Baselode Energy Corp. (TSX-V: FIND) (OTCQB: BSENF) is pleased to announce the closing of its previously announced “bought deal” private placement for aggregate gross proceeds of C$6,000,000, which includes the full exercise of the Underwriter’s (as defined herein) over-allotment option for gross proceeds of C$1,000,000. Under the Offering, the Company sold the following:

• 2,222,222 units of the Company at a price of C$0.45 per Unit for gross proceeds of C$1,000,000 from the sale of Units; and
• 7,692,308 flow-through units of the Company that were sold to charitable purchasers at a price of C$0.65 per Charity FT Unit for gross proceeds of C$5,000,000 from the sale of Charity FT Units.

Red Cloud Securities acted as sole underwriter and bookrunner under the Offering.

Each Unit consists of one common share of the Company and one half of one Common Share purchase warrant. Each Charity FT Unit consists of one common share of the Company and one half of one Warrant, each of which will be issued as a “flow-through share” within the meaning of the Income Tax Act (Canada) (the “Tax Act“). Each Warrant shall entitle the holder to purchase one common share of the Company at a price of C$0.65 at any time on or before February 14, 2026.

Proceeds from the sale of Charity FT Units will be used to incur expenses that qualify as “Canadian exploration expenses” as defined in subsection 66.1(6) of the Tax Act and “flow-through critical mineral mining expenditures” incurred pursuant to an exploration plan that primarily targets “critical minerals”, each as defined in subsection 127(9) of the Tax Act. Such expenses will be renounced to the subscribers with an effective date not later than December 31, 2024, in the aggregate amount of not less than the total amount of gross proceeds raised from the issue of Charity FT Units.

In accordance with National Instrument 45-106 – Prospectus Exemptions, 5,538,462 Charity FT Units were sold to purchasers resident in Canada pursuant to the listed issuer financing exemption under Part 5A of NI 45-106. The common shares of the Company issuable from the sale of these LIFE Offered Securities are immediately freely tradeable under applicable Canadian securities legislation.

All Offered Securities excluding the LIFE Offered Securities were offered by way of the “accredited investor” and “minimum amount investment” exemptions under NI 45-106 in all of the provinces of Canada. The common shares of the Company issuable from the sale of these Offered Securities are subject to a restricted period ending on June 15, 2024.

In connection with the Offering, the Company paid to the Underwriter an aggregate cash commission of C$360,000, equal to 6.0% of the gross proceeds raised under the Offering. The Company also issued to the Underwriter 594,871 warrants of the Company, equal to 6.0% of the number of Offered Securities sold pursuant to the Offering. Each Broker Warrant entitles the holder thereof to purchase one Common Share at a price of C$0.45 at any time on or before February 14, 2026.

The Company intends to use the proceeds raised from the Offering for exploration of the Company’s projects in the Athabasca Basin area and for general working capital purposes.

About Baselode Energy Corp.

Baselode controls 100% of approximately 272,804 hectares for exploration in the Athabasca Basin area, northern Saskatchewan, Canada. The land package is free of any option agreements or underlying royalties.

The Company discovered the ACKIO near-surface, uranium prospect in September 2021. ACKIO measures greater than 375 m along strike, greater than 150 m wide, comprised of at least 9 separate uranium Pods, with mineralization starting as shallow as 28 m and 32 m beneath the surface in Pods 1 and 7, respectively, and down to approximately 300 m depth beneath the surface with the bulk of mineralization occurring in the upper 120 m. ACKIO remains open at depth, and to the north, south and east.

Baselode’s Athabasca 2.0 exploration thesis focuses on discovering near-surface, basement-hosted, high-grade uranium orebodies outside the Athabasca Basin. The exploration thesis is further complemented by the Company’s preferred use of innovative and well-understood geophysical methods to map deep structural controls to identify shallow targets for diamond drilling.