VANCOUVER, March 22, 2019 /CNW/ - ATAC Resources Ltd. (TSX-V: ATC) ("ATAC" or the "Company") announces that it has closed the private placement announced on February 22, 2019. The private placement consisted of the sale of 10,507,143 flow-through units at a price of $0.35 per flow-through unit, each consisting of one flow-through common share and one-half (1/2) of a share purchase warrant, for gross proceeds of $3,677,500.05. Each whole warrant will entitle the holder to purchase one non-flow-through common share at a price of $0.425 until March 22, 2021.
The proceeds from the private placement will be used for further exploration at the Company's Rackla Gold Property in central Yukon.
The Company paid cash finders' fees totaling $133,875 and issued 382,500 finder warrants to arm's-length parties, including PI Financial Corp., Canaccord Genuity Corp. and Haywood Securities Inc. in connection with the closing of this private placement. Each finder warrant has the same terms as the warrants forming part of the flow-through units disclosed above.
All of the securities issued pursuant to this private placement, including any shares that may be issued pursuant to the exercise of either the share purchase warrants forming part of the flow-through units or the finder warrants, are subject to a hold period in Canada until July 23, 2019.
ATAC is a Yukon-based exploration company focused on developing Canada's only Carlin-type gold district and intrusion related polymetallic targets at the Rackla Gold Property. Work on the ~1,700 km2 property has resulted in the Osiris Project Inferred Mineral Resource of 1,685,000 oz of gold at an average grade of 4.23 g/t (in 12.4 Mt), a positive Preliminary Economic Assessment for the Tiger Gold Deposit and multiple base metal discoveries. ATAC is well-financed with approximately $14 million in working capital.
On behalf of Management and the Board of Directors of ATAC Resources Ltd.
Graham Downs, President and CEO
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.
This news release may contain forward looking statements based on assumptions and judgments of management regarding future events or results that may prove to be inaccurate as a result of exploration and other risk factors beyond its control, and actual results may differ materially from the expected results.
SOURCE ATAC Resources Ltd.
For further information: Matthew Keevil, VP, Corporate Affairs, ATAC Resources Ltd., T: 604-687-2522 ext. 260, [email protected]