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Fireweed Zinc Closes $5.18 Million Private Placement
VANCOUVER, British Columbia, Dec. 08, 2021 (GLOBE NEWSWIRE) -- FIREWEED ZINC LTD. (“Fireweed” or the “Company”) (TSXV: FWZ; OTCQB: FWEDF; FSE: 20F) is pleased t
About this update from Fireweed Metals Corp.
[{"type":"text","content":" VANCOUVER, British Columbia, Dec. 08, 2021 (GLOBE NEWSWIRE) -- FIREWEED ZINC LTD. (“Fireweed” or the “Company”) (TSXV: FWZ; OTCQB: FWEDF; FSE: 20F) is pleased to announce closing of the non-brokered private placement (the “Offering”) first announced November 24, 2021 for total gross proceeds of CAD$5,178,400. The Offering consisted of 6,473,000 flow-through common shares of the Company at a price of CAD$0.80 per share (“Flow-Through Shares”). Highlights $5.18 million Offering, substantially over-subscribed over initial $3.6M opening Financing will allow Fireweed to secure service contractors including drillers early for the 2022 Macmillan Pass Project (Yukon) work program Fireweed CEO Brandon Macdonald stated, “Thanks to strong investor demand we are able to close this financing on proceeds 45% higher than what we opened on despite challenging market conditions. We felt it was important to raise money early for next season because it is expected that there will again be a shortage of drillers and other service contractors. Having money in the bank now allows us first choice of the best contractors for next year and will allow our highly skilled technical team ample time to plan an effective 2022 exploration program.” The proceeds from the Offering will be used for exploration of the Company’s Macmillan Pass Project in Yukon, Canada; and specifically will be used to incur Canadian Exploration Expenses (“CEE”) that qualify as “flow-through mining expenditures” under the Income Tax Act (Canada), all of which will be renounced to investors. The Company will pay finders fees in compliance with the policies of the TSX Venture Exchange and applicable securities legislation, to arm’s length finders in connection with subscriptions from subscribers introduced by them, totaling $103,704 and 129,630 warrants exercisable for 12 months from the date of issuance to acquire common shares of the Company at an exercise price of $0.70 per share. Insiders of the Company acquired an aggregate of 22,500 Flow Through Shares in the Offering, which participation constituted a \"related party transaction\" as defined under Multilateral Instrument 61-101 Protection of Minority Security Holders in Special Transactions (“MI 61-101”). Such participation is exempt from the formal valuation and minority shareholder approval requirements of MI 61-...