Power Nickel Closes Financing, Assays Slated To Be Released Next Week
FULL DISCLOSURE: This is sponsored content for Power Nickel.
Power Nickel (TSXV: PNPN) has closed out the final tranche of the financing it announced back in March. The financing consisted of flow through funds which were raised to fund exploration activities at its flagship Nisk nickel sulfide property in Quebec.
The financing overall managed to raise $4.81 million for the company, with units under the offering sold for $0.50 per each. Each flow through unit contained one share and one half of a common share purchase warrant. Warrants are valid for a period of five years from the date of issuance, and contain an exercise price of $0.50 per share.
“We are pleased to close the final tranche of our previously announced Private Placement. [..] At the risk of being repetitive, we have benefited greatly by having our project in Quebec, where very favorable incentives exist for Critical Mineral projects like our NISK Nickel Sulfide project at Nemaska,” commented CEO Terry Lynch.
READ: Power Nickel Hits 0.97% nickel, 0.45% Copper Over 16.4 Metres At Nisk
Funds raised from the financing are to be utilized for eligible Canadian exploration expenses that also qualify for the federal 30% critical mineral exploration tax credit.
“Quebec, Canada is, in our opinion, the World’s leading jurisdiction for exploration for Critical Minerals. This was further cemented by the recent Quebec and Canadian budgets, which provide substantial incentives to explore Critical Minerals and build mines,” Lynch continued.
“Going forward, the new, unappreciated by the market incentives, could, for example, advance as much as $200 Million USD to building a $400 Million Nickel Mine. While significant steps remain before determining if a mine would be viable and the budgets are not yet law, these are substantial incentives that de-risk projects for investors and enable governments to inspire investment and development in the critical mineral sector.”
The company also remarked that it expects to release additional assays from recent drilling in the coming weeks, while saying that the next two months “could be among the busiest and best for Power Nickel.” In addition to assay results, the firm expects to release the results of airborne electromagnetics that were conducted, as well as results from a metallurgical study. Exploration in the near term meanwhile is to include an ambient noise tomography.
“Nisk is delivering the goods, and we will be working hard to get the word out via our appearances at multiple conferences and a heavy Podcast schedule,” Lynch concluded.
Power Nickel last traded at $0.26 on the TSX Venture.
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