New Earth Resources closes financing for $524,825

Executive Summary

• New Earth Resources Corp. has closed its previously announced non-brokered private placement under the Listed Issuer Financing (LIFE) exemption, raising aggregate gross proceeds of $524,825.
• The company issued 2,999,000 LIFE units at a price of 17.5 cents per unit, with proceeds allocated to exploration of the Lucky Boy uranium property, finalizing the acquisition of the SL project in Quebec, and general working capital.
• The units consist of Class A common shares and warrants exercisable at 25 cents, with no statutory hold period applicable due to the LIFE exemption.

Key Details

• Gross Proceeds: $524,825
• Units Issued: 2,999,000 LIFE units
• Issue Price: 17.5 cents per LIFE unit
• Unit Composition: Each LIFE unit comprises one Class A common share and one share purchase warrant.
• Warrant Terms:
  • Exercise Price: 25 cents per share
  • Exercise Ratio: One warrant for one share
  • Exercise Period: Exercisable at any time after December 22, 2025, until October 24, 2027
• Exemption Used: Listed Issuer Financing (LIFE) exemption under Part 5A of NI 45-106 and Coordinated Blanket Order 45-935.
• Trading Status: LIFE units and components are free trading and not subject to a statutory hold period.
• Finder's Fees: $10,496.50 paid in connection with the offering.
• Use of Proceeds:
  • Conduct further exploration on the Lucky Boy uranium property (Arizona).
  • Make the remaining payment of $80,000 under the property option agreement for the SL project (Strange Lake area, Quebec, Canada), which is prospective for rare earth elements.
  • General working capital.