VANCOUVER, March 27, 2017 /CNW/ - BonTerra Resources Inc. (TSX-V: BTR, US: BONXF, FSE: 9BR1) ("BonTerra" or the "Company") is pleased to announce that it has closed its previously announced private placement of 14,857,440 common shares ("Common Shares") of BonTerra by Kinross Gold Corporation ("Kinross") at a price of $0.35 per Common Share for total gross proceeds of $5,200,104 (the "Transaction"). On closing of the Transaction, Kinross holds approximately 9.5% of BonTerra's issued and outstanding Common Shares on an undiluted basis.
The gross proceeds from the sale of the Common Shares will be used for exploration on BonTerra's properties and for general working capital purposes. The Transaction remains subject to the final approval of the TSX Venture Exchange.
INFOR Financial Inc. was retained as strategic financial advisor to BonTerra with respect to the Transaction and its negotiations with Kinross and was paid a finder's fee in respect thereof. In addition, Sprott Capital Partners and Fort Capital Partners provided advice to BonTerra in connection with the Transaction. The advisors were issued an aggregate of 742,872 advisory warrants in consideration for their services, each advisory warrant being exercisable to acquire one Common Share at an exercise price of $0.35 for a period of two years from the date of issuance.
All securities issued under the Transaction are subject to a hold period of four months from the closing date of the Transaction in accordance with the rules and policies of the TSX Venture Exchange and applicable Canadian securities law.
ON BEHALF OF THE BOARD OF DIRECTORS,
Nav Dhaliwal, President & CEO
BonTerra Resources Inc.
Neither 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 release.
This press release contains "forward-looking information" that is based on BonTerra's current expectations, estimates, forecasts and projections. This forward-looking information includes, among other things, statements with respect to the use of proceeds of the Transaction and BonTerra's exploration and development plans. The words "will", "anticipated", "plans" or other similar words and phrases are intended to identify forward-looking information. Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause BonTerra's actual results, level of activity, performance or achievements to be materially different from those expressed or implied by such forward-looking information. Such factors include, but are not limited to: uncertainties related exploration and development; the ability to raise sufficient capital to fund exploration and development; changes in economic conditions or financial markets; increases in input costs; litigation, legislative, environmental and other judicial, regulatory, political and competitive developments; technological or operational difficulties or inability to obtain permits encountered in connection with exploration activities; and labour relations matters. This list is not exhaustive of the factors that may affect our forward-looking information. These and other factors should be considered carefully and readers should not place undue reliance on such forward-looking information. BonTerra disclaims any intention or obligation to update or revise forward-looking information, whether as a result of new information, future events or otherwise, except as required by applicable law.
SOURCE BonTerra Resources Inc.
For further information: For further information regarding this matter please contact either: Nav Dhaliwal, President and CEO: +778 908-4185, [email protected]; or Investor Relations: 1 855.678.5308, [email protected]