VANCOUVER, BRITISH COLUMBIA--(Marketwired - July 5, 2016) -
NOT FOR DISTRIBUTION IN THE UNITED STATES OR FOR DISSEMINATION TO OR THROUGH US NEWSWIRE SERVICES-
Blue Sky Uranium Corp. (TSX VENTURE:BSK)(FRANKFURT:MAL)(WKN:A0MKXP), "Blue Sky" or the "Company") is pleased to announce the completion of the non-brokered private placement financing of 38,000,000 units ("Units") for gross proceeds of $1,900,000 announced on June 1 2016 and June 3, 2016.
Each Unit consists of one common share and one transferrable common share purchase warrant. Each warrant entitles the holder to purchase one additional common share of the Company at $0.10 per share for one year from the date of issue. The warrants are legended for automatic timed release in three installments: (1) 15% of the Units four (4) months from issue; (2) 35% of the Units six (6) months from issue; and (c) 50% of the Units ten (10) months from issue.
If the volume weighted average price for the Company's shares is $0.25 or greater for a period of 10 consecutive trading days, then the Company may deliver a notice (the "Notice") to the warrantholder that the Warrants must be exercised within twenty (20) days from the date of delivery of such Notice, otherwise the Warrants will expire at 4:30 p.m. (Vancouver time) on the twenty-first (21st) day after the date of delivery of the Notice. The accelerated exercise shall not apply until the expiration of the four-month hold period required under Exchange policies and rules, and securities laws that are applicable to the Company.
Finder's fees of $18,900.00 are payable in cash on a portion of the private placement to parties at arm's length to the Company. In addition, 378,000 finder's warrants are issuable with each finder's warrant entitling a finder to purchase one common share at a price of $0.10 per share for a period of twelve (12) months, expiring on July 4, 2017. The finder's warrants are also legended for automatic timed release in three installments as set out above and are subject to the accelerated exercise above.
The proceeds of the financing will be used for general working capital.
About Blue Sky Uranium Corp.
Blue Sky is one of Argentina's best positioned uranium exploration companies with more than 5,000 km2 of tenements. The Company's mission is to acquire, explore and advance a portfolio of uranium projects with an emphasis on surficial deposits, in Argentina and other jurisdictions. The Company is a member of the Grosso Group, a resource management group with experience in South America since 1993.
ON BEHALF OF THE BOARD
Nikolaos Cacos, President, CEO and Director
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in 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. Readers are encouraged to refer to the Company's public disclosure documents for a more detailed discussion of factors that may impact expected future results. The Company undertakes no obligation to publicly update or revise any forward-looking statements.
The securities being offered have not been, nor will they be registered under the United States Securities Act of 1933, as amended, or state securities laws and may not be offered or sold within the United States or to, or for the account or benefit of, U.S. persons absent U.S. federal and state registration or an applicable exemption from the U.S. registration requirements. This release does not constitute an offer for sale of securities in the United States.