Business
Churchill Resources Announces Closing of Private Placement of Flow-Through Shares
TORONTO, June 14, 2023 (GLOBE NEWSWIRE) -- Churchill Resources Inc. (“Churchill” or the “Company”) (TSXV: CRI) is pleased to announce the completion of a non-br
About this update from Churchill Resources Inc
[{"type":"text","content":" TORONTO, June 14, 2023 (GLOBE NEWSWIRE) -- Churchill Resources Inc. (“Churchill” or the “Company”) (TSXV: CRI) is pleased to announce the completion of a non-brokered private placement (the “Offering”) which consisted of the sale of 10,604,546 common shares in the capital of the Company, issued on a “flow-through” basis (each, an “FT Share”) within the meaning of the Income Tax Act (Canada) (the “Tax Act”) at a price of C$0.11 per FT Share, for aggregate gross proceeds of approximately $1,166,500. The Company intends to use the gross proceeds from sale of the FT Shares for exploration activities on the Company's key projects located in Newfoundland and Labrador and to incur eligible Canadian Exploration Expenses (within the meaning of the Tax Act) that will qualify for the federal 30% Critical Mineral Exploration Tax Credit. “Churchill CEO Paul Sobie remarked: “We are very pleased to announce the completion of this financing, which is appropriately sized to enable Churchill to meaningfully advance our near-term exploration objectives for this coming field season, all while protecting our capital structure in the context of the current market environment. In particular, field crews are expected to mobilize to our Taylor Brook Project next week, and commence working towards our previously announced target generation, BHEM and drilling program. Our field crews will also be mobilizing to the Florence Lake Project later this month.” The Company paid a cash fee to a certain eligible finder of 5.0% of the aggregate gross proceeds of subscriptions facilitated by such finder pursuant to the Offering. The FT Shares issued pursuant to the Offering are subject to a statutory hold period of four months and one day. Mr. Paul Sobie, President and Chief Executive Officer of the Company acquired 90,910 FT Shares in connection with the Offering. Following the completion of the Offering, Mr. Sobie owns, directly or indirectly, approximately 3.8% of the issued and outstanding common shares of the Company on a non-diluted basis. Participation by Mr. Sobie in the Offering was considered a “related party transaction” pursuant to Multilateral Instrument 61-101 – Protection of Minority Security Holders in Special Transactions (“MI 61-101”). The Company was exempt from the requirements to obtain a formal valuation or minority share...