Cartier Resources Secures Funding Through Private Placement

Cartier Resources Completes Successful Private Placement

Cartier Resources Inc. (TSX-V: ECR), a leading exploration company based in Val-d’Or, Canada, has recently announced its achievement of a non-brokered private placement. This initiative involved the issuance of 7,692,308 flow-through common shares at a price of $0.13 each, totaling approximately $1,000,000 in gross proceeds.

Understanding Flow-Through Shares

The shares issued through this placement qualify as "flow-through shares" as defined by Canadian tax legislation. For eligible subscribers from Quebec, these shares also adhere to provincial tax regulations. Importantly, the tax benefits associated with flow-through shares provide a significant incentive for investors, allowing them to deduct exploration expenses from their taxable income. Renunciation for these shares is set to take effect by year-end.

Incentives for Investors

Investors in flow-through shares often appreciate these opportunities due to the favorable tax treatment they receive, which can enhance the overall return on investment. As a part of the strategy, Cartier has partnered with Mine Equities Ltd., providing them with a finder's fee of 687,500 common shares to reward their assistance in the placement.

Compliance and Regulatory Oversight

This private placement closes with the requisite approval from the TSX Venture Exchange, ensuring all regulatory obligations are met. Additionally, all securities issued will be subject to a four-month and one-day hold period according to Canadian securities laws. This precautionary measure helps maintain market integrity and protects investor interests.

About Cartier Resources Inc.

Founded in 2006, Cartier Resources Inc. has carved out a prominent place in the mining industry, focusing its operations within Quebec. The province is not only rich in mineral resources, but it also ranks as a top-tier mining jurisdiction globally, providing an environmentally and socially responsible landscape for exploration activities.

Project Developments

Cartier is primarily known for developing its flagship Cadillac Project, among other promising initiatives. The company’s commitment to advancing its projects is supplemented by robust support from well-established investors and partners, including Agnico Eagle Mines and O3 Mining. This backing underscores the confidence that institutional players have in Cartier's strategic vision and operational capabilities.

The Future Outlook for Cartier

As Cartier looks ahead, it is poised to leverage this capital infusion to further its exploration and development efforts. With a focus on maximizing shareholder value and continuing its exploration activities, the company is committed to advancing projects that are not only financially viable but also environmentally sustainable.

Key Leadership

Leadership under Philippe Cloutier, P. Geo., the President and CEO, reflects a wealth of experience and strategic insight. Cloutier's direction is instrumental in guiding the company through the complexities of the mining sector, ensuring that Cartier remains at the forefront of industry advancements.

Frequently Asked Questions

What is a non-brokered private placement?

A non-brokered private placement is a funding method where a company sells its securities directly to investors without the involvement of securities dealers or brokers.

What are flow-through shares?

Flow-through shares allow investors to transfer exploration expenses to themselves for tax purposes, providing them a potential tax deduction.

How does Cartier use the proceeds from this placement?

The funds raised will be utilized for exploration and development activities, particularly those related to its Cadillac Project and other initiatives.

Who supports Cartier's projects?

Cartier receives support from notable institutions such as Agnico Eagle Mines and O3 Mining, which enhance its credibility and financial backing.

What is the significance of the TSX Venture Exchange approval?

Approval from the TSX Venture Exchange is crucial for validating the legitimacy of the private placement, ensuring compliance with regulatory requirements.

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