Baselode Energy Corp (TSX-V:FIND, OTCQB:BSENF) has announced plans to raise up to $7.5 million to put towards exploration at its Athabasca Basin uranium projects.
The Canadian explorer said it will undertake a "best efforts" private placement offering, with Red Cloud Securities acting as the lead agent and sole bookrunner for the offering.
The private placement comprises three categories of securities—units, flow-through units, and charity flow-through units. Baselode aims to sell up to 3,700,049 units at a price of C$0.405405 per unit, potentially yielding gross proceeds of up to C$1.5 million.
Additionally, the company plans to offer up to 4,166,667 flow-through units at C$0.48 per unit, with potential gross proceeds of up to C$2 million. Baselode is also considering the sale of up to 6,666,667 charity flow-through units at a price of C$0.60 per unit, with gross proceeds of up to C$4 million.
Each regular unit and flow-through unit consists of one common share issued as a "flow-through share" and one-half of a common share purchase warrant.
Investors participating in this private placement will have the opportunity to purchase additional common shares at a price of C$0.60 per share through the accompanying warrants, valid for up to 24 months following the offering's closing date.
Baselode Energy holds complete control over a substantial land package, covering approximately 264,172 hectares in the Athabasca Basin area, free from any option agreements or underlying royalties. Notably, the company made a significant discovery in September 2021—ACKIO, a near-surface, high-grade uranium deposit with substantial dimensions and ongoing exploration potential.
The anticipated closing date for the offering is on or around October 16, 2023.