Perseverance Metals Announces Up to C$10 Million Best Efforts Private Placement in Connection With Proposed Public Listing
NOT FOR DISTRIBUTION TO UNITED STATES NEWS WIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES
VANCOUVER, British Columbia, Nov. 07, 2024 (GLOBE NEWSWIRE) -- Perseverance Metals Inc. ("Perseverance" or the "Company") is pleased to announce that it has entered into an agreement with Haywood Securities Inc. ("Haywood"), as co-lead agent and sole bookrunner, on behalf of Agentis Capital Markets LP (together with Haywood, the "Agents"), as co-lead agent, in connection with a private placement of subscription receipts on a "best efforts" agency basis, for aggregate gross proceeds of up to C$10,004,774 (the "Offering").
Perseverance was formed in March 2022 with the goal of becoming a best-in-class North American critical mineral exploration company, and have assembled a carefully curated, growing portfolio of high-grade nickel-copper-cobalt-PGE projects in Québec, Michigan, and Ontario. Perseverance has assembled an experienced board of directors, management, and technical teams, and a "hands on" advisory board with mining and capital markets skillsets encompassing greenfield nickel exploration through globally significant nickel discoveries, mine development, and production.
Key highlights of Perseverance include:
Board of directors, management, and advisory board specifically assembled to target significant nickel discoveries;
Hold an option to acquire 100% of the flagship Lac Gayot nickel-copper-PGE project, which covers the entirety of the very high-grade Venus Greenstone Belt in Québec, and boasts 13 high-grade nickel surface showings throughout the belt;
Successfully concluded Perseverance's maiden exploration program at Lac Gayot in September 2024 with highlights including the discovery of new nickel sulphide surface showings validated by drill holes with >1.6% nickel intercepts;
Hold an option to acquire 100% of the Voyageur nickel-copper-PGE project, which covers 680 km2 of the Upper Peninsula in Michigan, 70 km west of the only producing nickel mine in the United States*;
Acquired 100% of the Armit Lake nickel-copper-cobalt project, which is the consolidated and sparsely explored western half of the nickel and gold-rich Savant Lake Greenstone Belt in Ontario; and
Attracted a strong shareholder base with strategic shareholders including Teck Resources Limited, Electric Elements Mining Corp. (recent Critical Minerals-focused spin-out of Osisko Development Corp.), Altius Minerals Corporation (ALS-TSX), and Québec institutional investors SIDEX LP and Fonds de solidarité FTQ.
"I am proud of the progress our team has made over the last two years as a private company. The results of our summer work program at Lac Gayot exceeded our expectations, setting the stage for a comprehensive 2025 drill program. The proceeds of this Offering will allow us to ramp up our exploration efforts following our exciting discoveries this summer and thoroughly test high priority targets that have the potential to reshape the Company", said Michael Tucker, CEO and Founder of Perseverance.
* Mineralization hosted on nearby or adjacent properties is not necessarily indicative of mineralization hosted on the Company's properties.
2025 Exploration Program
Perseverance will advance exploration programs on all three projects in 2025
Lac Gayot
~5,000m of drilling focused on new discoveries in the Venus Greenstone Belt
Ground EM and borehole EM on key target areas
Extensive field mapping and prospecting over high priority areas indicated by the recent airborne property-wide HeliTEM2 survey
Voyageur
Additional, detailed ground gravity surveys over key target areas
~1,000-1,500m of drill testing of the highest priority geological and geophysical targets
Ground EM and borehole EM follow-up on prospective target areas confirmed by drilling
Armit Lake
Extensive field mapping, prospecting, and soil sampling over the entire property
Targeted ground truthing/validation of key geophysical targets from the 2023 HeliTEM2 survey
Subscription Receipt Financing
The Offering will consist of: (i) up to 3,810,000 subscription receipts of the Company (the "Subscription Receipts") at a price of C$1.050 per Subscription Receipt (the "Issue Price"); (ii) up to 2,575,000 tranche 1 flow-through subscription receipts of the Company (the "Tranche 1 FT Subscription Receipts") at a price of C$1.943 per Tranche 1 FT Subscription Receipt; and (iii) up to 653,000 tranche 2 flow-through subscription receipts of the Company (the "Tranche 2 FT Subscription Receipts" and together with the Subscription Receipts and Tranche 1 FT Subscription Receipts, the "Offered Subscription Receipts") at a price of C$1.533 per Tranche 2 FT Subscription Receipt.
Perseverance has granted the Agents an option to sell up to an additional C$1,500,000 in Offered Subscription Receipts, exercisable in whole or in part at any time up to 48 hours prior to the closing of the Offering.
Additionally, the Company intends to complete a concurrent non-brokered private placement of approximately C$500,000 in any combination of: (i) common shares of the Company ("Common Shares") at the Issue Price, and (ii) Subscription Receipts at the Issue Price, on the same terms and conditions as the Offering.
Each Subscription Receipt, Tranche 1 FT Subscription Receipt, and Tranche 2 FT Subscription Receipt will be automatically exchanged upon satisfaction of the Escrow Release Conditions (as defined below), without payment of additional consideration, into one Common Share (an "Underlying Share"), one tranche 1 flow-through share of the Company (a "Tranche 1 FT Share") and one tranche 2 flow-through share of the Company (a "Tranche 2 ...
