24 April 2023
April 24, 2023
North Arrow Minerals Inc. (TSXV-NAR) (“North Arrow”) is pleased to announce a non-brokered private placement of up to $2,000,000 through the issuance of a combination of units (the “Non-FT Units”) at a price of $0.06 per Non-FT Unit and flow-through units (the “FT Units”) at a price of $0.08 per FT Unit. Proceeds raised from the issuance of the FT Units will be used to explore North Arrow’s lithium properties, particularly its 100% owned DeStaffany Lithium Project located within the Yellowknife Pegmatite Province, NWT.
Each Non-FT Unit will consist of a single non-flow-through common share of the Company (each a “Non-FT Share”) and one transferable non-flow-through common share purchase warrant (each a “Warrant”). Each Warrant will entitle the holder thereof to purchase one additional Non-FT Share at a price of $0.10 for a period of 24 months following closing of the private placement.
Each FT Unit will consist of a single flow-through common share of the Company (each a “FT Share”) and one half (1/2) of one transferable non-flow-through common share purchase warrant (each a “FT Warrant”). Each whole FT Warrant will entitle the holder thereof to purchase one non-flow-through common share of the Company at a price of $0.12 for a period of 24 months following closing of the private placement. Each FT Share will be issued as a “flow-through share” as defined in subsection 66(15) of the Income Tax Act (Canada). The Company will use the gross proceeds from the offering of the Flow-Through Units to incur eligible “Canadian exploration expenses” that will qualify as “Flow-through critical mineral mining expenditures” as such terms are defined in the Tax Act (the “Qualifying Expenditures”) on the Company’s Canadian mineral exploration properties. The Qualifying Expenditures will be incurred on or before December 31, 2024, and will be renounced by the Company to the purchasers of the FT Units with an effective date no later than December 31, 2023.
It is anticipated that insiders of North Arrow may participate in the private placement on the terms described herein.
Proceeds from the private placement will be used to advance North Arrow’s Canadian lithium projects, particularly the DeStaffany Lithium Project, and for general corporate purposes.