Abcourt Mines Secures $5.25 Million Through Strategic Placement

Successful Completion of Private Placement by Abcourt Mines Inc.

Abcourt Mines Inc. (“Abcourt” or the “Company”) (TSX Venture: ABI) (OTCQB: ABMBF) has recently announced the successful closure of its brokered private placement, securing a total of $5,254,012.55. This move has been facilitated by Red Cloud Securities Inc., which acted as the lead agent for this significant financial endeavor.

Details of the Offering

The funds were generated through the sale of various financial instruments, specifically 12,943,500 units and 69,878,770 common shares classified as “flow-through shares.” Each unit is priced at $0.055 and includes one common share and a purchase warrant, which allows investors to purchase additional shares at a set price in the future. This structure not only boosts immediate capital for the Company but also invites further investment interest.

Use of Proceeds

The capital raised through this private placement will be strategically directed towards advancing Abcourt’s gold exploration initiatives, primarily focusing on the Flordin and Sleeping Giant projects located within the rich Abitibi Greenstone Belt in Québec. These projects are noted for their potential in gold production, thus aligning with Abcourt's overall growth strategy in the mineral exploration sector.

Overview of the Financial Instruments

The units consist of one common share and one common share purchase warrant, with an exercise price of $0.08, valid until December 11, 2027. Furthermore, the total offering includes non-transferable broker warrants, entitling the agents to purchase additional common shares at a price that reflects commitment and value for the agents' services.

Regulatory Compliance and Approvals

All securities resulting from this offering will remain under a statutory hold period, barring Canadian purchasers from trading these securities for four months and a day post-closing. The offering is contingent on final approval from the TSX Venture Exchange, ensuring that all regulations governing such financial transactions are strictly adhered to.

Related Party Transactions

It’s worth noting that the offering also involved a related party transaction, where directors of the Company purchased a significant number of units. Abcourt has relied on exemptions from formal valuation requirements due to the nature of the transaction, which was conducted with adherence to the necessary compliance measures.

About Abcourt Mines Inc.

Abcourt Mines Inc. is a prominent exploration company headquartered in Canada, with its territories notably located in northwestern Québec. The Company is primarily engaged in the exploration and development of its gold mining projects, showcasing a commitment to tapping into the rich mineral potential of the region. The Sleeping Giant mine is a focal point for Abcourt, where ongoing developments continue to unfold.

Frequently Asked Questions

What is the total amount raised by Abcourt Mines in the private placement?

Abcourt Mines raised approximately $5.25 million through its brokered private placement.

Who acted as the lead agent for this private placement?

Red Cloud Securities Inc. served as the lead agent and sole bookrunner for the offering.

What will the proceeds be used for?

The proceeds will primarily fund the exploration and advancement of the Flordin and Sleeping Giant gold projects, along with general corporate purposes.

Are the securities issued under the offering subject to trading restrictions?

Yes, the securities will be subject to a statutory hold period, preventing Canadian purchasers from trading them for four months plus one day post-closing.

Where can I find more information about Abcourt Mines Inc.?

For additional details, visit Abcourt Mines' official website or check their public filings for up-to-date information on their projects and operations.

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