Vanadiumcorp Resources Announces Non-Brokered Financing For Total Aggregate Proceeds Of Up To $4 Million

VanadiumCorp Resources Inc has announced a non-brokered flow-through (FT) financing of up to $1 million and non-flow-through (NFT) financing of up to $3 million for total aggregate proceeds of up to $4 million.
The company said it will use the net proceeds from the financing for exploration and metallurgical testing on its wholly-owned mineral properties and general corporate purposes.
The flow-through portion of the financing will comprise of up to 8,500,000 FT units at a price of $0.12 each for gross proceeds of up to $1,020,000. Each FT Unit will consist of one flow-through common share and one transferable warrant exercisable to purchase one NFT common share at a unit price of $0.18 for a period of 24 months from the date of issue.
The NFT portion of the financing will comprise of up to 30,000,000 NFT units at a price of $0.10 per each for gross proceeds of up to $3 million. Each NFT unit will consist of one common share and a transferable warrant exercisable to purchase an additional common share at a unit price of $0.18 for a period of 24 months from the date of issue.
Directors and officers of the company may acquire securities under the offering, which participation would be considered to be a “related party transaction” as defined under Multilateral Instrument 61-101 (MI 61-101). Such participation is expected to be exempt from the formal valuation and minority shareholder approval requirements of MI 61-101.
A finder’s fee may be paid to eligible finders in accordance with the TSX Venture Exchange (TSX-V) policies.
All securities issued under the offering will be subject to a hold period of four months and one day from the closing date. The offering and payment of finders’ fees are both subject to approval by the TSX-V.
New director
VanadiumCorp also announced that, in establishing a renewed focus on business fundamentals, Gilles Dupuis has accepted the appointment as a director of the company.
The company noted that Dupuis is a well-respected engineering professional with 49 years of experience in the design, finance, construction, and operation of major engineering projects in Quebec and worldwide. He held senior leadership positions in the engineering firm BPR Inc. and, upon a merger, with Tetra Tech Inc.
Dupuis focuses on the valorization of residues, alternate energy production, energy & process heat audits, and process technologies for battery metals, such as lithium. He brings his years of productive experience in industry joint ventures and government collaboration to the company.
The company also said its board of directors has accepted the resignation of Adriaan Bakker as a director and said it sincerely wishes Bakker success in his new ventures.
2022-2023 work program
Upon completion of the financing, the company said it plans a renewed focus on mineral exploration and metallurgical process improvements for 2022 and 2023.
VanadiumCorp owns 100% of a newly patented hydrometallurgical process, VEPT (VanadiumCorp, Electrochem, Process Technology), invented by Dr Francois Cardarelli that consists of digesting vanadiferous feedstocks into concentrated sulfuric acid. The key to the adequate supply of vanadium and titanium critical metals will be adopting alternate extractive technologies such as this new hydrometallurgical process.
The company said it plans to execute a multifaceted testing program on its Lac Dore and Iron T deposits. Bulk sampling and additional hydrometallurgical tests commence in September 2022. The program aims to improve the yields and quality of the outputs from its VEPT process and to investigate cost-saving measures, such as the recycling of process acids.
VanadiumCorp said its new director, Dupuis, and Gilles Champagne, the company’s CTO, will collaborate in several Quebec-based programs to improve its metallurgical extraction technologies and to pilot the manufacture of high-purity vanadium electrolytes from our concentrates.
Located in Vancouver, Canada, VanadiumCorp has 100% ownership of two strategic vanadium, titanium, and iron properties in Quebec. The Iron T is near Matagami, and the company’s flagship Lac Dore property is near Chibougamau.
A current technical report (Longridge, 2020) on the Lac Dore deposit describes Measured and Indicated Mineral Resources of 215 million tonnes containing 53 million tonnes of recoverable titanomagnetite. The titanomagnetite concentrate is estimated to have 1.49 billion pounds of V2O5 (not factored for recoveries from titanomagnetite).