Corporate Head Office Moved to Saskatoon
NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES.
UEX Corporation (TSX: UEX) (“UEX” or the “Company”) is pleased to announce that the Company has closed the Flow-Through (“FT”) private placement of 5,560,000 common shares at a price of C$0.36 per Share (the “Offering”) that was announced in the UEX News Release of November 27, 2017 for gross proceeds of $2,001,600. Sprott Capital Partners (the “Agent”), a division of Sprott Private Wealth LP, acted as Agent for the Company during the Offering.
The gross proceeds of the FT Offering will be used to fund exploration of the Company’s properties as qualifying Canadian Exploration Expenses as defined in subsection 127(9) of the Income Tax Act (Canada) which will be renounced to the subscribers with an effective date of December 31, 2017.
In particular, UEX will be using the majority of the proceeds to fund its upcoming winter exploration program at the West Bear Cobalt-Nickel Prospect.
The balance of the proceeds from the private placement will ensure that UEX has the necessary funds to meet the 2018 exploration work commitments under the Christie Lake Option Agreement that will, together with payment of $1M at each of the 2017 and 2018 calendar year ends, enable the Company to vest a 60% interest in the Christie Lake Project by the end of 2018.
The Agent received a commission equal to 7% of the aggregate gross proceeds raised in the Offering paid in common shares of the Company at a price of $0.36 per common share. The Agent also received broker warrants equal to 4% of the number of FT Shares placed by the Agent. Each broker warrant will be exercisable for one common share of the Company for a period of two years at a price of C$0.42 per common share.
The securities issued by UEX in connection with the Offering are subject to a hold period of four months plus one day as prescribed by applicable securities laws.
Corporate Office Move
UEX also announces that effective December 14, 2017, the Company has relocated its Head Office from Vancouver to Saskatoon, where the majority of UEX management, employees, contractors and service providers currently reside. In addition to the cost savings that will be realized by the move, Saskatoon is considered the uranium capital of North America and is the gateway to Saskatchewan’s Athabasca Basin where all of the Company’s projects are located.
UEX’s new head office location is at Unit 200 – 3530 Millar Avenue, Saskatoon, SK, S7P 0B5 and the head office phone number will change to (306) 979-3849.
The Company will be maintaining a service office for our small administrative team in Vancouver at 1093 West Broadway Avenue, can be contacted at the old corporate office phone number of (604) 669-2349.