Forum Announces $1,000,000 Private Placement

Rhea-AI Summary

Forum Energy Metals Corp. (TSXV: FMC, OTCQB: FDCFF) has announced a non-brokered private placement of up to 7,407,407 units at $0.135 per unit, aiming for $1,000,000 in gross proceeds. Each unit includes one common share and one-half of a share purchase warrant, with each whole warrant allowing the purchase of one common share at $0.20 for 24 months following the offering. The funds will be used for working capital, pending TSX Venture Exchange approval. Finder's fees may apply, and all securities issued will be subject to a four-month hold period.

Positive

• The private placement aims to raise $1,000,000 in gross proceeds.
• Each unit is priced at $0.135, potentially attracting more investors.
• Each warrant allows the purchase of a common share at $0.20, providing future investment opportunities.
• Funds to be used for working capital, which may stabilize the company financially.

Negative

• All securities will be subject to a four-month hold period, reducing liquidity for investors.
• The offering is subject to TSX Venture Exchange acceptance, which is not guaranteed.
• Finder's fees may apply, potentially increasing the overall cost of the offering.

Vancouver, British Columbia--(Newsfile Corp. - June 3, 2024) - Forum Energy Metals Corp. (TSXV: FMC) (OTCQB: FDCFF) ("Forum" or the "Company") is pleased to announce a non-brokered private placement of up to 7,407,407 units (the "Units") at a price of $0.135 per Unit for gross proceeds of up to $1,000,000 (the "Offering"). Each Unit will consist of one common share and one-half of one share purchase warrant (each whole warrant, a "Warrant"). Each Warrant will entitle the holder to purchase one common share (each a "Warrant Share") at a price of $0.20 per Warrant Share for a period of 24 months following closing of the Offering.

The proceeds from the Offering will be used for working capital and the Offering is subject to acceptance by the TSX Venture Exchange. Finder's fees may be payable in accordance with the policies of the TSX Venture Exchange and all securities to be issued will be subject to a four month hold period in accordance with applicable securities laws.

The securities referred to in this news release have not been and will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act") or any state securities laws and may not be offered or sold within the United States or to, or for the account or benefit of, U.S. persons absent registration under the U.S. Securities Act and applicable state securities laws, unless an exemption from such registration is available. This news release does not constitute an offer for sale of securities for sale, nor a solicitation for offers to buy any securities. Any public offering of securities in the United States must be made by means of a prospectus containing detailed information about the company and management, as well as financial statements. "United States" and "U.S. person" have the respective meanings assigned in Regulation S under the U.S Securities Act.

About Forum Energy Metals

Forum Energy Metals Corp. (TSXV: FMC) (OTCQB: FDCFF) is focused on the discovery of high-grade unconformity-related uranium deposits in the Athabasca Basin, Saskatchewan and the Thelon Basin, Nunavut. For further information: https://www.forumenergymetals.com.

ON BEHALF OF THE BOARD OF DIRECTORS

Richard J. Mazur, P.Geo.
President & CEO

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

For further information contact:

Rick Mazur, P.Geo., President & CEO
mazur@forumenergymetals.com
Tel: 604-630-1585

Not for distribution to United States Newswire Services or for dissemination in the United States

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/211377

FAQ

What is Forum Energy Metals' stock symbol?

Forum Energy Metals' stock symbols are TSXV: FMC and OTCQB: FDCFF.

How much is Forum Energy Metals aiming to raise in the private placement?

Forum Energy Metals is aiming to raise $1,000,000 in the private placement.

What is the price per unit in Forum Energy Metals' private placement?

The price per unit in Forum Energy Metals' private placement is $0.135.

What does each unit consist of in the Forum Energy Metals' private placement?

Each unit consists of one common share and one-half of a share purchase warrant.

What is the warrant price and duration for Forum Energy Metals' units?

Each warrant allows the purchase of one common share at $0.20 for a period of 24 months.

What will the proceeds from Forum Energy Metals' private placement be used for?

The proceeds will be used for working capital.

Is Forum Energy Metals' private placement subject to any approvals?

Yes, the private placement is subject to acceptance by the TSX Venture Exchange.

Will there be any hold period for the securities issued in Forum Energy Metals' private placement?

Yes, all securities issued will be subject to a four-month hold period.