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Fireweed Metals Announces $16.8 Million Financing with Key Shareholders
VANCOUVER, British Columbia, Aug. 10, 2023 (GLOBE NEWSWIRE) -- FIREWEED METALS CORP. (“Fireweed” or the “Company”) (TSXV: FWZ; OTCQB: FWEDF; formerly Fireweed Z
About this update from Fireweed Metals Corp.
[{"type":"text","content":" VANCOUVER, British Columbia, Aug. 10, 2023 (GLOBE NEWSWIRE) -- FIREWEED METALS CORP. (“Fireweed” or the “Company”) (TSXV: FWZ; OTCQB: FWEDF; formerly Fireweed Zinc Ltd.) is pleased to announce a non-brokered private placement (the “Offering”) for gross proceeds of up to CAD$16,800,000. Highlights The Offering is being made available to key existing shareholders with lead orders from the Lundin Family, Larry Childress, and others. The price of the Offering will be $1.92 per share, a significant premium to the current market price limiting dilution. There is no intention to upsize the Offering. The Lundin Family, through their Trusts, have indicated their intention of subscribing to any amount of the Offering that remains unallocated; This participation retains them collectively as Fireweed’s largest shareholder. The Offering will provide Fireweed with capital to significantly expand the large 2023 drill program on the Company’s projects and lay the groundwork for an even larger 2024. CEO Statement Brandon Macdonald, CEO, stated “Our 2023 drill program is well underway and ahead of schedule. With expanded and winterized capacity in place at our Macmillan Pass camp, and five drills on site, we are seizing the opportunity to expand our program by as much as 50% or more. This will not only mean a substantial increase in drill results, but also result in improved data to support future resource updates and economic studies. It is a huge vote of confidence in our Geology and Operations teams that our key shareholders will back them to expand an already large program.” The Offering The Offering consists of 8,750,000 flow-through common shares of the Company at a price of CAD$1.92 per share through a charitable donation arrangement (“Premium Flow-through Shares”). The proceeds from the Offering will be used for exploration and development of the Company’s projects in northern Canada. The gross proceeds from the issuance of all Premium Flow-through Shares will be used on the Company’s projects to incur Canadian Exploration Expenses (“CEE”) which will qualify as “flow-through critical mineral mining expenditures” under the Income Tax Act (Canada). These expenses will be renounced by the Company to the purchasers of Premium Flow-through Shares with an effective date no later than December 31, 2023 in an aggregate amount no less than the pr...