Vancouver - Global Energy Metals Corporation TSXV: GEMC | OTCQB: GBLEF | FSE: 5GE1 ('Global Energy Metals', the 'Company' and/or 'GEMC') is pleased to announce a private placement offering of up to 4,000,000 units (the 'Units') of the Company at a price of $0.125 per Unit (the 'Offering'), with each Unit comprised of one share and one transferrable share purchase warrant (a 'Warrant').
Each transferrable warrant will be exercisable to purchase an additional share of the Company for a period of 36 months from the closing date at a price of CAD$0.15.
The Company has received strong interest in the Offering with a strategic lead commitment of $200,000.
First closing is expected within the next several days.
This financing complements the recently announced commitment by Electric Royalties Ltd. ('Electric Royalties') that provides Global Energy Metals with an attractive form of financing and short term investments via the spin-out of a small royalty on its Queensland, Australian projects. The royalty also provides an option to fund future development at Millennium and the Mount Isa projects in a non-dilutive manner to the company and create an opportunity for cross marketing promotion with a strong royalty partner.
PROCEEDS & TERMS
The net proceeds of the Offering will be used to fund the previously announced acquisition of an 85% interest in the Lovelock and Treasure Box projects, two highly prospective battery mineral projects in Nevada with strong enrichment in nickel, copper and cobalt, as well as for business development and working capital purposes.
The Company has agreed to and may pay a finder's fee of 8% cash and 8% broker warrants for Units sold to certain investors ('Broker Warrants'). Each Broker Warrant entitles the holder to acquire one common share of the Company at a strike price of $0.15 for a period of one year from the date of issuance.
All securities to be issued pursuant to the Offering will be subject to a four month hold period from the closing date under applicable securities laws in Canada and among other things, receipt by Global Energy Metals of all necessary regulatory approvals, including the TSX Venture Exchange.
The securities issued in connection with the Offering have not been nor will they be registered under the United States Securities Act of 1933, as amended, or state securities laws, and may not be offered or sold in the United States or to an account for the benefit of US persons, absent such registration or an exemption from registration. This press release shall not constitute an offer to sell or the solicitation of an offer to buy the securities in the United States or in any jurisdiction in which such offer, sale, or solicitation would be unlawful.
Global Energy Metals Corp.
Global Energy Metals provides investors and partners with exposure to the immediate need for metals critical to the new energy economy by building a diversified global portfolio of cobalt and battery metals rich projects in top-tier mining jurisdictions with exploration & development upside to become a supply chain solution to safe and reliable cobalt for downstream partners. Global Energy Metals holds 100% of the Millennium Cobalt Project and two neighbouring discovery stage exploration-stage cobalt assets in Mt. Isa, Australia. It also currently owns 70% of the Werner Lake Cobalt Mine in Ontario, Canada and has entered into an agreement to acquire an 85% interest in two cobalt-nickel-copper exploration projects in Nevada, 150km East of the Tesla Gigafactory.
Tel: + 1 (604) 688-4219
Cautionary Statement on Forward-Looking Information:
Certain information in this release may constitute forward-looking statements under applicable securities laws and necessarily involve risks associated with regulatory approvals and timelines. Although Global Energy Metals believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in the forward-looking statements. Except as required by law, the Company undertakes no obligation to update these forward-looking statements in the event that management's beliefs, estimates or opinions, or other factors, should change. For more information on Global Energy and the risks and challenges of their businesses, investors should review the filings that are available at www.sedar.com.