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Surge Copper Announces Closing of C$3.9 Million Private Placement
Vancouver, British Columbia, Jan. 31, 2023 (GLOBE NEWSWIRE) -- Surge Copper Corp. (TSXV: SURG) (OTCQX: SRGXF) (Frankfurt: G6D2) (“Surge” or the “Company”) annou
About this update from Surge Copper Corp.
[{"type":"text","content":" Vancouver, British Columbia, Jan. 31, 2023 (GLOBE NEWSWIRE) -- Surge Copper Corp. (TSXV: SURG) (OTCQX: SRGXF) (Frankfurt: G6D2) (“Surge” or the “Company”) announces that it has closed its previously announced non-brokered private placement (the “Offering”), consisting of a total of 11,539,000 units (the “Units”) issued at a price of $0.13 per Unit and 11,077,000 charity flow-through units (the “CFT Units”) issued at a price of $0.215 per CFT Unit, for total gross proceeds of approximately $3.9 million. Each Unit consists of one common share and one-half of one transferrable common share purchase warrant (each whole such common share purchase warrant, a “Warrant”). Each CFT Unit consists of one charity flow-through common share and one-half of one Warrant to be issued on a non-flow-through basis. Each Warrant shall be exercisable into one additional common share for twelve months from closing at an exercise price of C$0.20 per Warrant. It is anticipated that the net proceeds raised from the Units will be used for the completion of the Preliminary Economic Assessment on the Berg Project and for working capital and general corporate purposes. The aggregate gross proceeds raised from the CFT Units will be used before 2025 for general exploration expenditures which will constitute Canadian exploration expenses within the meaning of subsection 66.1(6) of the Income Tax Act (Canada) (the “Tax Act”), that will qualify as “critical mineral flow through mining expenditures” within the meaning of the Tax Act. The Company paid finders fees totalling approximately $46,260 to PI Financial Corp. and EDE Asset Management Inc. in connection with the Offering. Subject to compliance with applicable regulatory requirements and in accordance with National Instrument 45-106 Prospectus Exemptions (“NI 45-106”), the Offering was completed pursuant to the listed issuer financing exemption under Part 5A of NI 45-106 (the “Listed Issuer Financing Exemption”). Except those Units sold to insiders of the Company (discussed below), the Units and CFT Units offered under the Listed Issuer Financing Exemption will not be subject to a hold period pursuant to applicable Canadian securities laws. Insiders of the Company subscribed for a total of 1,926,613 Units. The participation of insiders in the Offering constitutes a “related party transaction”, within th...