Appia Announces $4 Million Bought Deal Private Placement Financing

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TORONTO, April 29, 2021 (GLOBE NEWSWIRE) -- Appia Energy Corp. (CSE: API) (OTCQB: APAAF) (FSE: A0I.F) (FSE: A0I.MU) (FSE: A0I.BE) (the "Company" or "Appia"), is pleased to announce that it has entered into an agreement with Research Capital Corporation as sole underwriter and sole bookrunner (the “Underwriter”), whereby the Underwriter will purchase, on a bought-deal basis, securities of the Company (the “Securities”) for aggregate gross proceeds to the Company of $4,000,000 (the “Offering”). The Offering shall consist of a combination of: (i) units of the Company (each, a "Unit") at a price of $0.60 per Unit; and (ii) flow-through units of the Company (each, a “FT Unit”) at a price of $0.70 per FT Unit.

Each Unit shall consist of one common share of the Company (“Common Share”) and one Common Share purchase warrant (a “Warrant”). Each FT Unit shall consist of one Common Share that will qualify as a “flow-through share” within the meaning of subsection 66(15) of the Income Tax Act (Canada) (each, a "FT Common Share") and one Warrant. Each Warrant will entitle the holder thereof to acquire one Common Share (each, a “Warrant Share”) at an exercise price equal to $0.75 per Warrant Share for a period of 24 months following the closing of the Offering.

The net proceeds from the sale of Units will be used for working capital requirements and other general corporate purposes. The gross proceeds from the sale of FT Units (other than the minimal amount allocable to the Warrants) will be used for exploration expenses on the Company’s mining projects as permitted under the Income Tax Act (Canada) to qualify as CEE (as defined herein).

The Company has also granted the Underwriter an option (the “Over-Allotment Option”) to increase the size of the Offering by up to an additional 15% of the total number of Units and FT Units to be issued under the Offering at any time on or before 48 hours prior to closing of the Offering.

The Offering is scheduled to close on or about May 19, 2021, or such other date (but not later than May 26, 2021) as the Underwriter may determine (the “Closing Date” or “Closing”), and is subject to certain conditions including, but not limited to, the receipt of all necessary approvals including the approval of the Canadian Securities Exchange. The Units and FT Units to be issued under the Offering will have a hold period of four months and one day from Closing.