Canada Carbon Closes Private Placement of Flow-Through Units and Non-Flow-Through Units

NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR RELEASE PUBLICATION, DISTRIBUTION OR DISSEMINATION DIRECTLY, OR INDIRECTLY, IN WHOLE OR IN PART, IN OR INTO THE UNITED STATES.

TORONTO, May 14, 2024 (GLOBE NEWSWIRE) -- Canada Carbon Inc. (the "Company") (TSX-V: CCB) is pleased to announce the closing of a non-brokered private placement of 7,500,000 flow-through units (each, a “FT Unit”) at a price of $0.06 per FT Unit gross proceeds of $450,000 (the “FT Offering”). Each FT Unit is comprised of one (1) flow-through share (each, an “FT Share”) in the capital of the Company and one-half of one (1/2) common share purchase warrant (each, a “Warrant”). Each whole Warrant shall entitle the holder thereof to acquire one common share in the capital of the Company at a price of $0.12 per share for a period of 60 months from the date of issuance. The FT Shares will qualify as “flow-through shares” within the meaning of the Income Tax Act (Canada).

In addition, the Company is pleased to announce the closing of a non-brokered private placement of 833,333 non-flow-through units (each, a “NFT Unit”) at a price of $0.06 per NFT Unit for aggregate gross proceeds of $50,000 (the “NFT Offering” and together with the FT Offering, the “Offering”). Each NFT Unit is comprised of one (1) flow-through share (each, an “FT Share”) in the capital of the Company and one (1) Warrant. Each Warrant shall entitle the holder thereof to acquire one common share in the capital of the Company at a price of $0.12 per share for a period of 60 months from the date of issuance.

All securities issued pursuant to the Offering are subject to a hold period of four months plus a day from the date of issuance and the resale rules of applicable securities legislation. The proceeds of the FT Offering will be used by the Company for eligible flow-through expenditures and the proceeds of the NFT Offering will be used by the Company for general corporate purposes.

In connection with the Offering, the Company paid finders’ fees to certain finders, consisting of: (i) a cash fee equal to $36,000; and (ii) 600,000 common share purchase warrants (each, a “Finder’s Warrant”). Each Finder’s Warrant shall entitle the holder to acquire one common share at a price of $0.12 per share for a period of 60 months from the date of issuance.

This news release does not constitute an offer to sell or a solicitation of an offer to sell any of the securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the “U.S. Securities Act”) or any state securities laws and may not be offered or sold within the United States or to U.S. Persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.