Freeport Resources closes $1.6M first tranche of private placement

Freeport Resources Inc. (TSXV: FRI) (OTCQB: FEERF) closed the first tranche of a non-brokered private placement, issuing 53,828,332 units at $0.03 per unit for gross proceeds of approximately $1,614,850.

Each unit consists of one common share and one-half share purchase warrant. The warrants allow holders to acquire additional common shares at $0.06 for 12 months following issuance.

The first tranche forms part of a larger offering of up to 100,000,000 units at $0.03 per unit for gross proceeds of up to $3,000,000. The company plans to use proceeds for continued development of the Yandera Copper Project and general working capital purposes.

Company insiders subscribed for 925,000 units in the first tranche. The company paid $6,000 in finder's fees and issued 2,106,700 non-transferable finder warrants exercisable at $0.05 for 12 months.

All securities issued are subject to a four-month-and-one-day resale restriction period. Additional tranches remain subject to TSX Venture Exchange approval.

The Mineral Resources Authority of Papua New Guinea confirmed receipt of the company's application to renew Exploration License 1335, which covers the 245.5 square kilometer Yandera Copper Project concession. The current two-year license term ends November 19, 2025.

A mandatory Wardens Hearing is being scheduled at Yandera with principal landowners present. The hearing will be conducted by senior Mining Warden Kopi Wapa.

Freeport Resources acquired the Yandera Copper Project in 2021. The project has received approximately $200 million in exploration and development expenditures since 2005, including 154,600 meters of exploration drilling and various studies.

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