AFR Nuventure closes $150,000 private placement

Executive Summary

• AFR Nuventure Resources Inc. has closed a non-brokered private placement, raising $150,000 in gross proceeds.
• The offering consisted of 7.5 million units priced at $0.02 per unit, with each unit comprising one common share and one warrant exercisable at $0.05 per share for five years.
• Proceeds will be allocated to preliminary exploration programs on the Mary Ann's Lake and Massey projects, alongside general working capital and administrative expenses.

Key Details

• Gross Proceeds: $150,000
• Units Issued: 7.5 million units
• Price per Unit: $0.02
• Warrant Terms: Each unit includes one warrant; exercise price of $0.05 per share; exercisable for a period of five years
• Commissions/Finders' Fees: None payable in connection with the offering
• Use of Proceeds: $70,000 for Mary Ann's Lake copper/silver project; $25,000 for Massey nickel/copper project; $55,000 for working capital and general administrative expenses
• Insider Participation: Officers and directors purchased 2,525,000 units totaling $50,500, constituting a related-party transaction under Multilateral Instrument 61-101
• Regulatory Status: TSX Venture Exchange advised no objection to closing the private placement
• Exemptions: Offering relied on existing securityholder and accredited investor exemptions under National Instrument 45-106
• Hold Period: All securities issued are subject to a statutory hold period expiring four months and one day post-closing
• Control Changes: No new control persons or insiders were created as a result of the offering
• Valuation Exemptions: Company relied on exemptions from formal valuation and minority shareholder approval requirements under MI 61-101 subsections 5.5(a) and 5.7(a), as insider participation does not exceed 25% of the company's market capitalization

Notable Quotes

• John O'Donnell, Chairman and CEO: "I am extremely pleased that the company is able to move forward with its exploration plans on its two exciting projects in Cape Breton, Nova Scotia, and the legendary Timmins mining camp in Ontario."