Libra Energy closes $1.2-million private placement

Executive Summary

• Libra Energy Materials Inc. has closed an oversubscribed non-brokered private placement financing, raising total gross proceeds of $1,209,273.
• The financing consists of two tranches: hard-dollar common shares and Critical Minerals Exploration Tax Credit (CMETC) special flow-through common shares.
• Gross proceeds from the CMETC FT shares will be used to finance exploration programs on the company's Ontario and Quebec critical mineral properties, with expenditures to be renounced to purchasers by December 31, 2025.

Key Details

• Total Gross Proceeds: $1,209,273.
• Hard-Dollar Shares:
  • Quantity: 2,554,552 shares.
  • Price: $0.17 per share.
  • Structure: Each hard-dollar share comprises one common share of the company.
• CMETC Flow-Through (FT) Shares:
  • Quantity: 3,200,000 shares.
  • Price: $0.25 per share.
  • Structure: Each CMETC FT share comprises one common share qualifying as a CMETC flow-through share under Subsection 66(15) of the Income Tax Act (Canada).
• Use of Proceeds:
  • CMETC FT proceeds to finance further exploration programs on Ontario and Quebec critical mineral properties.
  • Expenditures will qualify as Canadian exploration expenses and flow-through critical mineral mining expenditures.
  • Expenditures to be renounced to purchasers with an effective date no later than Dec. 31, 2025.
• Insider Subscription:
  • Insiders acquired 1,294,293 hard-dollar shares.
  • Classified as a related party transaction under Multilateral Instrument 61-101.
  • Exempt from formal valuation and minority shareholder approval requirements as the fair market value and consideration did not exceed 25% of the company's market capitalization.
  • No material change report was filed more than 21 days prior to closing as the subscription was not finalized until shortly before completion.
• Transaction Terms:
  • No finders' fees or broker warrants were paid.
  • All securities are subject to a hold period of four months and one day from the date of issuance.
  • Offering remains subject to customary approvals, including the Canadian Securities Exchange.

Notable Quotes

• None provided in the text.