VANCOUVER, British Columbia, July 30, 2022 (WORLD NEWS CABLE) — Western Resources Corp. (“Western” or the “Company”) WRX is pleased to announce that its subsidiary Western Potash Holding Corp. (“WPHC”) received the second tranche of its capital funds from Vantage Chance Limited (“Vantage”) in the amount of $17 million on July 29, 2022, as part of the previously announced Investment Transaction (as set forth in a Press release dated February 16, 2022), in exchange for the issuance to Vantage of 33,431,578 common shares of WPHC. Upon issuance, Vantage will own approximately 42.32% of the issued and outstanding common shares of WPHC, which in turn owns 100% of Western Potash Corp. (which in turn owns the Milestone Potash Project (the “ Project”).
The first tranche of Vantage’s $33 million equity investment in WPHC closed on May 25, 2022 and resulted in the issuance to Vantage of 64,896,592 shares of WPHC common stock. However, taking into account the schedule for the use of funds for the construction and development of the Project, Vantage and WPHC have agreed to a Second Revised Subscription Agreement dated July 28, 2022, which allows Vantage purchase the 92,428,479 additional ordinary shares previously agreed in two tranches: the Second Tranche and the Third Tranche. The Second Trance, for an amount of $17 million, closed on July 29, 2022 this Friday. The remaining investment of $30 million is expected to close on or before September 30, 2022. Pursuant to the Subscription Agreement, Vantage has committed to make a strategic capital investment of C$80,000,000 in WPHC.
About Western Resources Corp.
Western Resources Corp. and its subsidiary Western Potash Corp. are building one of Canada’s newest, most innovative, greenest and most capital efficient potash mines. It is expected to be the first international potash mine to leave no salt tailings on the surface, thereby reducing water consumption by about half and significantly improving energy efficiency. The successful completion of the Project will form the basis for further expansion.
ON BEHALF OF THE BOARD OF DIRECTORS
president and CEO
Cautions Regarding Forward-Looking Statements
Certain statements contained in this press release constitute forward-looking information within the meaning of applicable Canadian securities laws. Forward-looking statements are statements that are not historical facts and are generally, but not always, identified by words such as “anticipate”, “continue”, “estimate”, “expect”, “expect”, “intend”, “may”, “will”, “project”, “plan”, “should”, “believe” and similar expressions (including negative variations), or that the events or conditions “will”, “would”, “may”, “could” or “should” occur.Forward-looking statements are based on the opinions and estimates of management as of the date such statements are made and are subject to known and unknown risks, uncertainties and other factors that may cause the actual results of the Company are materially different from those expressed or implied by such forward-looking statements or forward-looking information.Although the Company’s management has attempted to identify important factors that could cause actual results to differ materially from those contained in the information prospective training, there may be other factors that cause the results not to be as anticipated, estimated or anticipated. There can be no guarantee that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking information. The Company makes no commitment to update any forward-looking information set forth in this document, except in accordance with applicable securities laws.
For more information on the contents of this release, please contact Simon Guo, Corporate Secretary, at 306-924-9378.