Power Nickel Announces C$5 Million Private Placement
Power Nickel Announces C$5 Million Private Placement
TORONTO, ON / ACCESSWIRE / March 12, 2023 / Power Nickel Inc. (the "Company" or
"Power Nickel") (TSX-V:PNPN)(OTCBB:PNPNF)(Frankfurt:IVVI) is pleased to announce a
proposed private placement (the "Offering") of up to 10,000,000 flow-through units (each, an
"FT Unit") of the Company, at a price of $0.50 per FT Unit, for aggregate gross proceeds of up
to CAD $5,000,000.
Each FT Unit will be composed of one common share of the Company that qualifies as a "flow-
through share" (each, a "FT Share"), for purposes of the Income Tax Act (Canada) (the "ITA"),
and one-half of one transferable non-flow-through common share purchase warrant (each whole,
being a "Warrant"). Each Warrant will be exercisable into one non-flow-through common share
(each, a "Warrant Share") at exercise price of $0.50 per Warrant Share for a period of five
years from the date of issuance. All securities issued under the Private Placement will be subject
to a four-month and one-day statutory hold period.
The Warrants will be subject to an acceleration clause which entitles the Company to provide
notice (the "Acceleration Notice") to holders that the Warrants will expire 30 days from the date
the Company provides the Acceleration Notice. The Company can only provide the Acceleration
Notice if the closing price of the Company's Common Shares on the TSX Venture Exchange is
equal to or greater than $1.00 for 10 consecutive trading days. The Acceleration Notice can be
provided at any time after the statutory hold period and before the expiry date of the Warrants.
The Company intends to use the gross proceeds from 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 Private Placement is subject to TSX Venture Exchange ("TSXV") approval. The Company
may pay finder's fees as permitted by applicable securities laws and the rules of the TSXV.
About Power Nickel Inc.
Power Nickel is a Canadian junior exploration company focusing on high-potential copper, gold,
and battery metal prospects in Canada and Chile.
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)
The NISK property comprises a large land position (20 kilometers of strike length) with
numerous high-grade intercepts. Power Nickel is focused on expanding its current high-grade
nickel-copper PGE mineralization Ni 43- 101 resource 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.
Highlights
Recent assay results from the current drill program at the Nisk deposit continue to return high-
grade Ni-Cu- Co sulfide and PGE mineralization.
Significant results from this batch of assays include:
40.3m @ 0.88% Ni, 0.56% Cu, 0.06% Co, 1.64 ppm Pd and 0.15 ppm Pt (PN-22-009)
Including:
25.86m @ 1.17% Ni, 0.80% Cu, 0.08% Co, 1.46 ppm Pd and 0.23 ppm Pt
Power Nickel announced on June 8th, 2021 that an agreement has 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 a total of 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, which was reportedly exploited between 1921 and 1939.
These mineral showings are described to be Polymetallic veins that contain 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, which was 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, please contact:
Mr. Terry Lynch, CEO
647-448-8044, [email protected]
Power Nickel Inc.
The Canadian Venture Building
82 Richmond St East, Suite 202
Toronto, ON
Media Contact
Name: Terry Lynch
Email: [email protected]
Website: www.powernickel.com
Neither the 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 Statements
This news release contains certain statements that may be deemed "forward-looking statements"
with respect to 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
forwardlooking statements. Such material risks and uncertainties include, but are not limited to,
the Company's ability to raise sufficient capital to fund its planned activities at the NISK
Property and for general working capital purposes; the timing for proposed closing of the
Private Placement; the timing and costs of future activities on the Company's properties,
including preparing the Amended Technical Report; maintaining its mineral tenures and
concessions in good standing; changes in economic conditions or financial markets; the inherent
hazards associates with mineral exploration and mining operations; future prices of 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 obtained, to obtain such
permits and consents in a timely fashion relative to the Company's plans and business objectives
for the projects; 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. Forward-looking
statements are based on the reasonable beliefs, estimates and opinions of the Company's
management on the date the statements are made. Except as required by law, the Company
undertakes no obligation to update these forward-looking statements in the event that
management's beliefs, estimates or opinions, or other factors, should change.
SOURCE: Power Nickel Inc.