Velox Energy Materials Inc. Announces Proposed Non-Brokered Private Placement Financing

Executive Summary

• Velox Energy Materials Inc. proposes a non‑brokered private placement of up to 89,296,272 units at $0.035 per unit, targeting gross proceeds of approximately $3.13 million.
• Each unit consists of one common share and one warrant exercisable at $0.05 for 24 months; finders may receive cash fees and additional warrants.
• Net proceeds will fund evaluation of potential resource opportunities, due‑diligence, regulatory and corporate costs, and general working capital.

Key Details

• Units Offered: Up to 89,296,272 units (each = 1 common share + 1 warrant).
• Price per Unit: $0.035.
• Gross Proceeds Target: $3,125,369.52.
• Warrant Terms: Exercise price $0.05 per share; exercisable for 24 months from issuance.
• Finder Compensation: Up to 6% cash fee and up to 6% finders’ warrants (each warrant = right to acquire one common share at $0.05, 24‑month term).
• Statutory Hold Period: Four months and one day on all securities issued.
• Related Party Participation: A director may purchase up to 5,700,000 units; transaction relies on MI 61‑101 exemptions (no formal valuation or minority approval required).
• Use of Proceeds:
• Evaluation and due diligence of potential resource opportunities aligned with existing strategy.
• Regulatory, professional, and corporate administration costs.
• General working capital.
• No funds allocated to investor‑relations service providers or non‑arms‑length payments.
• Regulatory Conditions: Completion subject to TSX Venture Exchange approval and other required regulatory clearances.

Notable Quotes

(No direct quotes were provided in the release.)