NeoTerrex Corporation announced that it has entered into an subscription receipt agreement for a private placement on best efforts for aggregate gross proceeds of CAD 4,000,000 on June 28, 2023. The company will issue minimum of 4,000,000 subscription receipts and maximum of 8,000,000 subscription receipts at an issue price of CAD 0.25 per subscription receipt for gross proceeds of minimum of CAD 1,000,000 and up to a maximum of CAD 2,000,000 and 5,714,285 flow-through subscription receipts at an issue price of CAD 0.35 for gross proceeds of CAD 2,000,000 in the transaction. Each subscription receipt will following the completion of the transaction and the satisfaction of the escrow release conditions, entitle the holder to receive, for no additional consideration, one unit.

Each Unit shall consist of one Common Share and one-half of one common share purchase warrant. Each Warrant shall be exercisable into one Common Share, as the case may be, at a price of CAD 0.40 for a period of 18 months from the escrow release date. Each flow-through subscription receipt will, following the completion of the Transaction and the satisfaction of the escrow release conditions, entitle the holder to receive, for no additional consideration, one flow-through share of the company.

The transaction need to be approved by board of directors of the company.