CALGARY, Nov. 16 /CNW/ - Softrock Minerals Ltd. ("Softrock" or the "Company") is pleased to announce that the Company plans to issue and sell a non-brokered private placement of up to 5,000,000 units (Units) of the company at a price of $0.05 per unit and up to 12,000,000 common shares of the company issued on a "flow-through" basis (Flow-Through Shares) at a price of $0.08 per share.
Each unit will consist of one common share (a "Common Share") of Softrock and one Common Share purchase warrant (a Warrant) entitling the holder thereof to purchase one common share at $0.10 per share for a period of two years. The warrants will also be subject to a forced conversion such that, if Softrock shares close at a price higher than $0.20 per share for 20 consecutive days, the warrant holders will have 30 days to exercise.
Proceeds from the proposed financings will be used for general working capital purposes and for exploration on the Company's lithium, potash and oil and gas properties in Alberta and Saskatchewan.
All securities issued pursuant to the private placement will be subject to a four-month hold period from the closing date. Finders' fees may be payable on the non-insider portions of the private placement. The private placement is subject to approval from the TSX Venture Exchange.
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 news release includes certain "forward looking statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995. Without limitation, statements regarding potential mineralization and resources, exploration results, and future plans and objectives of the Company are forward looking statements that involve various degrees of risk. The following are important factors that could cause the Company's actual results to differ materially from those expressed or implied by such forward looking statements: changes in the world wide price of commodities, general market conditions, risks inherent in exploration, risks associated with development, construction and mining operations, the uncertainty of future profitability and the uncertainty of access to additional capital. The Company relies on litigation protection for forward looking statements.
SOURCE Softrock Minerals Ltd.
For further information: For further information: Honourable Nick Taylor, President and Chief Executive Officer at (403) 266-2605