| Share Capital |
Authorized share
capital
The Company is
authorized to issue an unlimited number of common shares without par value.
Common shares issued
and outstanding as at June 30, 2022, 2021 and 2020 are as follows:
| |
|
Number of common shares |
|
|
Amount
|
|
| |
|
# |
|
|
$ |
|
| Balance, June 30, 2019 |
|
|
13,007,956 |
|
|
|
5,745,215 |
|
| Shares issued from exercise of warrants (a) |
|
|
50 |
|
|
|
154 |
|
| Balance, June 30, 2020 |
|
|
13,008,006 |
|
|
|
5,745,369 |
|
| Shares issued from exercise of warrants (b) |
|
|
2,170 |
|
|
|
4,883 |
|
| Balance, June 30, 2021 |
|
|
13,010,176 |
|
|
|
5,750,252 |
|
| Shares issued on initial public offering (c) |
|
|
3,680,000 |
|
|
|
34,988,520 |
|
| Shares issue costs (b) |
|
|
- |
|
|
|
(4,233,129 |
) |
| Shares issued on conversion of debentures (d) |
|
|
751,163 |
|
|
|
857,399 |
|
| Shares issued on vesting of restricted share units (e) |
|
|
240,000 |
|
|
|
1,950,645 |
|
| Shares issued from exercise of warrants (f) |
|
|
243,419 |
|
|
|
419,946 |
|
| Balance, June 30, 2022 |
|
|
17,924,758 |
|
|
|
39,733,633 |
|
Share capital
transactions for the year ended June 30, 2020
|
(a) |
During the year ended June 30, 2020, 50 common shares were issued as a result of the exercise of Warrants
for cash proceeds of $113. |
Share capital
transactions for the year ended June 30, 2021
|
(b) |
During the year ended June 30, 2021, 2,170 common shares were issued as a result of the exercise of Warrants
for cash proceeds of $4,883. |
|
(c) |
On November 23, 2021, the Company completed the IPO through the issuance
of 3,680,000 common shares, including 480,000 common shares issued under the underwriters’ over-allotment option, at a price of
$9.51 (USD $7.50) per share for gross proceeds of $34,988,520 (USD $27,600,000). In connection with the IPO, the Company granted the underwriters
184,000 Finders’ Warrants with each Finders’ Warrant exercisable into one common share of the Company at the price of USD
$9.375 until November 23, 2026 (see Notes 10 and 14). In addition, the Company paid total issuance costs of $2,995,448 comprised of (i)
a cash commission of $2,624,139 to the underwriters, (ii) underwriters’ fees of $304,248, and (iii) other closing expenses of $67,061. |
|
(d) |
On November 23, 2021, the Company also issued 751,163 common shares for the conversion of all outstanding
Debentures at a conversion price of $1.25 per common share. The total amount of $863,294 was transferred from derivative liability to
share capital. |
|
(e) |
On January 9, 2022, the Company issued 240,000 common shares as a result of the vesting of restricted
share units (“RSUs”). These common shares were valued at an amount of $1,950,645. See Note 12 for more details. |
|
(f) |
During the year ended June 30, 2022, 243,419 common shares were also issued as a result of the exercise
of Warrants for cash proceeds of $365,114. |
Flow-Through
Shares
Flow-through share arrangements involve resource
expenditure deductions for income tax purposes which are renounced to purchasers of common shares in accordance with income tax legislation.
Each flow-through share entitles the holder to a 100% tax deduction in respect of qualifying Canadian Exploration Expenses (“CEE”)
as defined.
The value of the flow-through share liability
was determined using the residual value method, after determining the fair value of the common shares and common shares purchase warrants
attached to the Flow-Through Share Unit Financing. The Flow-Through Share Unit Financing premium established the flow-through share liability
value at $71,249 as at June 30, 2019.
During the year ended June 30, 2020, the Company
satisfied all of its flow-through obligations and recognized a recovery on the statement of loss and comprehensive loss for the full amount
of the flow-through share liability.
|