Freeport closes $280,000 third tranche of financing

Freeport Resources Inc. has closed a third tranche of its non-brokered private placement offering for gross proceeds of $280,000. In connection with completion of the third tranche of the offering, the company has issued 5.6 million units at a price of five cents per unit. Each unit consists of one common share and one-half of one common share purchase warrant. Each whole warrant entitles the holder to acquire an additional common share of the company at a price of 10 cents until Sept. 30, 2024.

In connection with completion of third tranche of the offering, the company paid finders' fees of $4,000 to an arm's-length party who assisted in introducing subscribers to the offering.

All securities issued under the offering are subject to restrictions on resale until Aug. 1, 2023, in accordance with applicable securities laws. The offering included a subscription from an insider of the company for an aggregate of 500,000 units. The participation by an insider of the company constitutes a related party transaction within the meaning of TSX Venture Exchange Policy 5.9 and Multilateral Instrument 61-101, Protection of Minority Security Holders in Special Transactions. For this transaction, the company has relied upon the exemption from the formal valuation requirements contained in Section 5.5(a) of MI 61-101 and has relied upon the exemption from the minority shareholder approval requirements contained in Section 5.7(1)(a) of MI 61-101.

The company intends to close a fourth and final tranche of the offering for gross proceeds of up to $669,183 by April 24, 2023.

Option grant

The company also announces that it has granted five million incentive stock options to certain directors, officers and consultants of the company. The options vest immediately and are exercisable at a price of five cents until March 31, 2028.

About Freeport Resources Inc.

Freeport Resources is a copper-centric resource company based in Vancouver, B.C. It is focused on the development of its Yandera copper project, located in Papua New Guinea.