Muzhu Mining closes $154,239 private placement

Executive Summary

• Muzhu Mining Ltd. has completed a private placement of units, raising gross proceeds of $154,239.
• The offering consisted of 1,542,390 units sold at $0.10 per unit, increasing from the initial 1,259,000 units due to subsequent subscriptions.
• Proceeds are designated for working capital and mineral exploration projects in Canada and China.

Key Details

• Gross Proceeds: $154,239
• Units Sold: 1,542,390 units (increased from initial 1,259,000 units)
• Price Per Unit: $0.10
• Unit Composition: Each unit consists of one common share and one non-transferable share purchase warrant.
• Warrant Terms:
  • Entitles holder to purchase one common share.
  • Exercise Price: $0.14 per share for the first year; $0.20 per share for the second year.
  • Acceleration Provision: If the closing price on the Canadian Securities Exchange is ≥ $0.30 for 20 consecutive trading days after the 4-month hold period, warrants must be exercised by the 30th calendar day after the news release announcing the threshold.
  • Expiry: Earlier of the last day of the two-year term or the accelerated expiry date.
• Insider Participation:
  • An insider subscribed for 149,000 common shares.
  • Transaction is a related-party transaction under MI 61-101 but exempt from formal valuation and minority shareholder approval as the value does not exceed 25% of market capitalization.
• Finder’s Fees: $2,400 in cash paid, including the grant of 24,000 share purchase warrants to a finder.
• Hold Period: All securities are subject to a four-month hold period expiring on Dec. 26, 2025.
• Use of Proceeds: Working capital and Canadian and Chinese mineral exploration projects.

Notable Quotes

• None provided in the text.