Blue Sky Uranium Corp said it has closed the third and final tranche of its previously-announced, non-brokered private placement, which consisted of 2,261,000 company units, at a price of $0.15 per unit, for gross proceeds of C$339,150.
The uranium exploration company said proceeds of the offering will be used for exploration programs on its projects in Argentina and for general working capital.
“We are very pleased to close this expanded financing,” Blue Sky Uranium CEO Nikolaos Cacos said in a statement.
READ: Blue Sky Uranium closes $907K second tranche of private placement
“Of particular note, the participation of a significant number of institutional investors in the private placement is testament to the quality and potential of the Amarillo Grande Uranium/Vanadium Project,” Cacos added.
Each unit of the final private placement tranche consisted of one common share plus one transferrable common share purchase warrant, with each warrant entitling the holder to purchase one additional Blue Sky Uranium common share at a price of $0.25 per share for three years from the date of issue, expiring on June 22, 2025.
The entire private placement consisted of a total of 14 million company units for gross proceeds of C$2.1 million, Blue Sky Uranium said.
The company added that in the final tranche, finder's fees of C$20,275.50 are payable in cash on a portion of the private placement to parties at arm's length to the company.
In addition, 135,170 non-transferable finder's warrants are being issued, with each finder's warrant entitling the holder to purchase one common share at a price of C$0.25 per share for three years from the date of issue, expiring on June 22, 2025.
In total, cash finder's fees of C$91,105 were paid and 607,367 finder's warrants were issued, according to the company.
Blue Sky Uranium also noted that although no company insiders participated in the final tranche of the private placement, $10,000 of the entire offering was bought by Blue Sky insiders.
The offering is subject to regulatory approval and all securities to be issued pursuant to the final tranche are subject to a four-month hold period expiring on October 22, 2022.
Blue Sky Uranium has the exclusive right to of properties in two provinces in Argentina. The company's flagship Amarillo Grande Project was an in-house discovery of a new district that has the potential to be both a leading domestic supplier of uranium to the growing Argentine market and a new international market supplier.
The company is a member of the Grosso Group, a resource management group that has pioneered exploration in Argentina since 1993.
Contact Sean at sean@proactiveinvestors.com