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VANCOUVER, May 29, 2015 /CNW/ - Tinka Resources
Limited ("Tinka" or the "Company") (TSXV:
TK) (OTCPK: TKRFF) announces that further to the
Company's news release of April 13,
2015, the Company's private placement financing (the
"Private Placement") has closed oversubscribed. The
Company has issued 33,737,093 units (the "Units") at a price
of $0.215 per Unit for gross proceeds
of C$7,253,475. Each Unit is
comprised of one common share of Tinka (each a "Tinka Share") and 0.375 of one 2.5 year
share purchase warrant (the "2.5 Year Warrants") and 0.375
of one 5 year share purchase warrant (the "5 Year
Warrants"). Each whole warrant (a "Warrant") is
exercisable to acquire one additional common share of Tinka (each a
"Warrant Share") at a price of $0.30 up to and including November 29, 2017, as to the 2.5 Year Warrants,
and at a price of $0.45 up to and
including May 29, 2020, as to the 5
Year Warrants. All securities issued under the Private Placement
are subject to a four-month hold period expiring on September 30, 2015.
Under the Private Placement, International Finance Corporation
("IFC"), a member of the World Bank Group, acquired
20,930,232 Units for gross proceeds of C$4.5
million. As a result, IFC has become a new shareholder
of the Company holding approximately 14.0 % of the issued and
outstanding share capital of Tinka on an undiluted basis. In
addition, IFC has the right to acquire up to 15,697,674 additional
Warrant Shares from the exercise of Warrants issued in connection
with the Units forming part of the Private Placement.
In addition, Sentient Global Resources Fund IV, LP ("Sentient
IV"), an insider of Tinka, acquired 9,302,326 Units under the
Private Placement for gross proceeds of C$2.0 million. Sentient IV beneficially
owns, or exercises control or direction over, 32,144,223 Tinka
Shares or approximately 21.46% of the issued and outstanding Tinka
Shares and Warrants entitling Sentient to acquire up to an
additional 17,642,199 Tinka Shares.
Also under the Private Placement, Tinka issued 3,504,535 units
to subscribers as part of a President's List financing for gross
proceeds of $753,475. Tinka has
issued to a finder 47,500 finder's units as a finder's fee in
connection with certain of the subscriptions made under the
President's List, each unit having the same terms as the Units
issued under the Private Placement.
The net proceeds from the Private Placement will be used to
advance Tinka's exploration efforts at Ayawilca and Colquipucro,
Peru, and for general working
purposes.
Dr. Graham Carman, President and
CEO of Tinka, stated: "I am very pleased to welcome IFC as a new
shareholder and insider of Tinka. We look forward to working
with IFC as we advance our exploration programs at
Ayawilca. The partnership with IFC will also ensure that Tinka
adheres to world best standards with respect to health, safety,
environment, and community. I also wish to thank the Sentient Group
for their continued support of the Company."
"We look forward to starting a 10,000 metre drill program at
Ayawilca in July. The aim of the drill program is to
substantially increase the existing Inferred Mineral Resource
estimate (13.3 million tonnes at 7.7 % zinc equivalent – see
news release Feb 26 2015).
An IP geophysical survey is now in progress, designed to prioritise
some of the deeper drill targets outside of the resource areas.
This survey will be completed by the end of June."
This news release does not constitute an offer to sell or a
solicitation of an offer to buy any of the securities in
the United States. The
securities have not been and will not be registered under the
United States Securities Act of 1933, as amended (the "U.S.
Securities Act") or any state securities laws and may not be
offered or sold within the United
States or to U.S. Persons unless registered under the U.S.
Securities Act and applicable state securities laws or an exemption
from such registration is available.
About Tinka Resources Limited
Tinka is a resource acquisition and exploration company with
projects in Peru. Tinka's focus is on its 100%-owned Ayawilca
and Colquipucro projects in the highly mineralized zinc-lead-silver
belt of central Peru, 200
kilometres north of Lima. The
Ayawilca project, located 40 kilometres from Peru's largest historic zinc mine,
Cerro de Pasco, has the potential to
be a major zinc sulphide discovery. The nearby Colquipucro
silver oxide project is a near-surface, sandstone-hosted, silver
oxide deposit.
About IFC
IFC, a member of the World Bank Group, is the largest global
development institution focused exclusively on the private sector.
Working with private enterprises in about 100 countries, IFC uses
its capital, expertise, and influence to help eliminate extreme
poverty and boost shared prosperity. In FY14, IFC provided
more than $22 billion in financing to
improve lives in developing countries and tackle the most urgent
challenges of development. For more information, visit
www.ifc.org
On behalf of the Board,
"Graham
Carman"
Dr. Graham Carman, President & CEO
Forward Looking Statements. Certain information in this news
release contains forward-looking statements and forward-looking
information within the meaning of applicable securities laws
(collectively "forward-looking statements"). All
statements, other than statements of historical fact are
forward-looking statements. Forward-looking statements are based on
the beliefs and expectations of Tinka as well as assumptions made
by and information currently available to Tinka's
management. Such statements reflect the current risks,
uncertainties and assumptions related to certain factors including,
without limitations, capital and other costs varying significantly
from estimates, production rates varying from estimates, changes in
world metal markets, changes in equity markets, the use of the net
proceeds of the Private Placement, availability and costs of
financing needed in the future, equipment failure, unexpected
geological conditions, imprecision in resource estimates or metal
recoveries, Tinka's ability to complete its proposed drilling
program, drilling program results varying from expectations, delays
in obtaining survey results, success of future development
initiatives, competition, operating performance, environmental and
safety risks, delays in obtaining or failure to obtain necessary
permits and approvals from local authorities, community relations,
and other development and operating risks. Should any one or more
of these risks or uncertainties materialize, or should any
underlying assumptions prove incorrect, actual results may vary
materially from those described herein. Although Tinka
believes that assumptions inherent in the forward-looking
statements are reasonable, forward-looking statements are not
guarantees of future performance and accordingly undue reliance
should not be put on such statements due to the inherent
uncertainty therein. Except as may be required by applicable
securities laws, Tinka disclaims any intent or obligation to update
any forward-looking statement.
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 news release.
SOURCE Tinka Resources Limited