Essex Minerals Inc. (TSX-V:ESX, FRA:EWX1) said it has closed a non-brokered private placement, raising $1,330,027.66 in gross proceeds through the issuance of 10,230,982 units at a price of $0.13 per unit.
Each unit is comprised of one common share and one-half warrant. One full warrant is exercisable to purchase one additional common share at the price of $0.18 for 24 months after closing of the financing.
Directors and officers of the company subscribed for 1,060,000 units, Essex Minerals said.
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The company noted that the net proceeds from the financing will be used by it for exploration expenditures on its existing mineral projects and general working capital purposes.
Essex Minerals said it paid a finders' fee in connection with the financing consisting of 6% cash and 6% finders' share purchase warrants entitling the holders to purchase one share at a price of $0.18 for two years.
The company added that it paid $54,600 and 419,999 finders' warrants to Echelon Wealth Partners Inc., $7,800 and 60,000 finders' warrants to Primary Capital Inc. and $7,098 and 54,600 finders' warrants to PI Financial Corp.
All of the securities issued are subject to a hold period, which will expire on December 17, 2021.
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