Nobel Resources closes $2.2M first tranche of placement

Executive Summary

• Nobel Resources Corp. has closed the first tranche of its private placement offerings, raising a total of $2,622,500 through both brokered (LIFE) and non-brokered (NB) transactions.
• The company issued a total of 52.45 million units at a price of $0.05 per unit, with each unit comprising one common share and one-half of one common share purchase warrant.
• Net proceeds will be utilized for exploration of Chilean mineral properties and general corporate working capital, with final tranches expected to close in the coming weeks.

Key Details

• Total Gross Proceeds: $2,622,500 ($2,287,500 from LIFE tranche + $335,000 from NB tranche).
• LIFE Tranche (Brokered):
  • Issued 45.75 million units at $0.05 per unit.
  • Gross proceeds: $2,287,500.
  • Lead agent: iA Private Wealth Inc.
  • Syndicate agents: Velocity Trade Capital Ltd. and Haywood Securities Inc.
  • Agent fees: $160,125 in cash.
  • Broker warrants issued: 3,202,500 non-transferable warrants exercisable at $0.05/share for 24 months.
  • Hold period: No statutory hold period (Listed Issuer Financing Exemption), subject to TSX Venture Exchange approval.
• NB Tranche (Non-Brokered):
  • Issued 6.7 million units at $0.05 per unit.
  • Gross proceeds: $335,000.
  • Insider participation: Directors and officers subscribed for 4.7 million units.
  • Hold period: Four months and one day under Canadian securities laws.
  • Status: Subject to TSX Venture Exchange approval.
• Warrant Terms (Both Tranches):
  • Each unit includes one-half of one common share purchase warrant.
  • Exercise price: $0.06 per share.
  • Duration: 24 months from the date of the release.
  • Vesting: Warrants are not exercisable until 70 days after the date of the release.
• Use of Proceeds: Exploration of Chilean mineral properties and general corporate/working capital purposes.
• Regulatory Status: Transactions rely on exemptions from formal valuation and minority shareholder approval requirements under Multilateral Instrument 61-101 due to insider participation, as the fair market value of interested parties does not exceed 25% of market capitalization.