Alaska Energy Metals Announces Closing of $1 Million Special Warrant Offering

VANCOUVER, British Columbia, Feb. 08, 2024 (GLOBE NEWSWIRE) -- Alaska Energy Metals Corporation (TSX-V: AEMC, OTCQB: AKEMF) (“AEMC” or the “Company”) is pleased to announce the closing of a non-brokered offering of 2,500,000 special warrants (the “Special Warrants”) issued at the price of $0.40 per Special Warrant for gross proceeds of $1,000,000 (the “Offering”).

Each Special Warrant will automatically convert into one unit of the Company (each a “Unit”), as described below. Each Unit shall consist of one common share of the Company (a “Share”) and one-half of one common share purchase warrant (each full warrant, a “Warrant”). Each Warrant shall entitle the holder thereof to acquire one Share at a price of $0.80 per Share for a period of 24 months following the date of issue.

Each Special Warrant will automatically convert, for no additional consideration, into Units on the date (the “Qualification Date”) that is the earlier of: (i) the date that is three business days following the date on which the Company (a) obtains a receipt from the applicable securities regulatory authorities (the “Securities Commissions”) for a (final) short form prospectus qualifying distribution of the Units underlying the Special Warrants (the “Qualifying Prospectus”) or (b) files a prospectus supplement to a short form base shelf prospectus with the Securities Commissions qualifying distribution of the Units underlying the Special Warrants (the “Prospectus Supplement”), and (ii) the date that is four months and one day after the closing of the Offering.

The Company will use its commercially reasonable efforts to obtain a receipt from the Securities Commissions for the Qualifying Prospectus or file the Prospectus Supplement within 60 days of the closing of the Offering (not including the date of closing), provided, however, that there is no assurance that a Qualifying Prospectus or a receipt therefor will be issued by the Securities Commissions, or a Prospectus Supplement will be filed with the Securities Commissions, prior to the expiry of the statutory four month hold period.

The Company paid finder’s fee of $4,000 to Research Capital Corporation and $8,000 to Canaccord Genuity Corp., being 8% of the gross proceeds raised by each such finder. As settlement for the finder’s fees, the Company issued to Research Capital Corporation 10,000 broker special warrants (each a “Broker Special Warrant”) and to Canaccord Genuity Corp. 20,000 Broker Special Warrants at the deemed issue price of $0.40. Each Broker Special Warrant will automatically convert, for no additional consideration, into one Share on the Qualification Date.