Western Magnesium Corporation has announced plans for a non-brokered private placement to raise gross proceeds of up to C$$2,070,313.
Western Magnesium said the net proceeds of the offering will be used for working capital and to complete the company’s commercialized pilot plant.
Each unit will consist of one Western Magnesium common share, issued at a price of C$0.55 per share, plus one common share purchase warrant, which can be used to purchase one company common share, at a price of C$0.65 per share, for a period of 18 months.
READ: Western Magnesium moves closer to testing phase as commercialized pilot plant undergoes final build out
The warrants are subject to a Force Majeure clause in that at any time following the date of issue of this warrant, the company has the right, on 30 days’ written notice, to require a holder to exercise the warrants, so long as the closing trading price of the company’s common shares on its principal trading market exceeds C$1.00 per share for at least 10 consecutive trading days at any time before the date of the call notice.
The warrants will terminate 30 days after the date of the call notice in the event that the holder has not exercised the warrants in accordance with the terms of the call notice by such date.
Western Magnesium is focused on becoming the world's leading low-cost producer of eco-friendly and high-quality magnesium - a strategic metal.
The company's research and development (R&D) efforts have come up with a proprietary technology, which can generate magnesium metal with low labour, high automation and low energy with zero toxic by-products and waste.
Contact Sean at sean@proactiveinvestors.com