News.
G2 Energy closes $642,500 private placement
2022-10-21 16:23 ET - News Release
Mr. Slawek Smulewicz reports
G2 ENERGY CORP. ANNOUNCES THE CLOSING OF AN OVERSUBSCRIBED NON-BROKERED PRIVATE PLACEMENT IN TWO TRANCHES
G2 Energy Corp., further to its news release dated Sept. 20, 2022, has closed the first, and second and final tranche of an oversubscribed non-brokered private placement financing issuing an aggregate total of 700,000 units at a price of 10 cents per unit for total gross proceeds of $70,000 in the first tranche and 5,725,000 units at a price of 10 cents per unit for total gross process of $572,500 in the second and final tranche.
Each unit consisted of one common share in the capital of the company and one-half transferrable common share purchase warrant.
Each whole warrant entitles the holder thereof to purchase one share at a price of 20 cents per warrant share until 5 p.m. (Vancouver time) on or before Oct. 14, 2024, pursuant to the first tranche closing and Oct. 20, 2024, pursuant to the second tranche closing.
Proceeds from the private placement are intended to be used in connection with the potential new acquisitions, as well as for general working capital.
As a subscriber to the private placement, Slawomir Smulewicz, a director and officer of G2, acquired indirectly, through Blue Amber Enterprise Ltd., one million units. As a subscriber to the private placement, John Costigan, a director and officer of G2, acquired indirectly, 105,000 units. Participation of insiders of the company in the offering will constitute a related-party transaction as defined under Multilateral Instrument 61-101 -- Protection of Minority Security Holders in Special Transactions. The company intends to rely on the exemption from the formal valuation requirements of Section 5.4 of MI 61-101 pursuant to Subsection 5.5(a) of MI 61-101 and the exemption from the minority approval requirements of Section 5.6 of MI 61-101 pursuant to Subsection 5.7(1)(a) of MI 61-101.
The securities issued pursuant to the first, and second and final tranche of the private placement are subject to a statutory hold period of four months plus one day that expire on Feb. 15, 2023, and Feb. 21, 2023, respectively.
About G2 Energy Corp.
G2 Energy is a profitable junior oil and gas producer listed on the Canadian Securities Exchange. Its primary focus is to acquire and develop additional overlooked, low-risk, high-return opportunities in the oil and gas sector. G2's strategy is to obtain a portfolio of risk-managed production and development opportunities onshore, United States. In May, 2022, G2 acquired the Masten unit in the Permian basin, Texas. The Masten unit is the company's first producing asset. G2 is targeting top-tier projects with operating netbacks and infrastructure facilities which will fast-track overall oil and gas production growth.