Volt Carbon Technologies Inc. ("Volt Carbon" or the "Company") is pleased to announce that it intends to complete a non-brokered private placement financing of up to 22,222,222 common shares in the capital of the Company issued on a "flow-through" basis pursuant to the Income Tax Act (Canada) (each a "Flow-Through Share") at a price of $0.045 per Flow-Through Share for gross proceeds of up to $1,000,000 (the "Offering").
The Company intends to pay a cash finder's fee, to certain arm's length finders (each a "Finder"), equal to 7% of the gross proceeds raised under the Offering from purchasers introduced to the Company by each Finder. In addition, the Company intends to issue non-transferable warrants ("Finder Warrants") in the capital of the Corporation equal to 7% of the total number of Flow-Through Shares sold under the Offering. The Finder Warrants are exercisable by each Finder at a price of $0.045 for a period of twenty-four (24) months from closing of the Offering. As of this news release, the Company has only entered into a finder's agreement with Red Cloud Securities Inc.
The Company intends to use the net proceeds of the Offering to carry out exploration programs on mineral properties and to incur eligible Canadian Exploration Expenses that qualify as Canadian exploration expenses and "flow-through mining expenditures" for purposes of the Income Tax Act (Canada).
The Company anticipates closing the Offering within approximately 20 business days. All securities issued as part of the Offering shall be subject to a four month and one day hold period. No Insiders intend to participate in the placement and no new control persons will be created by the Offering. Closing of the Offering is subject to customary conditions and regulatory approvals including the approval of the TSX Venture Exchange.