Patriot Battery Metals Announces Closing of $11M Flow-Through Financing

Rhea-AI Summary

Patriot Battery Metals has successfully completed a private placement of 17,973,856 units at C$0.612 per unit, raising approximately C$10.99 million. Each unit consists of a flow-through common share and a warrant valid for two years at $0.75. Proceeds will fund exploration at the Corvette-FCI project in Quebec, with expenditures renounced to subscribers by December 31, 2021. The company issued 977,778 shares and 2,156,863 broker warrants in connection with the offering. The recent drill results are anticipated to boost the company's operational outlook.

Positive

• Raised C$10.99 million through private placement, enabling exploration funding.
• Strategic financing supports ongoing and future drill programs for the Corvette-FCI project.

Negative

• None.

VANCOUVER, British Columbia, Dec. 22, 2021 (GLOBE NEWSWIRE) -- Patriot Battery Metals Inc. (the “Company” or “Patriot”) (CSE: PMET) (OTCQB: RGDCF) (FSE: R9GA) has completed a private placement of 17,973,856 units at a price of C$0.612 per unit for aggregate gross proceeds of C$10,999,999.87 (the “Offering”). Each unit is comprised of one flow through common share and one common share purchase warrant exercisable for two years at a price of $0.75 (collectively, the “FT units”). In addition to statutory four-month resale restrictions, the FT units are subject to a contractual restriction on resale expiring 12 months from the completion of the Offering.

Blair Way, Company President and Director, comments: “I am very pleased to be announcing this significant and strategic financing for the company. This will enable us to move the Corvette - FCI project forward with a winter and summer drill program. Our fall 2021 drill results will continue coming in from the assay labs in the new year and I look forward to sharing those results. The Company is well positioned for the future and I look forward to providing regular updates as we grow our understanding on the scale of this new discovery.”

The gross proceeds received by the Company from the sale of the FT units will be used to incur Canadian exploration expenses (CEE) that are flow-through mining expenditures (as such terms are defined in the Income Tax Act (Canada)) on the company's Corvette-FCI project in the James Bay area of Quebec, by Dec. 31, 2022. The Company will renounce such expenditures to the subscribers effective Dec. 31, 2021.

In connection with the Offering, the Company issued a commission of (i) 977,778 common shares in the capital of the Company, representing 4% of the aggregate gross proceeds of the Offering settled in shares of the Company at a price of $0.45 per share; and (ii) 2,156,863 broker warrants, each such warrant entitling the holder to obtain a unit of the Company (a “Broker Unit”) at a price of $0.45 per Broker Unit for a period of 24 months from the closing of the Offering. Each Broker Unit consists of one common share in the capital of the Company and one common share purchase warrant exercisable for two years at an exercise price of $0.75.

This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities in the United States. The securities 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 U.S. Persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.

About Patriot Battery Metals Inc.

Patriot Battery Metals Inc. is a mineral exploration company focused on the acquisition and development of mineral projects containing battery, base and precious metals.

The Company’s flagship asset is the Corvette-FCI Property which includes the wholly owned Corvette claim block, and the FCI East and West claim blocks held under Option from O3 Mining Inc, located in the James Bay Region of Québec. The claim blocks are contiguous, and host significant gold-silver-copper-PGE-lithium potential highlighted by the Golden Gap Prospect with grab samples of 3.1 to 108.9 g/t Au from outcrop and 10.5 g/t Au over 7 m in drill hole, the Elsass and Lorraine prospects with 8.15% Cu, 1.33 g/t Au, and 171 g/t Ag in outcrop, and the CV1 Pegmatite Prospect with 2.28% Li2O over 6 m in channel.

The 100% owned Freeman Creek Gold Property hosts two major advanced targets - the Gold Dyke Prospect with a 2020 drill hole intersection of 4.11 g/t Au and 33.0 g/t Ag over 12 m, and the Carmen Creek Prospect with surface sample results including 25.5 g/t Au, 159 g/t Ag, and 9.75% Cu.

In addition, the Company holds the Pontax Lithium-Gold Property, QC; the Golden Silica Property, BC; and the Hidden Lake Lithium Property, NWT, where the Company maintains a 40% interest, as well as several other assets in Canada.

For further information, please contact us at info@patriotbatterymetals.com Tel: +1 (778) 945-2950 , or visit www.patriotbatterymetals.com.

On Behalf of the Board of Directors,

“BLAIR WAY”	“ADRIAN LAMOUREUX”
Blair Way, President & Director	Adrian Lamoureux, CEO & Director

Disclaimer for Forward-Looking Information

Statements included in this announcement, including statements concerning our plans, intentions, and expectations, which are not historical in nature are intended to be, and are hereby identified as, “forward-looking statements”. Forward-looking statements may be identified by words including “anticipates”, “believes”, “intends”, “estimates”, “expects” and similar expressions. The Company cautions readers that forward-looking statements, including without limitation those relating to the Company’s future operations and business prospects, are subject to certain risks and uncertainties that could cause actual results to differ materially from those indicated in the forward-looking statements.

The Canadian Securities Exchange has not approved nor disapproved the contents of this news release

FAQ

What was the amount raised in the private placement by Patriot Battery Metals (RGDCF)?

Patriot Battery Metals raised approximately C$10.99 million through the private placement.

What will the proceeds from the offering be used for?

The proceeds will be used to incur Canadian exploration expenses on the Corvette-FCI project.

What are the terms of the warrants issued in connection with the private placement?

The warrants are exercisable for two years at a price of $0.75.

How many units were sold in the private placement by Patriot Battery Metals?

A total of 17,973,856 units were sold in the private placement.

What type of shares does each unit in the private placement comprise?

Each unit consists of one flow-through common share and one common share purchase warrant.