Standard Uranium Ltd. (OTCQB: STTDF) has successfully closed an initial tranche of its non-brokered private placement, generating gross proceeds of $836,100. The tranche involved the issuance of 7,751,250 non-flow-through units (NFT Units) at a price of $0.08 per unit, yielding $620,100. Additionally, the company issued 2,160,000 flow-through units (FT Units) at $0.10 per unit, amounting to $216,000.
Each NFT Unit comprises one common share and one-half of a common share purchase warrant, while each FT Unit consists of one common share, classified as a flow-through share per the Income Tax Act (Canada), and one-half of a Warrant. Holders of the Warrants can purchase one common share at a price of $0.15 until September 16, 2027.
As part of the offering, the company paid finders’ fees amounting to $33,275 and issued 393,450 non-transferable finders’ warrants to certain parties who aided in securing subscribers. The net proceeds from this offering are earmarked for the exploration of Standard Uranium’s Saskatchewan projects and for working capital. Proceeds from FT Units will specifically support Canadian exploration expenses and will be renounced to purchasers by December 31, 2025.
The securities issued in Tranche 1, as well as any shares resulting from the exercise of Warrants or finders’ warrants, will be under a statutory hold period until January 17, 2026. The company plans to complete further tranches of the offering and will provide updates accordingly.
A portion of the offering, amounting to 337,500 NFT Units, was participated in by certain officers and their affiliates, qualifying as a “related party transaction.” The issuance of these securities to insiders is exempt from various requirements of Multilateral Instrument 61-101 as stipulated in sections 5.5(b) and 5.7(a) because the fair market value does not exceed a quarter of the company’s market capitalization.
Standard Uranium is focused on uranium exploration and project generation in the Athabasca Basin in Saskatchewan, Canada, an area recognized for its richness in uranium deposits. The company holds interests in over 233,455 acres and targets resource discovery through exploration.
The company’s Davidson River Project encompasses ten mineral claims over 30,737 hectares and is considered promising for basement-hosted uranium deposits due to its location near recent high-grade discoveries. Despite its extensive size and the multiple targets it presents, the project remains relatively under-drilled, which keeps its potential largely untested.
Standard Uranium also holds a portfolio of eastern Athabasca projects covering 42,384 hectares, which are considered prospective based on historical occurrences and recent geophysical anomalies. Additionally, the Sun Dog project in the northwest Athabasca Basin occupies nine mineral claims over 19,603 hectares and shows potential for both basement and unconformity-hosted uranium deposits.
The company’s exploration efforts align with broader aims to contribute to a clean energy future through responsible uranium sourcing.
Caution is warranted regarding forward-looking statements contained in the release, as future outcomes may differ due to various risks and uncertainties inherent in the exploration and mining sector. The company disclaims any obligation to update these statements unless required by securities laws, emphasizing the speculative nature of mineral exploration and development.
For further inquiries, interested parties can contact the company directly through their Vancouver office.
