Canamera Energy Metals Corp. (CSE: EMET) has announced plans to raise up to $1.12 million through a non-brokered private placement. The company will issue up to 2,000,000 flow-through units at a price of $0.56 per unit. Each unit consists of one flow-through common share and one-half of one common share purchase warrant. Each whole warrant entitles the holder to purchase one additional common share at an exercise price of $0.65 for a period of 36 months from the closing date.
The net proceeds from the offering will be used to incur qualifying Canadian exploration expenses, which are eligible for the federal Income Tax Act flow-through share tax credit. The private placement is subject to customary closing conditions, including approval from the Canadian Securities Exchange. Securities issued will be subject to a statutory hold period of four months and one day from the closing date. The company may pay finder's fees in connection with the offering, consisting of a cash commission of up to 6% of the gross proceeds and compensation warrants equal to up to 6% of the number of units sold, in accordance with CSE policies.
This capital raise is significant as it funds the exploration activities of a company focused on a strategically vital sector. Canamera Energy Metals is building a portfolio of district-scale rare earth and critical metals projects across the Americas. The company's asset base includes the Mantle project in British Columbia, the Garrow rare earth elements project in Northern Ontario, and the Schryburt Lake rare earth and niobium project in Ontario. Its portfolio also extends into the United States with the Iron Hills critical and rare earth project in Colorado, and into Brazil with the Turvolândia and São Sepé rare earth element projects.
The company's strategy targets underexplored regions with strong geological signatures in supportive jurisdictions. It applies integrated geochemical, geophysical, and geological datasets to generate and advance high-conviction, first-mover exploration targets. The success of these exploration efforts has broader implications for global supply chains. Rare earth elements and critical metals are essential components in a wide array of modern technologies, including permanent magnets for electric vehicles and wind turbines, consumer electronics, and defense systems. Currently, the supply chain for many of these minerals is heavily concentrated, creating geopolitical and economic vulnerabilities for importing nations.
By advancing projects in politically stable jurisdictions like Canada and the United States, companies like Canamera contribute to efforts to diversify and secure supply chains for these essential materials. The flow-through financing mechanism incentivizes investment in Canadian mineral exploration by allowing companies to renounce tax deductions associated with exploration expenses to investors. This announcement reflects ongoing investor interest in the critical minerals sector, driven by the global transition to clean energy and increasing governmental focus on supply chain security. For more information on the company's projects, visit https://canamerametals.com/. The full details of the private placement are available in the company's press release.
