J2 Metals Inc. Completes $3.8 Million Upsized Private Placement

Executive Summary

• J2 Metals closed the second and final tranche of its $3.8 M non‑brokered private placement, raising an additional $1.644 M at $0.25 per Subscription Receipt.
• Total gross proceeds from both tranches now equal $3.800 M; funds are held in escrow pending completion of a plan of arrangement with Twenty Mile Metals.
• Net proceeds will be used for general corporate purposes, including upcoming flow‑through financing ($0.35/share) to fund 3D IP and Phase II drilling at the Miniac Project in Québec.

Key Details

• Offering Structure: Non‑brokered private placement of Subscription Receipts; each receipt converts into one common share plus half a warrant (exercise price $0.40, 24‑month term).
• Second Tranche Size: 6,577,800 Subscription Receipts for gross proceeds of $1,644,450 at $0.25 per receipt.
• First Tranche Size: Previously closed for gross proceeds of $2,155,550.
• Total Gross Proceeds: $3,800,000 (upsized from original $2.5 M target).
• Escrow Conditions: Funds remain in escrow until the plan of arrangement with Twenty Mile Metals is satisfied; otherwise funds plus accrued interest are returned and securities cancelled.
• Use of Proceeds: General corporate purposes, notably to support a forthcoming flow‑through financing at $0.35 per share for 3D IP and Phase II drilling at Miniac Project.
• Finder’s Fees (Second Tranche): Cash fee of $75,985 plus 303,940 warrants at $0.40 exercise price, payable upon escrow condition satisfaction.
• Holding Period: All securities issued in the second tranche are subject to a four‑month‑plus‑one‑day hold period after closing.
• Related Party Participation: Insiders Thomas Lamb (300,000 receipts), Toby Pierce (136,000 receipts), and Graham Giles (168,000 receipts) purchased a total of 604,000 receipts for $151,000; transaction qualifies as a related‑party transaction under MI 61‑101 but is exempt from formal valuation/approval.
• Regulatory Approval: Offering subject to TSX Venture Exchange approval.

Notable Quotes

“This is an excellent result and a great foundation for our Company. Next, we are raising critical minerals flow‑through at $0.35 per share to advance our 100%-owned Miniac Project in Quebec's Abitibi Greenstone Belt.” – Thomas Lamb, CEO, J2 Metals Inc.