Purepoint Uranium Group Inc. Closes its Private Placement
Purepoint Uranium Group Inc. Closes its
Private Placement
/NOT FOR DISSEMINATION IN
THE UNITED STATES
OR THROUGH U.S. NEWSWIRE
SERVICES/
TORONTO
,
Dec. 18, 2020
/CNW/ - Purepoint Uranium Group Inc. (TSXV: PTU) ("
Purepoint
" or the
"
Company
") is pleased to announce the closing of its non-brokered private placement (the "
Private
Placement
") previously announced on
December 1, 2020
. In connection with the closing, the
Company issued 30,170,000 flow-through units ("
Flow-Through Units
") and 8,338,000 hard-dollar
units ("
Common Share Units
") both at a price of
$0.05
per unit for aggregate gross proceeds of
$1,925,400
. Each Flow-Through Unit consists of one common share in the capital of the Company
issued on a "flow through" basis pursuant to the
Income Tax Act
(
Canada
) and one common share
purchase warrant. Each Common Share Unit consists of one common share in the capital of the
Company and one common share purchase warrant. Each warrant entitles its holder to purchase
one common share in the capital of the Company at an exercise price of
$0.08
per share for a
period of 24 months from the date of issuance. The closing is subject to final acceptance by the TSX
Venture Exchange of the Private Placement.
In connection with the closing of the private placement, the Company paid certain finders' fees
consisting of, in aggregate,
$57,060
in cash and 1,214,400 non-transferable compensation warrants.
Each compensation warrant entitles its holder to purchase one common share in the capital of the
Company at an exercise price of
$0.08
per share for a period of 24 months after the closing date.
The net proceeds of the Private Placement of Flow-Through Units will be used to advance the
Company's Hook Lake exploration program in
Saskatchewan
and the net proceeds of the Private
Placement of Common Share Units will be used for the Company's working capital. All securities
issued in connection with the closing of the Private Placement are subject to a four-month hold
period pursuant to the applicable securities laws with an expiry date of
April 18
, 2021.
About Purepoint
Purepoint Uranium Group Inc. is focused on the precision exploration of its ten projects in the
Canadian Athabasca Basin, the world's richest uranium region. Established in the
Athabasca
Basin
well before the initial resurgence in uranium earlier last decade, Purepoint's flagship project is the
Hook Lake Project, a joint venture with two of the largest uranium suppliers in the world, Cameco
Corporation and Orano Canada Inc. The Hook Lake JV is on trend with recent high-grade uranium
discoveries including Fission Uranium's Triple R Deposit, NexGen's Arrow Deposit and Purepoint's
Spitfire discovery.
Neither the Exchange nor its Regulation Services Provider (as that term is defined in the
policies of the Exchange) accepts responsibility for the adequacy or accuracy of this Press
release.
SOURCE
Purepoint Uranium Group Inc.
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For further information:
Chris Frostad, President & CEO, Phone: (416) 603-8368, Email:
CO: Purepoint Uranium Group Inc.
CNW 16:15e 18-DEC-20