MGX Minerals Inc said it intends to complete a non-brokered private placement for up to 5,000,000 units at a price of C$0.05 per unit for total proceeds of $250,000.
The company said that proceeds from the private placement will be used for developing mining properties in British Columbia, as well as funding research and development of an advanced silicon anode for high-efficiency lithium-ion batteries and development of a new zinc ion battery, jointly with the University of British Columbia, in addition to general corporate purposes.
Each unit will consist of one common share in the capital of the company and one common share purchase warrant. Each warrant is exercisable into one common share at a price of C$0.10 for a period of two years from the date of issue.
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Each warrant is callable by MGX Minerals in the event its common shares trade on the Canadian Securities Exchange at a 10-day volume-weighted average price equal to or greater than $0.20.
Closing of the private placement is expected to take place prior to January 21, 2022. The securities issued under the private placement are expected to be subject to a hold period of four months and a day.
MGX Minerals is a diversified Canadian resource and technology company with interests in strategic metals, precious metals and advanced energy technologies.
Contact the author at jon.hopkins@proactiveinvestors.com