The TSX Venture Exchange has accepted for filing the company's proposal to issue up to 32.49 million bonus warrants in consideration for subscribers participating in a $1.14-million non-brokered unsecured non-convertible debenture financing. Each debenture unit consists of: (a) one $1,000 face value debenture; and (b) 28,500 bonus warrants of the company. The debentures will mature 36 months from the date of closing and will bear an interest rate of 8 per cent per annum, payable quarterly. Each warrant will be exercisable for one common share of the company at a price of five cents per share for a period of 36 months from the date of issuance.

Warrant acceleration provision

If at any time the common shares trade at higher than 15 cents per common share (on a volume weighted average basis) for a period of 20 consecutive trading days, the company will have the right to accelerate the expiry date of the bonus warrants by providing the holder with written notice of an early expiry event. The period whereby the holder is entitled to exercise any portion of outstanding bonus warrants shall expire 30 calendar days following the date on which the company provides written notice to the holders.

For additional details, please refer to the company's news releases dated April 17, 2023, June 1, 2023, June 27, 2023, June 30, 2023, and July 6, 2023.