Power Nickel Announces C$2.25 Million Private Placement
Power Nickel Announces C$2.25 Million Private Placement
TORONTO, ON / August 3, 2023 / Power Nickel Inc. (the "Company" or "Power Nickel")
(TSXV:PNPN)(OTCQB:PNPNF)(Frankfurt:IVVI) is pleased to announce a proposed private
placement (the "Offering") of up to 4,500,000 flow-through shares (each, an "FT Share") of the
Company, for $0.50 per FT Share, for aggregate gross proceeds of up to CAD 2,250,000.
Each FT Share will be composed of one common share of the Company that qualifies as a "flow-
through share" (each, an "FT Share") for purposes of the Income Tax Act (Canada) (the
"ITA"). All securities issued under the Private Placement will be subject to a four-month and
one-day statutory hold period.
The Company intends to use the gross proceeds from the sale of the FT Shares for exploration
activities on the Company's NISK property located in Quebec and to incur eligible Canadian
exploration expenses, within the meaning of the ITA, that will qualify for the federal 30%
Critical Mineral Exploration Tax Credit.
The Company has signed subscription forms and expects to close the deal in early August. The
Private Placement is subject to TSX Venture Exchange ("TSXV") approval.
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 activate this exercise of the option is the
delivery of a NI-43-101 Technical report which is anticipated to occur at the latest in Q4 2023.
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 public 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 on Power Nickel Inc., please contact:
Mr. Terry Lynch, CEO
647-448-8044
For further information, readers are encouraged to contact:
Power Nickel Inc.
The Canadian Venture Building
82 Richmond St East, Suite 202
Toronto, ON
Neither the TSX Venture Exchange nor it's Regulation Services Provider accepts responsibility
for the adequacy or accuracy of this release.
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 the second Nisk option 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.
SOURCE: Power Nickel Inc.