GBLEF - Global Energy Metals Closes Tranche One of Financing; Prepares for Inaugural Drill Campaign at Nevada-Based Copper Cobalt Nickel Project
(TheNewswire)
Vancouver, BC - TheNewswire - May 6, 2020 - Global Energy MetalsCorporation ( TSXV:GEMC ) | ( OTC:GBLEF ) | ( FSE:5GE1 ) (“Global Energy Metals”, the “Company” and/or“GEMC ”) , a company involved in theinvestment exposure to the battery metals supply chain, is pleased toannounce that the Company will close a first tranche of itsnon-brokered private placement financing (the “Offering”) raisinggross proceeds of $870,000. The Company will issue 3,480,000 units(“Units”) in this first tranche closing, subject to Exchangeapproval.
Following a significant investment in the Company bytwo New York based institutional investment management firms, GlobalEnergy amended the terms of its previously announced financing to increase the size of theoffering to allow for up to grossproceeds of $1,000,000 consisting of 4,000,000 Units. It isanticipated that a second tranche of the Offering will follow in thenext few days.
As announced in the newsrelease s dated April 22, 2021 and March 2,2021 , each Unit consists of one common share ofthe Company (a “Share”) and one transferable common share purchasewarrant (a “Warrant”) with each Warrant exercisable to purchase anadditional Share of the Company for a period of 24 months from theclosing date (“Closing Date”) at a price of CAD$0.30, subject toacceleration.
The net proceeds of the Offering will be used forgeneral working capital and business development initiatives,acquisition of a 50% interest in copper-silver-gold and copper, nickel, cobalt,PGE properties in Idaho, USA andQuebec, Canada, as well as for exploration drillingactivities at its Nevada, USAprojects.
In connection with the Offering, Mitchell Smith,President, CEO and director of the Company will participate as to$50,000. This transactions constitutes a "related partytransaction" as such term is defined under MultilateralInstrument 61-101 - Protection of Minority Security Holders in SpecialTransactions ("MI 61-101"). The Company is relying on theexemptions from the formal valuation and minority approvalrequirements under MI 61- 101. The Company is exempt from the formalvaluation and minority approval requirements of MI 61-101 in relianceon sections 5.5(a) and 5.7(1)(a) of MI 61-101 as the fair market valueof the transaction, insofar as it involves interested parties, is notmore than the 25% of the Company's market capitalization.
No finder’s fees will be issued in connection withthe first tranche closing. The Company may pay finders' fees toeligble parties that have assisted by introducing subscribers to theplacement. All securities to be issued pursuant to the Offering willbe subject to a four month hold period from the closing date under applicable securities laws in Canada andamong other things, receipt by Global Energy Metals of all necessaryregulatory approvals, including the TSX Venture Exchange.
Warrants are subject to an acceleration clause wherebyif on any 10 consecutive trading days occurring after four months andone day has elapsed from the closing date, the daily volume weightedaverage trading price of the common shares of the Company is at least$0.50 per share, the Company may accelerate the expiry date of thewarrants to the 30th day after the date on which the Company givesnotice to the subscriber in accordance with the warrant of suchacceleration.
The securities issued in connection with the Offeringhave not been nor will they be registered under the United StatesSecurities Act of 1933, as amended, or state securities laws, and maynot be offered or sold in the United States or to an account for thebenefit of US persons, absent such registration or an exemption fromregistration. This press release shall not constitute an offer to sellor the solicitation of an offer to buy the securities in the UnitedStates or in any jurisdiction in which such offer, sale, orsolicitation would be unlawful.
Global Energy MetalsCorporation
(TSXV:GEMC | OTC:GBLEF| FSE:5GE1)
Global Energy Metals Corp. offers investment exposure to the growingrechargeable battery and electric vehicle market by building adiversified global portfolio of exploration and growth-stage batterymineral assets.
Global Energy Metals recognizes thatthe proliferation and growth of the electrified economy in the comingdecades is underpinned by the availability of battery metals,including cobalt, nickel, copper, lithium and other raw materials. Tobe part of the solution and respond to this electrification movement,Global Energy has taken a ‘consolidate, partner and invest’approach and in doing so have assembled and are advancing a portfolioof strategically significant investments in battery metalresources.
As demonstrated with our currentcopper, nickel and cobalt projects in Canada, Australia, Norway andthe United States, we’re investing-in, exploring and developingprospective, scaleable assets in established mining and processingjurisdictions in close proximity to end-use markets. We’re targetingprojects with low logistics and processing risks, so that they can befast tracked to enter the supply chain in this cycle. We’realso collaborating with industry peers to strengthen our exposure tothese critical commodities and the associated technologies requiredfor a cleaner future.
Securing exposure to these criticalminerals powering the eMobility revolution is agenerational investment opportunity. We believe the the time to bepart of this electrification movement.
For FurtherInformation:
Global Energy MetalsCorporation
#1501-128 West PenderStreet
Vancouver, BC, V6B 1R8
Email: info@globalenergymetals.com
t. + 1 (604) 688-4219
www.globalenergymetals.com
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Cautionary Statementon Forward-Looking Information:
Certain informationin this release may constitute forward-looking statements underapplicable securities laws and necessarily involve risks associatedwith regulatory approvals and timelines. Although Global Energy Metalsbelieves the expectations expressed in such forward-looking statementsare based on reasonable assumptions, such statements are notguarantees of future performance and actual results or developmentsmay differ materially from those in the forward-looking statements.Except as required by law, the Company undertakes no obligation toupdate these forward-looking statements in the event thatmanagement’s beliefs, estimates or opinions, or other factors,should change.
GEMC’s operationscould be significantly adversely affected by the effects of awidespread global outbreak of a contagious disease, including therecent outbreak of illness caused by COVID-19. It is not possible toaccurately predict the impact COVID-19 will have on operations and theability of others to meet their obligations, including uncertaintiesrelating to the ultimate geographic spread of the virus, the severityof the disease, the duration of the outbreak, and the length of traveland quarantine restrictions imposed by governments of affectedcountries. In addition, a significant outbreak of contagious diseasesin the human population could result in a widespread health crisisthat could adversely affect the economies and financial markets ofmany countries, resulting in an economic downturn that could furtheraffect operations and the ability to finance itsoperations.
For more informationon Global Energy and the risks and challenges of their businesses,investors should review the filings that are available atwww.sedar.com.
Neither TSX VentureExchange nor its Regulation Services Provider (as that term is definedin the policies of the TSX Venture Exchange) accepts responsibilityfor the adequacy or accuracy of this release.
We seek safeharbour.
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