TORONTO, Dec. 29, 2016 /CNW/ - Richmond Minerals Inc. (TSX-V: RMD) ("Richmond" or the "Company") is pleased to announce that it has completed a non-brokered private placement financing for aggregate gross proceeds of $134,998.98. The private placement consisted of the sale of flow-through units ("FT Units") at $0.06 per FT Unit.
Each FT Unit consisted of one common share in the capital stock of Richmond ("Common Share") issued on a flow-through basis and a ½ Common Share purchase warrant ("FT Warrant"). Two FT Warrants entitle the holder to purchase one Common Share a price of $0.10 per Common Share until the date which is 24 months following the closing date of the Offering, whereupon the FT Warrants expire. The securities issued pursuant to the Offering will be subject to a four month and one day statutory hold period.
Finder's fees of $7,600 cash and 126,667 compensation warrants are to be paid to finders. Two compensation warrants entitle the holder to purchase one Common Share a price of $0.10 per Common Share until the date which is 24 months following the closing date of the Offering, whereupon the compensation warrants expire.
Richmond intends to use the net proceeds from the private placement to fund continued exploration on Richmond's Ridley Lake Project. The private placement is subject to certain conditions including, but not limited to, the receipt of all necessary approvals, including the approval of the TSX Venture Exchange ("TSX-V") and applicable securities regulatory authorities.
Cautionary Note Regarding Forward-Looking Statements: Certain disclosure in this release constitutes forward-looking statements. In making the forward-looking statements in this release, the Company has applied certain factors and assumptions that are based on the Company's current beliefs as well as assumptions made by and information currently available to the Company. Although the Company considers these assumptions to be reasonable based on information currently available to it, they may prove to be incorrect, and the forward-looking statements in this release are subject to numerous risks, uncertainties and other factors that may cause future results to differ materially from those expressed or implied in such forward-looking statements. Readers are cautioned not to place undue reliance on forward-looking statements. The Company does not intend, and expressly disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except as required by law.
Neither the 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 news release.
On Behalf of Richmond Minerals,
SOURCE Richmond Minerals Inc.
For further information: Warren Hawkins, P. Eng, Exploration Manager at (416) 603-2114