UEX Announces C$21.2 Million Bought Deal Private Placement

 

(TheNewswire)

   

  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 it has entered into an agreement with a syndicate of underwriters led by Sprott Capital Partners ("Sprott") pursuant to which the underwriters have agreed to purchase 72,950,000 units of the Company (the "Units") at a price of C$0.29 per Unit on a "bought deal" private placement basis (the "Offering") for aggregate proceeds of C$21,155,500 to the Company

 

  Each Unit shall be comprised of one common share in the capital of the Company (each a "Common Share") and one-half of one Common Share purchase warrant (each a "Warrant"). Each whole Warrant shall be exercisable for one Common Share at a price of C$0.40 at any time on or before the date which is 36 months after the closing date of the Offering.  

 

  The net proceeds raised from the sale of Units will be used to meet the Company's obligation under its loan agreement with Denison Mines Corp. (see UEX's news release dated August 3, 2021), for exploration at the Company's properties, and for general corporate and working capital purposes.  

 

  The Offering is scheduled to close on or about September 7, 2021 and is subject to certain conditions, including, but not limited to, the receipt of all necessary regulatory and other approvals, including the approval of listing of the Common Shares on the Toronto Stock Exchange (the "TSX"). Resale of the Common Shares and the Warrants   distributed under the Offering will be subject to a hold period of four months and one day following the closing date of the Offering.  

 

  This press 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 or for the account or benefit of a U.S. person (as defined in Regulation S under the U.S. Securities Act) unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.  

 

   About UEX   

 

  UEX is a Canadian uranium and cobalt exploration and development company involved in an exceptional portfolio of uranium projects.  

 

  UEX's directly-owned portfolio of projects is located in the eastern, western and northern perimeters of the Athabasca Basin, the world's richest uranium belt, which in 2019 accounted for approximately 12.6% of the global primary uranium production.  In addition to advancing its uranium development projects through its ownership interest in   JCU,  UEX is currently advancing several other uranium deposits in the Athabasca Basin which include the Paul Bay, Ken Pen and Ōrora deposits at the Christie Lake Project , the Kianna, Anne, Colette and 58B deposits at its currently 49.1%-owned Shea Creek Project, the Horseshoe and Raven deposits located on its 100%-owned Horseshoe-Raven Development Project and the West Bear Uranium Deposit located at its 100%-owned West Bear Project.  

 

  UEX is also 50:50 co-owner of JCU (Canada) Exploration Company Ltd. ("JCU") with Denison Mines Corp.  JCU's portfolio of projects includes interests in some of Canada's key future uranium development projects, notably a 30.099% interest in Cameco's Millennium Uranium Development Project, a 10% interest in Denison Mines Wheeler River Project, and a 33.8123% interest in Orano Canada's Kiggavik Project, located in the Thelon Basin in Nunavut, as well as minority interests in nine other grassroots uranium projects in the Athabasca Basin.  

 

  UEX is also leading the discovery of cobalt in Canada, with three cobalt-nickel exploration projects located in the Athabasca Basin of northern Saskatchewan, including the only primary cobalt deposit in Canada.  The 100% owned West Bear Project hosts the West Bear Cobalt-Nickel Deposit, the newly discovered Michael Lake Co-Ni Zone, and the West Bear Uranium Deposit.  UEX also owns 100% of two early-stage cobalt exploration projects, the Axis Lake and Key West Projects.  

 

   FOR FURTHER INFORMATION PLEASE CONTACT   

 

  Roger Lemaitre  

 

  President & CEO  

 

  (306) 979-3849  

 

  Forward-Looking Information  

 

  This news release contains statements that constitute "forward-looking information" for the purposes of Canadian securities laws. Such forward-looking information concerns the closing of the Offering and the intended use of proceeds. Such forward-looking information is based on a number of assumptions, which may prove to be incorrect. Assumptions have been made regarding, among other things: availability of financing, conditions in general economic and financial markets; timing and amount of capital expenditures; and effects of regulation by governmental agencies. The actual results could differ materially from those anticipated in such forward-looking information as a result of the risk factors including: closing of the Offering, the timing and content of work programs; results of exploration activities of mineral properties; the interpretation of drilling results and other geological data; and general market and industry conditions. Many of these factors are beyond the control of UEX. Consequently, all forward-looking information contained in this news release is qualified by this cautionary statement and there can be no assurance that actual results or developments anticipated by UEX will be realized. For the reasons set forth above, investors should not place undue reliance   on such forward-looking information. Except as required by applicable law, UEX disclaims any intention or obligation to update or revise forward-looking information, whether as a result of new information, future events or otherwise.  

 

Copyright (c) 2021 TheNewswire - All rights reserved.

 

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