Further to Chatham Rock Phosphate Ltd.’s news releases dated May 4, and May 31, 2021, the company has obtained a third extension from the TSX Venture Exchange of the deadline to complete the previously announced non-brokered private placement.
The new deadline of July 17 for the closing of the private placement is necessary to allow sufficient time for the TSX-V to complete the approval process for the Avenir Makatea acquisition as both approvals are linked.
The private placement is for up to six million units at a price of 11 cents per unit (12 New Zealand cents) for gross proceeds of up to $660,000 ($720,000 (New Zealand)). Each unit will consist of one common share in the capital of the company and one transferable share purchase warrant. Each warrant will entitle the holder thereof to acquire one common share at a price of 45 cents (53 New Zealand cents) per share at any time prior to the date that is five years from the date of issuance.
All information previously reported about the private placement as well as the terms and conditions thereof remain the same.
The company proposes to use the funds to provide updated socioeconomic and environmental reports to facilitate the grant of the Avenir Makatea mining concession and for general working capital.
And, despite the delays in finalizing the acquisition, the company reports that steady progress is being made within Avenir Makatea with respect to other aspects of the mining concession mining application, as well as project financing, the port, mine and processing plant infrastructure design, and market development.
