00e 04-APR-24