Pulsar Helium closes 3.72-million-pound offering

Executive Summary

• Pulsar Helium Inc. has closed its previously announced fundraising offering, issuing 16,174,338 common shares for total gross proceeds of £3,720,100 (approx. $6,955,000).
• The net proceeds will be primarily used to advance the Topaz helium project in Minnesota, specifically to drill up to 10 new appraisal wells, conduct a preliminary economic assessment, and update resources.
• Shareholder and principal lender University Bancorp Inc. participated in the offering, increasing its stake to 4.99% of the enlarged share capital.

Key Details

• Transaction Structure: Closing of the offering via issuance of 16,174,338 common shares.
• Price: £0.23 (approx. $0.43) per common share.
• Gross Proceeds: £3,720,100 (approximately $6,955,000).
• Use of Proceeds:
  • Advancing the flagship Topaz helium project in Minnesota, USA.
  • Drilling up to 10 new appraisal wells to define the size and shape of the helium-bearing reservoir.
  • Conducting a preliminary economic assessment and resource update.
  • General working capital purposes.
• Investor Participation: University Bancorp Inc. (shareholder and principal lender) participated to increase its interest to 4.99% of Pulsar's enlarged share capital.
• Regulatory Status: Closing remains subject to final approval of the TSX Venture Exchange.
• Resale Restrictions: Shares issued are not subject to resale restrictions under National Instrument 45-106.
• Advisory and Broker Fees:
  • Oak Securities (Merlin Partners LLP): Paid £20,000 advisory fee, £194,226 cash fee, and issued 844,460 common share purchase warrants.
  • Warrant Terms (Oak Securities): Exercisable for 12 months from date of issue at £0.23 (approx. $0.43).
  • Other Finders: Paid $30,960 cash fees and issued 72,000 broker warrants.