GREENWOOD VILLAGE, COLORADO–(Marketwired – July 28, 2017) – AZARGA URANIUM CORP. (TSX:AZZ)(FRANKFURT:P8AA)(OTC PINK:PWURF) (“Azarga Uranium” or the “Company”) has closed a non-brokered private placement of $1.14 million through the issuance of 4,391,938 units (each, a “Unit”) at a price of $0.26 per Unit (the “Financing”).
Each Unit consists of one common share of the Company (each, a “Share”) and one-half of one Share purchase warrant (each whole warrant, a “Warrant”). One Warrant entitles the holder thereof to purchase one Share of the Company at a price of $0.36 per Share for a period of three years from the closing of the Financing. The Shares issued in connection with the Financing are subject to a four-month and a day hold period. The Financing is subject to the final approval of the Toronto Stock Exchange.
In connection with the Financing, the Company paid cash finder’s fees of $35,880 and issued 138,000 Share purchase warrants to finders (the “Finder Warrants”). The Finder Warrants have the same terms and conditions as the Warrants issued to subscribers under the Financing.
In addition, to facilitate the closing of the Financing, an insider of the Company sold 1,000,000 freely tradable common shares of the Company to an arm’s length third party and subscribed for 1,000,000 Units in the Financing (the “Transaction”). The issuance of the Warrants to the insider pertaining to the Transaction is subject to disinterested shareholder approval, in addition to the final approval of the Toronto Stock Exchange.
About Azarga Uranium Corp.
Azarga Uranium is an integrated uranium exploration and development company that controls six uranium projects, deposits and prospects in the United States of America (South Dakota, Wyoming and Colorado) and the Kyrgyz Republic. The Dewey Burdock in-situ recovery uranium project in South Dakota (the “Project”), which is the Company’s initial development priority, has received its Nuclear Regulatory Commission License and draft Class III and Class V Underground Injection Control (“UIC”) permits from the Environmental Protection Agency (“EPA”) and the Company is in the process of completing other major regulatory permit approvals necessary for the construction of the Project, including the final Class III and Class V UIC permits from the EPA.