Aurelius Minerals Inc said it has closed a non-brokered private placement for aggregate gross proceeds of $385,200.
The placement was for 2,850,000 common shares at a price of $0.10 each for aggregate gross proceeds of $285,000 and 835,000 flow-through (FT) shares at a price of $0.12 each for gross proceeds of $100,200.
The net proceeds from the common share offering will be used by the company for corporate and general working capital purposes, and an amount equal to the gross proceeds from the sale of FT shares will be used to incur or be deemed to incur eligible 'Canadian exploration expenses' as defined under the Income Tax Act (Canada) related to the Aureus Gold projects located in Nova Scotia, on or before December 31, 2023. The company said it will renounce to the purchasers of the FT shares such Canadian exploration expenses with an effective date of not later than December 31, 2022.
READ: Aurelius Minerals uncovers high-grade gold samples at its Aureus East project; to raise up to C$1.25M in private placement financing
The placement total includes 200,000 common shares that are scheduled to close on August 30, 2022. Certain directors and officers of the company alsp participated in the offering by acquiring an aggregate of 750,000 common shares. The company said it has paid 6% commission on certain of the subscriptions totalling $6,600.
The offering was made by way of private placement in Canada under applicable exemptions from the prospectus requirements under applicable Canadian securities laws. The securities issued through the offering are subject to a statutory four-month hold period expiring on December 30, 2022, in the case of the subscriptions that closed on August 29, 2022, and expiring on December 31, 2022, in the case of the subscription that is scheduled to close on August 30, 2022.
Aurelius said it anticipates closing additional tranche(s) before September 9, 2022. The offering is subject to final acceptance of the TSX Venture Exchange. The TSX Venture Exchange has conditionally approved an offering with a maximum total gross proceeds of $1,000,000 of common shares and $250,000 of flow-through shares. The company may pay a cash commission of 6% of the gross proceeds on certain of these subscriptions and details will be confirmed on closing of each tranche.
The securities have not been and will not be registered under the United States Securities Act of 1933 as amended, or any state securities laws and may not be offered or sold within the United States or to, or for the account or benefit of US persons (as defined in Regulation S under the 1933 Act) absent such registration or an applicable exemption from such registration requirements.
Aurelius Minerals is a well-positioned gold exploration company focused on advancing its Aureus Gold Properties, including Aureus East and West, the Tangier Gold Project and the Forest Hill Gold Project located in Nova Scotia.
The company is also focused on advancing two district-scale gold projects in the Abitibi Greenstone Belt in Ontario, Canada, one of the world's most prolific mining districts; the 968-hectare Mikwam Property, in the Burntbush area on the Casa Berardi trend and the 12,425-hectare Lipton Property, on the Lower Detour Trend.
Aurelius has a management team with experience in all facets of the mineral exploration and mining industry who will be considering additional acquisitions of advanced staged opportunities in Nova Scotia, the Abitibi and other proven mining districts.
Contact the author at jon.hopkins@proactiveinvestors.com