VANCOUVER, June 25, 2013 /CNW/ - Brixton Metals Corporation (TSXV: BBB) (the "Company" or "Brixton") announces that Hecla Mining Company ("Hecla") is exercising its pre-emptive right to maintain its pro-rata interest in the Company (the "Transaction") pursuant to the terms of an ancillary rights agreement between Brixton and Hecla dated February 26, 2013 (the "Ancillary Rights Agreement"). As a result, a wholly-owned subsidiary of Hecla will subscribe for 1,700,000 common shares ("Shares") of Brixton at a price of $0.18 per Share and 450,000 Shares at a price of $0.16 per Share for aggregate gross proceeds of approximately $378,000. On closing, Hecla will own approximately 19.8% of the Company's issued and outstanding common shares.
Pricing of the Shares was determined in accordance with the terms of an Ancillary Rights Agreement. All securities issued pursuant to the Transaction will be subject to a four month and one day hold period.
The closing date of the Transaction will occur on June 26, 2013, or such other date as may be required. The proceeds from the Transaction will be used for general corporate and administrative purposes.
About Brixton Metals Corporation and the Thorn Project
Brixton Metals is an exploration company focused on the advancement of high-grade precious metal assets to feasibility. The primary focus at the Thorn project is high-grade silver-gold-lead-zinc bearing diatreme-breccia zones and high-grade gold-silver-copper veins. Secondary targets include porphyry, skarn, replacement, and bulk tonnage gold targets. The Thorn project covers a Cretaceous volcanic-porphyry complex that shares many similarities with other high sulphidation deposits around the world such as Lepanto-FSE in the Philippines, Penasquito in Mexico and El Indio in Chile. The 27,000-hectare Thorn Project is located in the Sutlahine River area of Northwestern British Columbia, Canada, approximately 40km from Chieftain's Tulsequah Chief mine development.
Brixton Metals Corporation shares trade on the TSX-V under the ticker symbol BBB. For more information about Brixton please visit our website at www.brixtonmetals.com.
On Behalf of the Board of Directors
Mr. Gary R. Thompson, Chairman and CEO,
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Information set forth in this news release may involve forward-looking statements under applicable securities laws. Forward-looking statements are statements that relate to future, not past, events. In this context, forward-looking statements often address expected future business and financial performance, and often contain words such as "anticipate", "believe", "plan", "estimate", "expect", and "intend", statements that an action or event "may", "might", "could", "should", or "will" be taken or occur, or other similar expressions. All statements, other than statements of historical fact, included herein including, without limitation; statements about the closing date and use of proceeds are forward-looking statements. By their nature, forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause our actual results, performance or achievements, or other future events, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Such factors include, among others, the following risks: the need for additional financing; operational risks associated with mineral exploration; fluctuations in commodity prices; title matters; environmental liability claims and insurance; reliance on key personnel; the potential for conflicts of interest among certain officers, directors or promoters with certain other projects; the absence of dividends; competition; dilution; the volatility of our common share price and volume and the additional risks identified the management discussion and analysis section of our interim and most recent annual financial statement or other reports and filings with the TSX Venture Exchange and applicable Canadian securities regulations. Forward-looking statements are made based on management's beliefs, estimates and opinions on the date that statements are made and Excelsior undertakes no obligation to update forward-looking statements if these beliefs, estimates and opinions or other circumstances should change, except as required by applicable securities laws. Investors are cautioned against attributing undue certainty to forward-looking statements.
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 release.
SOURCE: Brixton Metals Corporation
For further information:
Mr. Gary R. Thompson, Chairman and CEO