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ROUYN-NORANDA, QC, July 8, 2016 /CNW Telbec/ - X-Terra Resources Inc. (TSXV: XTT) announces that it intends to effect a non-brokered private placement in a maximum amount of $350,000 by issuing up to 2,333,333 units at a price of $0.15 per unit. Each of the units will consist of one common share in the capital of X-Terra Resources and one-half of a common share purchase warrant. Each full warrant will entitle its holder to purchase one additional common share at an exercise price of $0.25 for a period of two years from the closing date of the private placement.
In connection with the private placement, X-Terra Resources may pay a cash sales commission to various securities dealers in an amount representing up to 8% of the gross proceeds of the private placement. In addition, X-Terra Resources may grant finders' options to various securities dealers entitling the holders to acquire additional common shares in an amount representing 8% of the total number of units issued and sold in the private placement through such securities dealers. The finders' options may be exercised at a price of $0.15 for a period of two years from the closing date of the private placement, which is expected to take place during the week of July 11, 2016.
The private placement is subject to the approval of the TSX Venture Exchange.
About X-Terra Resources Inc.
X-Terra Resources is a resource company focused on acquiring and exploring energy properties in Canada. X-Terra Resources has 9,577,790 common shares issued and outstanding.
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 the release.
This news release may contain certain "forward looking statements". These statements may involve a number of known and unknown risks and uncertainties and other factors that may cause the actual results, level of activity and performance to be materially different from the expectations and projections of X-Terra Resources Inc. ("X-Terra"). No assurance can be given that any events anticipated by the forward-looking information, including the private placement referred to in this news release, will transpire or occur or, if any of them do, what benefits X-Terra will derive therefrom. A more detailed discussion of the risks is available in the Management's Discussion and Analysis for the fiscal year ended December 31, 2015 filed by X-Terra on SEDAR at www.sedar.com.
SOURCE X-Terra Resources Inc.
For further information: X-Terra Resources Inc., 139 Québec Avenue, Suite 202, Rouyn-Noranda, Québec, J9X 6M8, Telephone: 819-762-4101, Fax: 819-762-0097, E-mail: firstname.lastname@example.org, Website: www.xterraresources.com