Business
High Power Exploration and Fjordland Execute a Non-Binding Term Sheet for a Proposed Private Placement and Concurrent Funding for the South Voisey's Bay Nickel-Copper-Cobalt Project in Labrador
Vancouver, British Columbia--(Newsfile Corp. - August 28, 2017) - Fjordland Exploration Inc. ...
About this update from Fjordland Exploration Inc.
[{"type":"text","content":"High Power Exploration and Fjordland Execute a Non-Binding Term Sheet for a Proposed Private Placement and Concurrent Funding for the South Voisey's Bay Nickel-Copper-Cobalt Project in LabradorFjordland Proposes to Raise up to $1.7 million in New Funding from High Power Exploration and Other SubscribersVancouver, British Columbia--(Newsfile Corp. - August 28, 2017) - Fjordland Exploration Inc. (TSXV: FEX) reports it plans to raise up to $1.7 million through a non-brokered private placement (the \"Private Placement\") consisting of flow-through units (\"FT Units\") at a price of $0.125 per FT Unit and non flow-through units (\"Units\") at a price of $0.10 per Unit, at the option of the subscriber. In addition, Fjordland reports that it has executed a non-binding term sheet with High Power Exploration Inc. (\"HPX\"), a private mineral exploration company in which mining entrepreneur Robert Friedland is Co-Chair, Chief Executive Officer and a significant stakeholder.The non-binding term sheet forms the basis for establishing a strategic partnership with HPX. Under the term sheet, HPX, through an affiliate, would purchase 14 million Units of the Private Placement at a price of $0.10 per Unit for a total HPX subscription of $1.4 million. HPX also would fund, on behalf of Fjordland, the next $7.4 million of exploration expenditures and cash payments of $290,000, required to be made by Fjordland under its obligations under the South Voisey's Bay Letter Of Intent with Commander Resources Ltd. (\"Commander\") described below. The transactions with HPX remain subject to completion of HPX's due diligence investigations and to the execution of definitive binding agreements. Fjordland has provided HPX a 60 day exclusivity period to complete these matters, although they are far advanced, and both parties are targeting execution of definitive binding agreements on or about September 5, 2017.Given this announcement, Fjordland will not proceed with a second tranche of the private placement announced on July 24, 2017. Terms of the Private Placement Each Unit and FT Unit in the Private Placement will consist of one common share of the Company (the \"Common Shares\") and one-half of one share purchase warrant (the \"Warrants\"). Each whole Warrant will entitle the holder to purchase one additional Common Share at a price of $0.20 per Common Share f...