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TSX Venture Exchange: FRI
Shares Issued: 16,831,232
VANCOUVER, Aug. 8, 2016 /CNW/ - Freeport Resources Inc. (TSX-VENTURE: FRI) ("Freeport") announces a non-brokered private placement financing of up to $150,000 through issuance of up to 3,000,000 units of the Company (the "Units") at a price of $0.05 per Unit. Each Unit will consist of one common share and one non-transferable share purchase warrant (a "Warrant"). Each warrant shall be exercisable to acquire one additional common share for a period of five years at an exercise price of 10 cents ($0.10). As part of this non-brokered financing, the warrants are subject to an acceleration clause. This clause states that if after the warrants are issued, the closing price of the common shares of the company on the principal market on which such shares trade is equal to, or exceeds, 15 cents for 10 consecutive days, the warrant expiry date shall accelerate to a date 10 calendar days after the issuance of a press release by the company announcing that reduced warrant term. All units acquired pursuant to the private placement, and shares which may be acquired upon the exercise of the warrants, are subject to a four (4) month hold period in accordance with applicable securities legislation.
Finders' fees may be paid to eligible finders in accordance with the TSX Venture Exchange policies. All securities issued pursuant to the Private Placement will be subject to a four month hold period under applicable securities laws in Canada. The Private Placement and payment of finders' fees are both subject to approval by the TSX Venture Exchange.
Net proceeds of the financing will be used for general working capital and advancing the company's gold and other mineral projects in Canada.
Freeport is a Canadian junior exploration company with a solid portfolio of properties -- the Red Rose Mine (a past producer of tungsten-gold-copper), Spanish Mountain Gold (adjacent to a proposed open-pit gold mine), and the Q (a large, well-known fluorspar deposit), all located in British Columbia. The Hutton Garnet Beaches in NL is our most advanced project; it has a positive NI43-101 Prefeasibility (2004), with a 5000 tonne bulk sample released from environmental assessment. Please visit www.freeportresources.com or contact us for more information.
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. The company seeks Safe Harbour.
SOURCE Freeport Resources Inc.
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For further information: Freeport Resources Inc., Brenda Clark AIBC Architect, President & CEO, 1-888-275-7335 (toll free), (604) 275-7335 (tel.), [email protected]