Jourdan closes private placement Flow-Through financing

Jourdan Resources Inc. has closed its non-brokered private placement flow-through financing for gross proceeds of $720,000. 

Pursuant to the Offering, Jourdan issued 14,400,000 units (each, a “Unit”) at a price of $0.05 per Unit. Each Unit was issued on a “flow-through basis” and consists of one common share of the Company and one-half of one common share purchase warrant (each whole warrant, a “Warrant”). Each Warrant entitles the holder to acquire one additional common share of the Company at an exercise price of $0.07 until July 7, 2023.

All securities issued in connection with the Offering are subject to a statutory hold period expiring on November 8, 2021. Completion of the Offering is subject to receipt of final approval of the TSX Venture Exchange (“TSXV”). Finder’s fees were paid in accordance with the policies of the TSXV to Roche Securities Limited consisting of a cash commission equal to $36,000 and an issuance of 360,000 finder warrants (“Finder Warrants”) and to Marquest Asset Management Inc. consisting of an issuance of 360,000 Finder Warrants. Each Finder Warrant entitles the holder thereof to purchase one common share of the Company at a price of $0.07 per share until July 7, 2023. The Company intends to use the net proceeds of the Offering to fund exploration expenditures on its Vallee, Preissac, Lacorne and Baillarge lithium mining properties and for general corporate purposes.

Rene Bharti, chief executive officer of Jourdan, commented, “We are excited to use the proceeds from this offering to accelerate our planned drilling campaign, which is the next step on our path to defining an initial mineral resource estimate. To that end, we have been ramping up exploration activities, most recently with a visit by our executive chairman, Dr. Andreas Rompel, to our Vallee property in Val d’Or to inspect the planned drill sites.”

Insiders of the Company subscribed for Units pursuant to the Offering (the “Insider Participation”). The Insider Participation is considered to be a “related party transaction” as defined under Multilateral Instrument 61-101 – Protection of Minority Security Holders in Special Transactions (“MI 61-101”). The Insider Participation is exempt from the formal valuation and minority shareholder approval requirements of MI 61-101. The Company did not file a material change report more than 21 days before closing the Offering as the details of the abovementioned Insider Participation were not settled until shortly prior to closing, and the Company wished to close the Offering on an expedited basis.

About Jourdan Resources

Jourdan Resources Inc. is a Canadian junior mining exploration company trading under the symbol “JOR” on the TSXV and “2JR1” on the Stuttgart Stock Exchange. The Company is focused on the acquisition, exploration, production, and development of mining properties. The Company’s properties are in Quebec, Canada, primarily in the spodumene-bearing pegmatites of the La Corne Batholith, around North American Lithium’s producing Quebec Lithium Mine. This mine is part of Contemporary Amperex Technology Co. Limited (CATL), China’s largest automotive battery manufacturer.

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