Basin Uranium Announces Non-Brokered Private Placement of Units

Rhea-AI Summary

Basin Uranium has announced a non-brokered private placement offering of up to 5,000,000 units at $0.15 per unit, aiming to raise gross proceeds of up to $750,000. Each unit consists of one common share and one purchase warrant, with each warrant allowing the purchase of an additional common share at $0.20 for 36 months from closing.

The warrants include an acceleration clause that triggers if the company's shares trade at or above $0.30 for ten consecutive trading days on the CSE. The proceeds will be used for advancing the company's U.S. property portfolio and general corporate purposes. The offering may close in multiple tranches and includes a four-month statutory hold period.

Positive

• Potential to raise up to $750,000 in new capital
• 36-month warrant term provides extended financing flexibility
• Warrant exercise would bring additional $1,000,000 at $0.20 per share

Negative

• Potential dilution for existing shareholders
• Offering price of $0.15 per unit may represent a discount to market price
• No minimum subscription amount specified

Vancouver, British Columbia--(Newsfile Corp. - December 23, 2024) - Basin Uranium Corp. (CSE: NCLR) (CNSX: NCLR.CN) ("Basin Uranium" or the "Company") is pleased to announce a non-brokered private placement of up to 5,000,000 units of the Company (the "Units") at a price of $0.15 per Unit for gross proceeds of up to $750,000 (the "Offering"). Each Unit will be comprised of one common share in the capital of the Company (a "Common Share") and one Common Share purchase warrant (a "Warrant"). Each Warrant will entitle the holder thereof to acquire one additional Common Share (a "Warrant Share") at a price of $0.20 per Warrant Share for a period of 36 months from the closing date of the Offering. The Warrants to be issued under the Offering shall contain an accelerated expiry clause (the "Acceleration Clause"). Pursuant to the Acceleration Clause, if the Common Shares of the Company close at or above $0.30 for ten (10) consecutive trading days on the Canadian Securities Exchange ("CSE"), then the Company may accelerate the expiry date of the Warrants by issuing a news release announcing the accelerated Warrant term, pursuant to which the Warrants will expire on the 30^th calendar day after the date of such news release.

The Company intends to use the net proceeds from the Offering for advancement of its United States property portfolio and general corporate and working capital purposes. The Offering may close in one or more tranches as the Company may determine.

The Company may pay a finder's fee in connection with the Offering to eligible arm's length finders in accordance with the policies of the CSE. All securities issued in connection with the Offering will be subject to a statutory hold period of four months plus a day following the date of issuance in accordance with applicable securities legislation. The Offering is not subject to a minimum aggregate amount of subscriptions.

All references to currency in this news release are to Canadian currency.

About Basin Uranium Corp.

Basin Uranium is a Canadian junior exploration company focused on mineral exploration and development in the green energy sector. The Company has four advanced-stage uranium projects located in the United States, namely the Chord and Wolf Canyon projects in South Dakota, the South Pass project in Wyoming, and the Wray Mesa project in Utah. All four projects have seen extensive historical exploration and located in prospective development areas. The Company also has the Mann Lake uranium project, located in the world-class Athabasca basin of Northern Saskatchewan, Canada in addition to the CHG gold project in south-central British Columbia.

For further information, please contact Mr. Mike Blady or view the Company's filings at www.sedarplus.ca.

On Behalf of the Board of Directors
Mike Blady
Chief Executive Officer
info@basinuranium.ca
604-722-9842

Neither the CSE nor its regulation services provider accepts responsibility for the adequacy or accuracy of this news release.

The securities issued pursuant to the Offering have not, nor will they be registered under the United States Securities Act of 1933, as amended, and may not be offered or sold within the United States or to, or for the account or benefit of, U.S. persons in the absence of U.S. registration or an applicable exemption from the U.S. registration requirements. This news release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there by any sale of the securities in the United States or in any other jurisdiction in which such offer, solicitation, or sale would be unlawful.

CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING INFORMATION

This news release includes certain statements and information that may constitute forward-looking information within the meaning of applicable Canadian securities laws. All statements in this news release, other than statements of historical facts, including statements regarding future estimates, plans, objectives, timing, assumptions, or expectations of future performance are forward-looking statements and contain forward-looking information. Generally, forward-looking statements and information can be identified by the use of forward-looking terminology such as "intends" or "anticipates", or variations of such words and phrases or statements that certain actions, events, or results "may", "could", "should", "would" or "occur". Forward-looking statements are based on certain material assumptions and analysis made by the Company and the opinions and estimates of management as of the date of this news released. These forward-looking statements are subject to known and unknown risks, uncertainties, and other factors that may cause the actual results, level of activity, performance, or achievements of the Company to be materially different from those expressed or implied by such forward-looking statements or forward-looking information. Important factors that may cause actual results to vary include, without limitation, uncertainties affecting the expected use of proceeds. Although management of the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements or forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements and forward-looking information. Readers are cautioned that reliance on such information may not be appropriate for other purposes. The Company does not undertake to update any forward-looking statement, forward-looking information or financial out-look that are incorporated by reference herein, except in accordance with applicable securities laws.

NOT FOR DISSEMINATION IN THE UNITED STATES OR FOR DISTRIBUTION TO UNITED STATES WIRE SERVICES

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/234992

FAQ

What are the terms of Basin Uranium's (BURCF) December 2024 private placement?

Basin Uranium is offering up to 5,000,000 units at $0.15 per unit, with each unit consisting of one common share and one warrant exercisable at $0.20 for 36 months.

How much money is Basin Uranium (BURCF) trying to raise in its December 2024 offering?

Basin Uranium is aiming to raise gross proceeds of up to $750,000 through this private placement offering.

What is the acceleration clause in Basin Uranium's (BURCF) December 2024 warrant offering?

The warrants include an acceleration clause that allows early expiry if the company's shares trade at or above $0.30 for ten consecutive trading days on the CSE.

How will Basin Uranium (BURCF) use the proceeds from its December 2024 private placement?

The proceeds will be used for advancement of the company's United States property portfolio and general corporate and working capital purposes.