Nuinsco Announces Closing of Private Placement
Toronto, January 24, 2022 – Nuinsco Resources Limited (“Nuinsco” or the “Company”) (CSE: NWI) today announced that it has closed a non-brokered private placement offering in two tranches, issuing 14,125,000 flow-through units (each, a “Unit”) at a subscription price of $0.016 per Unit for aggregate proceeds of $226,000 (the “Offering”).
Each Unit consisted of one common share of the Company (“Common Share”) issued on a “flow-through” basis pursuant to the Income Tax Act (Canada) and one-half of one warrant (each whole warrant a “Warrant”). Each Warrant entitles the holder thereof to purchase one common share of the Company (non-flow-through) at an exercise price of $0.05 per share for a period of 24 months from the Issue Date.
Proceeds of the Offering will qualify as Canadian Exploration Expenses as defined in subsection 127(9) of the Income Tax Act (Canada). The flow-through proceeds will be used to conduct exploration on the Company’s Canadian assets.
“This offering was principally designed to generate sufficient near-term funds to advance Nuinsco’s Prairie Lake critical metals project to the mineral resource stage,” said Paul Jones, CEO of Nuinsco. “During 2021 the Company conducted a comprehensive drill core sampling program resulting in a succession of drill hole intersections greater than 100m in length of continuous rare earth elements, niobium, tantalum and phosphate mineralization. The sheer size of the target containing an abundant of critical minerals endowment (the Exploration Target, see table below, for the project totals 515-630 million tonnes of mineralized rock) combined with a superb location relative to road, rail and maritime transportation links and other essential infrastructure (a mere 28 km north of the Trans-Canada Highway and just 45 km northwest of town of Marathon, Ontario) make Prairie Lake one of Canada’s most attractive critical metals projects.”
About Nuinsco Resources Limited
Nuinsco Resources has over 50 years of exploration success and is a growth-oriented, multi-commodity mineral exploration and development company focused on prospective opportunities in Canada and internationally. Currently the Company has four properties in Ontario – the high-grade Sunbeam gold property near Atikokan, the Dash Lake gold property near Terrace Bay, the large multi-commodity (rare-earths, niobium, tantalum, phosphate) Prairie Lake project near Terrace Bay, and the Zig Zag Lake property (lithium, tantalum) near Armstrong. In addition, Nuinsco has an agreement for gold exploitation at the El Sid project in the Eastern Desert of Egypt.
Prairie Lake Exploration Target2:
|La (ppm) Lanthanum||275 - 340||295 - 360||305 - 370||200 - 250||280 - 340|
|Ce (ppm) Cerium||650 - 790||670 - 820||670 - 820||450 - 550||650 - 790|
|Sm (ppm) Samarium||55 - 70||55 - 70||55 - 70||50 - 60||55 - 70|
|Nd (ppm) Neodymium||295 - 360||290 - 360||320 - 390||235 - 290||300 - 360|
|Y (ppm) Yttrium||85 - 100||90 - 110||80 - 100||135 - 170||85 - 100|
|La+Ce+Sm+Nd+Y (ppm)||1360 - 1660||1400 - 1720||1430 - 1750||1070 - 1320||1370 - 1660|
|Additional Elements (as oxides)|
|P2O5 (%) Phosphate||3.0 - 4.0||3.5 - 4.5||2.5 - 3.0||2.5 - 3.5||3.0 - 4.0|
|Nb2O5 (%) Niobium||0.095 - 0.115||0.100 - 0.120||0.040 - 0.050||0.085 - 0.105||0.090 - 0.110|
|Ta2O5 (ppm) Tantalum||18 - 25||25 - 30||5 - 7||10 - 12||18 - 21|
|Volume - m3 (million)||140 - 175||12 - 14||13 - 16||2 - 3||170 - 210|
|Tonnes (million)||435 - 530||35 - 45||40 - 50||7 - 8||515 - 630|
2 A full description of methodology used to estimate the Prairie Lake project Exploration Target is contained in the Technical Report dated 30 November 2018 prepared by P&E Mining Consultants Inc. that is filed on SEDAR. The potential quantity and grade of the ET is conceptual in nature and there has been insufficient exploration to define a mineral resource. It is uncertain if further exploration will result in the discovery of a mineral resource. There is no National Instrument 43-101 – Standards of Disclosure for Mineral Projects preliminary economic assessment in respect of the Prairie Lake ET.
Laura Giroux, P.Geo, Chief Geologist, acts as Nuinsco's Qualified Person under National Instrument 43-101. Ms. Giroux has reviewed and approved the technical contents of this news release.
This news release contains certain "forward-looking statements." All statements, other than statements of historic fact, that address activities, events or developments that Nuinsco believes, expects or anticipates will or may occur in the future are forward-looking statements. Forward-looking statements are often, but not always, identified by the use of words such as "seek," "anticipate," "believe," "plan," "estimate, “expect," and "intend" and statements that an event or result "may," "will," "can," "should," "could," or "might" occur or be achieved and other similar expressions. These forward-looking statements reflect the current expectations or beliefs of Nuinsco based on information currently available to Nuinsco. Forward-looking statements are subject to a number of risks and uncertainties that may cause the actual results of Nuinsco to differ materially from those discussed in the forward-looking statements, and even if such actual results are realized or substantially realized, there can be no assurance that they will have the expected consequences to, or effects on Nuinsco. Factors that could cause actual results or events to differ materially from current expectations include, among other things, failure to successfully complete financings, capital and other costs varying significantly from estimates, production rates varying from estimates, changes in world copper and/or gold markets, changes in equity markets, uncertainties relating to the availability and costs of financing needed in the future, equipment failure, unexpected geological conditions, imprecision in resource estimates, success of future development initiatives, competition, operating performance of facilities, environmental and safety risks, delays in obtaining or failure to obtain tenure to properties and/or necessary permits and approvals, and other development and operating risks. Any forward-looking statement speaks only as of the date on which it is made and, except as may be required by applicable securities laws, Nuinsco disclaims any intent or obligation to update any forward-looking statement, whether as a result of new information, future events or results or otherwise. Although Nuinsco believes that the assumptions inherent in the forward-looking statements are reasonable, forward-looking statements are not guarantees of future performance and accordingly undue reliance should not be put on such statements due to the inherent uncertainty therein.
|To learn more, please visit www.nuinsco.ca or contact:|
|Paul Jones, CEO||Sean Stokes, Executive VP||Cathy Hume, Consultant||Instagram: @nuinscoresources|