Nexera Energy Secures $600,000 in Private Placement
Nexera Energy (TSXV: NGY, OTC: EMBYF) has successfully completed a non-brokered private placement, raising $600,000 by issuing 40,000,002 Units, each priced at $0.015. Each Unit consists of one Common Share and one Warrant, which can be exercised at $0.10 over a period of 24 months. The funds generated from this placement will be directed through its subsidiary, Production Resources Inc. (PRI), towards two primary objectives: enhancing oil and gas service operations via equipment purchases and initiating a well optimization program at the Taylor Ina and Somerset fields, aimed at reactivating around 30 dormant wells. The financial allocation includes $140,000 for equipment acquisition, $280,000 for optimizing wells, and $100,000 for labor expenses.
Significant Dilution and Future Implications
The issuance of 40,000,002 new Units signifies considerable dilution for existing shareholders. Additionally, the Warrants could cause further dilution if they are exercised. A four-month holding period will limit the immediate trading of the newly issued shares, and the final endorsement from the TSX Venture Exchange is still awaited.
Corporate Overview and Future Outlook
In a recent announcement, Nexera Energy Inc. (TSXV: NGY, OTC Pink: EMBYF) confirmed the successful closure of its previously disclosed non-brokered private placement. This transaction involved the issuance of 40,000,002 Units, with 5,500,000 Units purchased by the company’s directors and officers, totaling $600,000 in capital. Each Unit includes one Common Share and one Warrant, which grants the holder the right to purchase an additional Common Share at $0.10 for a duration of 24 months.
The Warrants have an acceleration clause; if the closing price of the Common Shares exceeds $0.15 for 30 consecutive trading days post a four-month period, the expiration date of the Warrants will be shortened to 30 days after a press release announcing this change is issued.
The net proceeds from this offering will be channeled to PRI to expand the company’s oil and gas services and to implement a well optimization program focused on bringing approximately thirty inactive wells back into operation. The proceeds will also fund the acquisition of additional equipment to enhance PRI’s cement services division, ultimately allowing the company to service its own wells and generate revenue by aiding other operators in the region, where demand for such services is believed to be high.
The anticipated allocation of funds is as follows: $140,000 for equipment purchases and refurbishments, $280,000 for the well optimization initiative, $100,000 for labor, with any remaining funds directed towards working capital. All Common Shares and Warrants issued will be subject to a four-month hold period and will not be listed on any stock exchange. The completion of this offering still relies on receiving final approval from the TSX Venture Exchange.
About Nexera Energy Inc.
Nexera Energy Inc. (TSXV: NGY) is an energy firm with oil production assets located in Southwest Texas. The company is the owner and operator of multiple projects, including the Lavernia, Wooden Horse, and Stockdale Horizon Projects. Nexera also fully owns Production Resources Inc., a South Texas-based oil company.
Forward-Looking Statements
This announcement includes forward-looking statements that reflect the corporation’s expectations regarding future performance and results. While management believes these expectations to be reasonable, there are no guarantees that actual outcomes will align with them. The forward-looking statements are contingent upon various risks and uncertainties, which could lead to significant deviations from projected results. As per applicable securities laws, there is no obligation for the company to update these forward-looking statements should circumstances change.
Frequently Asked Questions
How much did Nexera Energy (EMBYF) raise in its August 2025 private placement?
Nexera Energy raised $600,000 by issuing 40,000,002 Units at $0.015 per Unit, with each Unit comprising one Common Share and one Warrant.
What is the exercise price and term for Nexera Energy’s new warrants?
The Warrants have an exercise price of $0.10 and are valid for 24 months, subject to an acceleration clause if shares trade at $0.15 or higher for 30 consecutive days.
How will Nexera Energy (EMBYF) utilize the proceeds from the private placement?
The proceeds will be allocated as follows: $140,000 for equipment purchases, $280,000 for the well optimization program, $100,000 for labor costs, with any surplus directed toward working capital.
How many inactive wells does Nexera plan to bring online with this funding?
Nexera aims to reactivate approximately 30 inactive wells through its optimization program at the Taylor Ina and Somerset fields.
Did Nexera Energy insiders participate in the August 2025 private placement?
Yes, directors and officers of Nexera Energy purchased 5,500,000 Units, which constitutes a significant portion of the private placement.
