Alaska Energy Metals Corporation is pleased to announce that it is undertaking a non-brokered offering of up to $5 million in a combination of special warrants and/or units, to be issued at the price of $0.17 per Special Warrant or Unit, as applicable. The Company had previously intended to undertake the Offering at the price of $0.15 per Special Warrant or Unit but was unable to obtain TSX Venture Exchange approval to complete an offering at that price.

Each Special Warrant will automatically convert into one Unit of the Company, as described below. Each Unit shall consist of one common share of the Company (a “Share”) and one common share purchase warrant (a “Warrant”). Each Warrant shall entitle the holder thereof to acquire one Share at a price of $0.225 per Share for a period of three years following the date of issue.

Each Special Warrant will automatically convert, for no additional consideration, into Units on the date that is the earlier of (i) the date that is three business days following the date on which the Company files a prospectus supplement to a short form base shelf prospectus with the applicable securities regulatory authorities qualifying distribution of the Units underlying the Special Warrants (the “Prospectus Supplement”), and (ii) the date that is four months and one day after the closing of the Offering.

Prior to the filing of the Prospectus Supplement and the automatic conversion of the Special Warrants, the securities issued under the Offering will be subject to a four-month hold period from the Closing Date in addition to any other restrictions under applicable law. Any Units issued directly upon the closing of the Offering will be subject to a four-month hold period, in accordance with applicable securities laws.

The net proceeds from the Offering will be used for Canwell prospect and Eureka deposit drilling at the Nikolai Nickel Project in Alaska, metallurgical studies, non-flow through costs associated with the Company’s Angliers-Belleterre nickel project in Quebec, working capital and marketing purposes.

About Alaska Energy Metals:

Alaska Energy Metals Corporation is an Alaska-based corporation with offices in Anchorage and Vancouver working to sustainably deliver the critical materials needed for national security and a bright energy future, while generating superior returns for shareholders.
AEMC is focused on delineating and developing the large-scale, bulk tonnage, polymetallic Eureka deposit containing nickel, copper, cobalt, chromium, iron, platinum, palladium, and gold. Located in Interior Alaska near existing transportation and power infrastructure, its flagship project, Nikolai, is well-situated to become a significant domestic source of strategic energy-related metals for North America.

AEMC also holds a secondary project, ‘Angliers-Belleterre,’ in western Quebec. Today, material sourcing demands excellence in environmental performance, carbon mitigation, and the responsible management of human and financial capital. AEMC works every day to earn and maintain the respect and confidence of the public and believes that ESG performance is measured by action and led from the top.

 

Source: globenewswire.com

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