Stewart, British Columbia--(Newsfile Corp. - September 6, 2022) - Decade Resources Ltd (TSXV: DEC) ("Decade" or the Company) announces that it has cancelled the August 2, 2022 private placement and is using its best efforts to complete a non-brokered private placement of flow-through and non-flow-through shares to raise aggregate gross proceeds of up to $780,000.
The flow-through offering will comprise up to 4,000,000 flow-through units, at a price of twelve cents per flow-through unit, for gross proceeds of up to $480,000. Each unit will comprise one common share and one transferable common share purchase warrant, each warrant being exercisable for the purchase of one additional common share, at a price of sixteen cents per share, for a 42 month period.The federal proposal for the Mineral Exploration Tax Credit (METC) provides an additional income tax benefit for individuals who invest in mining flow-through shares, which augments the tax benefits associated with the deductions that are flowed through. The METC is equal to 15 per cent of specified mineral exploration expenses incurred in Canada and renounced to flow-through share investors. The proposed 2022 Budget proposes to introduce a new 30-per-cent Critical Mineral Exploration Tax Credit (CMETC) for specified minerals. The specified minerals that would be eligible for the CMETC are: copper, nickel, lithium, cobalt, graphite, rare earth elements, scandium, titanium, gallium, vanadium, tellurium, magnesium, zinc, platinum group metals and uranium. These minerals are used in the production of batteries and permanent magnets, both of which are used in zero-emission vehicles, or are necessary in the production and processing of advanced materials, clean technology, or semi-conductors.
The offering of non-flow-through units will comprise up to 3,000,000 shares, at a price of ten cents per share, for gross proceeds of up to $300,000. Each unit will comprise one common share and one transferable common share purchase warrant, each warrant being exercisable for the purchase of one additional common share, at a price of sixteen cents per share, for a 24 month period.
The proceeds from the sale of the flow-through shares will be expended on the company's copper properties located in British Columbia and the proceeds from the sale of non-flow-through shares will be used for working capital purposes.
Certain directors and officers of the company may participate in the private placement. Any such participation would be considered to be a related party transaction as defined under Multilateral Instrument 61-101. The transaction will be exempt from the formal valuation and minority shareholder approval requirements of MI 61-101 as neither the fair market value of any shares issued to or the consideration paid by such persons will not exceed 25 per cent of the company's market capitalization. Finders' fees may be payable in connection with the private placement.
Ed Kruchkowski, P. Geo., a qualified person under National Instrument 43-101 is responsible for the contents of this release. E. Kruchkowski is not independent of Decade as he is the president of the Company.
Decade Resources Ltd. is a Canadian based mineral exploration company actively seeking opportunities in the resource sector. Decade holds numerous properties at various stages of development and exploration from basic grass roots to advanced ones. Its properties and projects are all located in the "Golden Triangle" area of northern British Columbia. For a complete listing of the Company assets and developments, visit the Company website at www.decaderesources.ca which is presently being updated.
For investor information please call 250-636-2264 or Gary Assaly at 604-377-7969.
ON BEHALF OF THE BOARD OF DECADE RESOURCES LTD.
Ed Kruchkowski, President
"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."
"This news release may contain forward-looking statements. Forward-looking statements address future events and conditions and therefore involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipated in such statements."
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