Blue Sky Uranium Announces Shares for Services Agreement and Proposed Share Issuance
Blue Sky Uranium Corp. has entered into an agreement with AGV Falcon Drilling S.R.L. for the issuance of common shares in exchange for drilling services at the Ivana Central and Norte Projects in Argentina. The total potential payment could reach US$590,265, settled by issuing up to 6,356,700 shares in three tranches. An initial invoice of US$343,843.20 has been received, with a proposal to issue 1,666,714 shares at a deemed price of $0.2063 per share. The issuance is subject to exchange acceptance, with a right of first refusal on shares until January 20, 2024.
- Agreement with AGV for drilling services enhances project development potential.
- Issuance of shares for services minimizes cash outflow during operational expansion.
- Dependence on the issuance of shares could dilute existing shareholder value.
- Regulatory acceptance is uncertain, which may delay the project.
TSX Venture Exchange: BSK
Frankfurt Stock Exchange: MAL2
OTCQB Venture Market (OTC): BKUCF
VANCOUVER, BC, Sept. 29, 2021 /PRNewswire/ - Blue Sky Uranium Corp. (TSXV: BSK) (FSE: MAL2) (OTC: BKUCF), "Blue Sky" or the "Company") announces that the Company has entered into an agreement (the "Agreement") with AGV Falcon Drilling S.R.L. ("AGV"), an arm's length party, pursuant to which the Company has agreed to issue common shares in the capital of the Company (each, a "Common Share") in satisfaction of ongoing drilling services provided by AGV (the "Services") in the Ivana Central and Norte Projects located in the Province of Rio Negro, Argentina. It is expected that Blue Sky will owe AGV up to an aggregate of US
The Company has received an initial invoice in the amount of
The Company has a right of first refusal until January 20, 2024 to arrange for the purchase from AGV of any Common Shares issued pursuant to the Agreement, and all Common Shares issued pursuant to the Agreement will be held in escrow by the Company for a period of the earlier of: (i) January 20, 2024; or (ii) the date of completion of the Services.
About Blue Sky Uranium Corp.
Blue Sky Uranium Corp. is a leader in uranium discovery in Argentina. The Company's objective is to deliver exceptional returns to shareholders by rapidly advancing a portfolio of surficial uranium deposits into low-cost producers, while respecting the environment, the communities, and the cultures in all the areas in which we work. Blue Sky has the exclusive right to properties in two provinces in Argentina. The Company is a member of the Grosso Group, a resource management group that has pioneered exploration in Argentina since 1993.
ON BEHALF OF THE BOARD
"Nikolaos Cacos"
______________________________________
Nikolaos Cacos, President, CEO and Director
Neither 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.
FORWARD LOOKING STATEMENTS: Certain statements contained in this press release may constitute forward-looking statements under Canadian securities legislation. Generally, forward-looking information can be identified by the use of forward-looking terminology such as "expects" or "it is expected", or variations of such words and phrases or statements that certain actions, events or results "will" occur. This document contains statements about expected or anticipated future events and/or financial results that are forward-looking in nature and as a result, are subject to certain risks and uncertainties, such as general economic, market and business conditions, regulatory processes and actions, technical issues, new legislation, competitive conditions, the uncertainties resulting from potential delays or changes in plans, the occurrence of unexpected events and the Company's ability to execute and implement its future plans. Forward-looking statements in this press release include, but are not limited to, the completion of the issuance of the Shares and the approval of the Exchange to the Agreement, to the issuance of the Shares and to the future issuance of Common Shares pursuant to the Agreement. Factors that could cause actual results to differ materially from those in forward-looking statements include that the Company does not complete all or any part of the issuance of the Shares or the Company does not receive regulatory acceptance to the issuance of the Agreement, the issuance of the Shares or the future issuance of Common Shares pursuant to the Agreement. Accordingly the actual events may differ materially from those projected in the forward-looking statements. When relying on forward-looking statements to make decisions, investors and others should carefully consider the foregoing factors and other uncertainties and should not place undue reliance on such forward-looking statements. The Company does not undertake to update any forward looking statements, except as may be required by applicable securities laws.
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SOURCE Blue Sky Uranium Corp.
FAQ
What is the purpose of Blue Sky Uranium's agreement with AGV?
How much is Blue Sky Uranium paying AGV for drilling services?
What is the maximum number of shares Blue Sky Uranium will issue under the agreement?
When is the right of first refusal on issued shares valid until?
What was the amount of the initial invoice received by Blue Sky Uranium?
