NXT Energy Solutions Inc. (“NXT” or the “Company”) (TSX-V:SFD; NASDAQ-OTCBB:NSFDF), today announced the closing of a non-brokered private placement financing (the “Financing”) of 1,303,333 units (the “Units”) for proceeds of US $977,500.
“I am very pleased with the significant progress that NXT has made since Q3-2011” said George Liszicasz, NXT’s President & CEO. “We are on track to post a record year in revenues, and expansion in our Latin America core area continues. Since receiving the ‘Best Innovation Award’ at the NGO conference in Mexico last August, NXT has been asked to make technical presentations to new client prospects in Brazil, Colombia, the Middle East, Africa and Mexico. The recent, cumulative injection of US$3.2 million capital has allowed us to significantly enhance our financial position, and will enable us to pursue and execute new larger scale international contracts. Our goal has never changed - “to have the SFD ® technology become an integral part of every explorationist’s Toolbox”.
Each of the 1,303,333 Units issued in this Financing consist of one common share of NXT (a “Share”) and one common share purchase warrant (a “Warrant”), with the following terms:
- Each of the 1,303,333 Warrants issued will entitle the holder to acquire one Share of NXT at an exercise price of US $1.20 and has a term of 2 years, expiring May 4, 2014;
- NXT has the option to call for acceleration of the expiry (the “Acceleration”, subject to a maximum of 50% in the first 6 months after issuance) of the Warrants if it issues a press release advising that its Shares have traded in excess of US $1.50 for 20 consecutive trading days on the Nasdaq OTCBB;
- Any Warrants subject to Acceleration shall expire 30 days after notice; and
- These new Shares and Warrants issued are subject to a hold period that expires September 5, 2012.
NXT paid finder’s fees totaling US $61,800 and issued a total of 82,400 finder’s warrants (with the same terms as the Warrants noted above) on this Financing, which had the same terms as the prior private placement financings which closed in March for total gross proceeds of US $2,216,005. This current Financing includes US $30,000 subscribed for by one of the officers of NXT.