Atomic Minerals Announces Private Placements of Flow-Through and Non-Flow-Through Units

Rhea-AI Summary

Atomic Minerals (TSXV: ATOM) announces two non-brokered private placement financings: up to 34,000,000 non-flow-through units at $0.05 per unit for gross proceeds of up to $1,700,000, and up to 13,333,333 flow-through units at $0.06 per unit for gross proceeds of up to $800,000. Each unit includes one share and one transferable warrant exercisable at $0.10 for 2 years. The flow-through proceeds will fund Canadian exploration in Saskatchewan, while non-flow-through proceeds will support working capital. 8% finder's fees may apply.

Positive

• Potential to raise up to $2.5 million in total gross proceeds
• Flow-through financing structure provides tax benefits for investors
• Funds secured for exploration activities in Saskatchewan projects

Negative

• Significant shareholder dilution due to issuance of up to 47.3 million new units
• 8% finder's fees will reduce net proceeds
• Warrant exercise price at $0.10 represents potential future dilution

Vancouver, British Columbia--(Newsfile Corp. - November 15, 2024) - Atomic Minerals Corporation (TSXV: ATOM) ("ATOMIC MINERALS" or the "Company") announces a non-brokered private placement financing of up to 34,000,000 non-flow-through units ("NFT Units") at $0.05 per NFT Unit for gross proceeds of up to $1,700,000 (the "NFT Private Placement") and a non-brokered private placement financing of up to 13,333,333 flow-through units. ("FT Units") at $0.06 per FT Unit for gross proceeds of up to $800,000 (the "FT Private Placement").

Each NFT Unit consists of one common share and one transferable warrant. Each warrant (a "Warrant") is exercisable into one common share at $0.10 per common share for 2 years from closing.

Each FT Unit consists of one flow-through common share (a "FT Share") and one transferrable Warrant. Each Warrant is exercisable into one non-flow-through common share at $0.10 per common share for 2 years from closing. Each FT Share is expected to qualify as a "flow-through share" as defined in s. 66(15) of the Income Tax Act (Canada).

The Private Placements may be closed in one or more tranches subject to conditional approval from the TSX Venture Exchange

8% Finder's fees may be payable in cash, warrants and common shares of the Company or a combination thereof.

The entire gross proceeds from the issue and sale of the FT Units, excluding Warrant proceeds, will be used for Canadian exploration and development of the Company's projects in Saskatchewan and the proceeds from the issue and sale of NFT Units will be used for general working capital purposes.

The securities described herein have not been, and will not be, registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act"), or any state securities laws, and accordingly may not be offered or sold within the United States except in compliance with the registration requirements of the U.S. Securities Act and applicable state securities requirements or pursuant to exemptions therefrom. This press release does not constitute an offer to sell or a solicitation to buy any securities in any jurisdiction.

About the Company

Atomic Minerals Corp. is a publicly listed exploration company on the TSX Venture Exchange, trading under the symbol ATOM, led by a highly skilled management and technical team with a proven track record in the junior mining sector. Atomic Minerals' objective is to identify exploration opportunities in regions that have been previously overlooked but are geologically similar to those with previous uranium discoveries. These underexplored areas hold immense potential and are in stable geopolitical and economic environments.

Atomic Minerals' property portfolio contains uranium projects in three locations within North America, all of which have significant technical merit and or are known for hosting uranium production in the past. Three of the properties are located on the Colorado Plateau, an area which has previously produced 597 million pounds of U3O8; Three others are in the prolific Athabasca Basin region and nine uranium projects are located Northern Saskatchewan, encompassing a total exploration area of 6,495 hectares.

For additional information about the Company and its projects, please visit our website at www.atomicminerals.ca.

ON BEHALF OF THE BOARD OF DIRECTORS

"Clive Massey"
Clive H. Massey
President & CEO

For further information, please contact:
info@atomicminerals.ca
(604) 341-6870

Neither TSX Venture Exchange nor their Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Forward-Looking Statements:

This news release contains certain statements that may be deemed "forward-looking" statements. Forward-looking statements are statements that are not historical facts and are generally, but not always, identified by the words "expects", "plans", "anticipates", "believes", "intends", "estimates", "projects", "potential" and similar expressions, or that events or conditions "will", "would", "may", "could" or "should" occur. Although Atomic Minerals Corporation believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results may differ materially from those in forward looking statements. Forward-looking statements are based on the beliefs, estimates and opinions of Atomic Minerals Corporation management on the date the statements are made. Except as required by law, Atomic Minerals Corporation undertakes no obligation to update these forward-looking statements in the event that management's beliefs, estimates or opinions, or other factors, should change.

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To view the source version of this press release, please visit https://www.newsfilecorp.com/release/230211

FAQ

How much is Atomic Minerals (TSXV: ATOM) planning to raise in their private placement?

Atomic Minerals is planning to raise up to $2.5 million through two private placements: $1.7 million through non-flow-through units and $800,000 through flow-through units.

What is the exercise price and term for Atomic Minerals' (TSXV: ATOM) warrants in the 2024 private placement?

The warrants are exercisable at $0.10 per common share for a period of 2 years from closing.

How will Atomic Minerals (TSXV: ATOM) use the proceeds from their 2024 private placement?

The flow-through proceeds will be used for Canadian exploration and development in Saskatchewan projects, while non-flow-through proceeds will be used for general working capital purposes.