Nexera Energy Inc. Announces Private Placement Offering
Nexera Energy Inc., based in Calgary, Alberta, and San Antonio, Texas, has disclosed its plans to initiate a non-brokered private placement that aims to raise up to $600,000. This offering includes the potential issuance of 40 million common shares of the Corporation. The shares will be made available through a unit offering, where each unit will consist of one common share along with one share purchase warrant. The subscription price for each unit is set at $0.015. Each warrant will grant the holder the option to purchase an additional common share within a 24-month period at a price of $0.10.
Details on Warrant Acceleration Clause
The warrants come with an acceleration clause stipulating that if, after four months and one day from their issuance, the closing price of the Corporation’s common shares on the principal market hits or exceeds $0.15 for 30 consecutive trading days, the expiration date of the warrants will be shortened. This new expiration date will be set for 30 days following the announcement in a press release regarding the adjusted warrant term, provided that the press release and notifications to all warrant holders are executed within five business days of the qualifying acceleration date.
Utilization of Offering Proceeds
The funds raised from this offering are intended for investment in the Corporation’s wholly-owned subsidiary, Production Resources Inc. (PRI). These funds will facilitate the expansion of the Company’s oil and gas service initiatives, including a well optimization project aimed at bringing approximately 30 inactive wells in the Taylor Ina and Somerset fields back into operation. Additionally, PRI plans to use a portion of these proceeds to acquire new equipment to enhance its cement services division, allowing it to provide well servicing operations that meet the high demand in the region while also generating additional revenue from servicing wells for other operators.
Expected Allocation of Funds
Nexera Energy has outlined a specific budget for the allocation of the net proceeds from this offering, which includes $140,000 for equipment purchases and refurbishments, $280,000 for the well optimization program, and $100,000 for labor costs. Any remaining funds will be directed towards working capital needs.
Regulatory Considerations and Hold Period
All common shares and warrants issued through this private placement will be subject to a four-month holding period. Furthermore, the warrants will not be listed on any stock exchange, and the completion of this offering is contingent upon receiving final approval from the TSX Venture Exchange.
About Nexera Energy Inc.
Nexera Energy Inc. is recognized as an energy entity with oil production assets located in Southwest Texas. The Corporation oversees several projects, including the Lavernia, Wooden Horse, and Stockdale Horizon Projects, and has recently acquired full ownership of Production Resources Inc., a company focused on oil operations in South Texas.
Forward-Looking Statements
This announcement includes forward-looking statements, which are based on historical facts and certain expectations about future performance. While management believes these expectations are reasonable, actual outcomes may differ significantly due to various risks and uncertainties. Therefore, there is no assurance that future results will align with these forecasts. Forward-looking statements are reflective of management’s opinions at the time they are made and may change. The Company does not plan to update these statements unless required by applicable securities laws. Readers are urged to consider this cautionary note and avoid placing excessive reliance on forward-looking statements.
Disclaimer
The TSX Venture Exchange and its Regulation Services Provider do not accept any responsibility for the accuracy or adequacy of this release.
