REG - Gensource Potash - $700,000 Non-Brokered Private Placement

Gensource PotashAnnouncement

28/09/2023 07:00

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RNS Number : 9038N  Gensource Potash Corporation  28 September 2023

 

 

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Gensource Announces Non-Brokered Private Placement

 

SASKATOON, Saskatchewan and London, U.K.  - September 28, 2023 - Gensource
Potash Corporation ("Gensource" or the "Company") (AIM/TSXV: GSP), a
fertilizer development company focused on sustainable potash production, is
pleased to announce a proposed best efforts, non-brokered private placement
for gross proceeds of up to $700,000 (the "Offering").

 

The Offering will consist of up to 4,666,666 units of the Company ("Units") at
a price of $0.15 per Unit for gross proceeds of up to $700,000.

 

Each Unit shall consist of one common share in the capital stock of the
Company (a "Common Share") and one Common Share purchase warrant of the
Company (a "Warrant"). Each Warrant will be exercisable for one Common Share
(a "Warrant Share") at an exercise price of $0.30 per Warrant Share for a
period of 24 months following the date of issuance.

 

The Company intends to use the net proceeds from the sale of the Units to
complete fieldwork on its Tugaske potash project (the "Tugaske Project") and
general working capital purposes.

 

The Offering will take place by way of a private placement to qualified
investors in such provinces of Canada as the Company may designate, and
otherwise in those jurisdictions where the Offering can lawfully be made. The
securities to be issued pursuant to the Offering will be subject to a
statutory four month and one day hold period from the date of issuance.

 

It is anticipated that some or all of the subscribers for the Offering will be
insiders of the Company. Sales of Units to insiders will be considered to be
"related party transactions" for the purposes of National Instrument 61-101 -
Protection of Minority Security Holders in Special Transactions ("MI 61-101").
It is anticipated that the Company will be exempt from the formal valuation
and minority shareholder approval requirements of MI 61-101 in reliance on
sections 5.5(b) and 5.7(a) of MI 61-101.

 

The Offering is subject to the satisfaction of certain conditions, including
receipt of all applicable regulatory approvals, including that of the TSX
Venture Exchange.

 

About Gensource:

 

Gensource is a fertilizer development company based in Saskatoon, Saskatchewan
and is on track to become the next fertilizer production company in that
province. With a modular and environmentally leading approach to potash
production, Gensource believes its technical and business model will be the
future of the industry. Gensource operates under a business plan that has two
key components: (1) vertical integration with the market to ensure that all
production capacity built is directed, and pre-sold, to a specific market,
eliminating market-side risk; and (2) technical innovation which will allow
for a modular and economic potash production facility, that demonstrates
environmental leadership within the industry, producing no salt tailings,
therefore eliminating decommissioning.

 

For further information on Gensource Potash, please contact:

 

 Gensource Potash Corporation
 Mike Ferguson - President & CEO                             +1-306-974-6414

 Strand Hanson Limited (Nominated & Financial Adviser)       +44 (0) 20 7409 3494
 Ritchie Balmer / Rory Murphy / Charles Hammond

 Peel Hunt LLP (Broker)                                      +44 (0) 20 7418 8900
 Ross Allister / David McKeown / Georgia Langoulant

 

For any press enquiries please contact Gensource at 306-974-6414.

 

Further information on Gensource Potash Corporation can be found at
www.gensourcepotash.ca (http://www.gensourcepotash.ca)

Follow us on twitter @GensourcePotash

 

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that
term is defined in the policies of the TSX Venture Exchange) accepts
responsibility for the adequacy or accuracy of this release.

 

Caution Regarding Forward-Looking Statements

This news release may contain forward looking information and Gensource
cautions readers that forward-looking information is based on certain
assumptions and risk factors that could cause actual results to differ
materially from the expectations of Gensource included in this news release.
This news release includes certain "forward-looking statements", which often,
but not always, can be identified by the use of words such as "believes",
"anticipates", "expects", "estimates", "may", "could", "would", "will", or
"plan". These statements are based on information currently available to
Gensource and Gensource provides no assurance that the actual results will
meet management's expectations.

Forward looking statements include estimates and statements with respect to
Gensource's future plans, objectives or goals, to the effect that Gensource or
management expects a stated condition or result to occur, including any
offering of securities by Gensource. Since forward-looking statements are
based on assumptions and address future events and conditions, by their very
nature they involve inherent risks and uncertainties. Actual results could
differ materially from those currently anticipated in such statements for many
reasons such as: failure to complete the Offering; failure to finance the
Tugaske Project or other projects on terms which are economic or at all;
failure to settle a definitive joint venture agreement with a party and
advance and finance the Tugaske Project; changes in general economic
conditions and conditions in the financial markets; the ability to find and
source off-take agreements; changes in demand and prices for potash;
litigation, legislative, environmental and other judicial, regulatory,
political and competitive developments; technological and operational
difficulties encountered in connection with Gensource's activities; and other
matters discussed in this news release and in filings made with securities
regulators. This list is not exhaustive of the factors that may affect any of
Gensource's forward-looking statements. These and other factors should be
considered carefully, and readers should not place undue reliance on
Gensource's forward-looking statements. Gensource does not undertake to update
any forward-looking statement that may be made from time to time by Gensource
or on its behalf, except in accordance with applicable securities laws.

 

 

 

 

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