The private placement will consist of up to 8,333,334 units at a price of $0.06 per share. Each unit consists of a share and one transferable share purchase warrant. The warrants are exercisable for a period of two years at a price of $0.08 in the first year from the date of issuance and at a price of $0.12 for the balance of the term.
In its statement, the company said the proceeds will be used for working capital.
The company also said it has appointed finance expert David Hodge to the company’s board. Hodge has always been interested in mining and rare earth elements.
MGX Renewables, which listed on the CSE at the end of July after a spin-out from MGX Minerals Inc.(CSE:XMG), has developed a patented zinc-air flow battery technology, called the MGXR energy storage system.
The system is flexible and can be used in a range of applications, which include renewables storage, such as wind, solar and tidal, commercial and industrial backup applications, which could replace diesel generators, grid-scale energy storage and industrial-scale on-demand power.
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