Margaux Resources Ltd. (TSXV: MRL) (OTCQB: MARFF) is pleased to announce that, subject to TSX Venture Exchange approval it intends to issue, pursuant to a non-brokered private placement, up to:
8,334,000 units (“Units”) of the Company at a price of $0.30 per Unit; and
1,389,000 common shares (“Common Shares”) of the Company issued on a “CEE flow-through” basis pursuant to the Income Tax Act (Canada) (“Flow-Through Shares”) at a price of $0.36 per Flow-Through Share, for aggregate gross proceeds of up to $3 million (the “Offering”).
Each Unit will consist of one Common Share and one-half of one Common Share purchase warrant (each whole warrant a “Warrant”). Each Warrant will entitle the holder to acquire one Common Share (each a “Warrant Share”) at an exercise price of $0.40 per Warrant Share until 4:30 pm (Calgary time) on that date that is 24 months from the issuance closing date, (the “Expiry Time”) subject to accelerated expiry, if the 20-day Volume Weighted Average Price of the Common Shares on the TSX Venture Exchange exceeds $0.50 per share.
“The funds raised will enable Margaux to continue to drive its Kootenay Arc project forward in advance of an extensive 2018 spring drilling program, for which we already have multi-year area-based permits in place until 2022. As well as progressing our tungsten tailings recycling project towards a pilot phase”, commented Company President and CEO, Tyler Rice.
Proceeds of the Offering will be used to pursue the Company’s ongoing exploration and drilling programs at its Kootenay Arc project in Salmo, BC and for general working capital. The securities issued pursuant to the Offering are subject to a four month hold period under applicable securities laws. In connection with the Offering, certain finders may receive a cash fee and/or non-transferable finder Warrants.
About Margaux Resources Ltd.
Margaux Resources Ltd. (TSXV: MRL) (OTCQB: MARFF) is a mineral acquisition and exploration company focused on the development of zinc, gold and tungsten deposits in the Kootenay Arc, in the southeastern region of British Columbia. The Company is directed by a group of highly successful Canadian business executives and has a fast-growing portfolio of previously producing properties that include the Jersey-Emerald mine, which at one point was the 2nd largest historic zinc-lead mine in B.C. and the 2nd largest tungsten mine in North America.
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