UK markets close in 5 hours 41 minutes
  • FTSE 100

    +105.52 (+1.63%)
  • FTSE 250

    +375.66 (+1.80%)
  • AIM

    +9.99 (+0.84%)

    +0.0050 (+0.44%)

    +0.0041 (+0.30%)

    +1,423.86 (+4.37%)
  • CMC Crypto 200

    +21.61 (+2.32%)
  • S&P 500

    -18.19 (-0.48%)
  • DOW

    -469.63 (-1.50%)

    +0.77 (+1.25%)

    +14.30 (+0.83%)
  • NIKKEI 225

    +697.49 (+2.41%)

    +472.36 (+1.63%)
  • DAX

    +162.33 (+1.18%)
  • CAC 40

    +87.50 (+1.53%)

Gensource Provides Update on $10,000,000 Non-Brokered Private Placement

·5-min read


Gensource Potash Corporation ("Gensource" or the "Company") (TSX.V: GSP) is pleased to provide an update on a previously announced in its January 13, 2021 news release proposed best efforts non-brokered private placement for gross proceeds of up to $10,000,000.00 (the "Offering"). As previously announced, the Offering will consist of the sale of up to 55,555,556 Common Shares of the Company ("Common Shares") at a price of $0.18 per Common Share.

It was previously anticipated that the Offering will close on or about January 25, 2021. To accommodate investors, the Company wishes to extend the period within which the Offering will be complete and the Company now expects that the Offering will close on or about the second week of February.

The Company intends to use the net proceeds from the sale of the Offering to advance engineering and construction activities at the Company’s Tugaske Project and for general corporate and working capital purposes. The Offering will take place by way of a private placement to qualified investors in such provinces of Canada as the Company may designate, and otherwise in those jurisdictions where the Offering can lawfully be made. The securities to be issued pursuant to the Offering will be subject to a statutory four month and one day hold period from the Closing Date (as defined herein).

The Offering is subject to the satisfaction of certain conditions, including receipt of all applicable regulatory approvals including the approval of the TSX Venture Exchange. In consideration for their services, certain persons (each, a "Finder") may receive from the Corporation on Closing, a cash commission equal to 6.0% of the gross proceeds of the Common Shares sold and compensation warrants to purchase Common Shares equal to 6.0% of the total number of Common Shares sold, exercisable for 36 months from the closing date at $0.18 per Common Share. The securities issued pursuant to the Offering will be subject to the customary four months and a day holding period under applicable Canadian securiteis laws.

About Gensource

Gensource Potash is a fertilizer development company based in Saskatoon, Saskatchewan and is on track to become the next fertilizer production company in that province. With a small scale and environmentally leading approach to potash production, Gensource believes its technical and business model will be the future of the industry. Gensource operates under a business plan that has two key components: (1) vertical integration with the market to ensure that all production capacity built is directed, and pre-sold, to a specific market, eliminating market-side risk; and (2) technical innovation which will allow for a small and economic potash production facility, that demonstrates environmental leadership within the industry, producing no salt tailings, therefore eliminating decommissioning risk, and requiring no surface brine ponds, thereby removing the single largest negative environmental impact of conventional potash mining.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Caution Regarding Forward-Looking Statements

This news release may contain forward looking information and Gensource cautions readers that forward- looking information is based on certain assumptions and risk factors that could cause actual results to differ materially from the expectations of Gensource included in this news release. This news release includes certain "forward-looking statements", which often, but not always, can be identified by the use of words such as "believes", "anticipates", "expects", "estimates", "may", "could", "would", "will", or "plan". These statements are based on information currently available to Gensource and Gensource provides no assurance that actual results will meet management's expectations. Forward looking statements include estimates and statements with respect to Gensource’s future plans, objectives or goals, to the effect that Gensource or management expects a stated condition or result to occur, including the ability to finance the Tugaske Project or other projects, the establishment of vertical integration partnerships and the sourcing of end use potash purchasers. Since forward-looking statements are based on assumptions and address future events and conditions, by their very nature they involve inherent risks and uncertainties. Actual results relating to Gensource’s financial condition and prospects, the ability to finance the Tugaske Project or other projects on terms which are economic or at all, the ability to establish viable vertical integration partnerships and the sourcing of end use potash purchasers could differ materially from those currently anticipated in such statements for many reasons such as: inability to complete the Offering on the terms announced or at all, failure to finance the Tugaske Project or other projects on terms which are economic or at all; failure to settle a definitive joint venture agreement with a party and advance and finance the project; changes in general economic conditions and conditions in the financial markets; the ability to find and source off-take agreements; changes in demand and prices for potash; litigation, legislative, environmental and other judicial, regulatory, political and competitive developments; technological and operational difficulties encountered in connection with Gensource’s activities; an inability to predict and counteract the effects of COVID-19 on the business of Gensource, including but not limited to the effects of COVID-19 on the price of commodities, capital market conditions, restriction on labour and international travel and supply chains; and other matters discussed in this news release and in filings made with securities regulators. This list is not exhaustive of the factors that may affect any of Gensource’s forward-looking statements. These and other factors should be considered carefully, and readers should not place undue reliance on Gensource’s forward-looking statements. Gensource does not undertake to update any forward-looking statement that may be made from time to time by Gensource or on its behalf, except in accordance with applicable securities laws.

View source version on


Gensource Potash Corporation:
Mike Ferguson, President & CEO
Telephone: (306) 974-6414