Vancouver, British Columbia – (March 31, 2023) – Freeport Resources Inc. (the “Company”) is pleased to announce that it has closed a third tranche of its non-brokered private placement offering (the “Offering”) for gross proceeds of $280,000. In connection with completion of the third tranche of the Offering, the Company has issued 5,600,000 units (each, a “Unit”) at a price of $0.05 per Unit. Each Unit consists of one common share, and one-half-of-one common share purchase warrant. Each whole warrant entitles the holder to acquire an additional common share of the Company at a price of $0.10 until September 30, 2024.
In connection with completion of third tranche of the Offering, the Company paid finders’ fees of $4,000 to an arms-length party who assisted in introducing subscribers to the Offering.
All securities issued under the Offering are subject to restrictions on resale until August 1, 2023 in accordance with applicable securities laws.
The Offering included a subscription from an insider of the Company for an aggregate of 500,000 Units. The participation by an insider of the Company constitutes a “related party transaction” within the meaning of TSX Venture Exchange Policy 5.9 and Multilateral Instrument 61-101 – Protection of Minority Security Holders in Special Transactions (“MI 61- 101”). For this transaction, the Company has relied upon the exemption from the formal valuation requirements contained in Section 5.5(a) of MI 61-101 and has relied upon the exemption from the minority shareholder approval requirements contained in Section 5.7(1)(a) of MI 61-101.
The Company intends to close a fourth and final tranche of the Offering for gross proceeds of up to $669,183 by April 24, 2023.
Option Grant
The Company also announces that it has granted 5,000,000 incentive stock options (the “Options”) to certain directors, officers and consultants of the Company. The Options vest immediately and are exercisable at a price of $0.05 until March 31, 2028.
About Freeport Resources Inc.
Freeport Resources Inc. is a copper-centric resource company based in Vancouver, BC. It is focused on the development of its Yandera copper project located in Papua New Guinea.
Please visit www.freeportresources.com or contact the email address below for more information.
On behalf of the Board,
Freeport Resources Inc.
Gord Friesen, Chief Executive Officer
(236) 334-1660 or gord@freeportresources.com
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
This news release may contain certain “Forward-Looking Statements” within the meaning of the United States Private Securities Litigation Reform Act of 1995 and applicable Canadian securities laws. When or if used in this news release, the words “anticipate”, “believe”, “estimate”, “expect”, “target, “plan”, “forecast”, “may”, “schedule”, “intends” and similar words or expressions identify forward-looking statements or information. Such statements represent the Company’s current views with respect to future events and are necessarily based upon a number of assumptions and estimates that, while considered reasonable by the Company, are inherently subject to significant business, economic, competitive, political and social risks, contingencies and uncertainties. Many factors, both known and unknown, could cause results, performance or achievements to be materially different from the results, performance
