Kerr Mines Announces $2.5 Million Private Placement
09 November 2018 - 10:30PM
Kerr Mines Inc. (TSX:
KER, OTC: KERMF, FRA: 7AZ1) (“Kerr” or the
“Company”) announces that it intends to complete a private
placement offering of approximately 17,857,143 units of the Company
at a price of $0.14 for gross proceeds of $2.5 million (the
"Offering"). The Company will use the net proceeds from the
Offering along with the funding from the financing facility
provided by Sprott Resource Lending, see Press Release November 6,
2018, to fund the resource expansion, engineering and development
at the Copperstone Mine.
“This financing, along with the funds provided
by Sprott Resource Lending, allows us to continue the execution of
our strategy of resource expansion and progressing the Copperstone
Mine into production,” stated Claudio Ciavarella Kerr’s Chief
Executive Officer. “As a show of confidence, the Board of Kerr
Mines intends to participate in this financing.”
The Offering is scheduled to close on or about
November 23, 2018 and is subject to certain conditions including,
but not limited to, the receipt of all necessary approvals
including the approval of the Toronto Stock Exchange ("TSX").
Each Unit shall consist of one common share of the Company (a
“Common Share”) and one Common Share purchase warrant (a
“Warrant”). All securities issued pursuant to the Offering shall be
subject to a hold period of four months from the date of
closing. Each Warrant shall entitle the holder thereof to
purchase one Common Share at a price of CDN$0.21 per Common Share
for a period of twenty-four (24) months from the Closing Date
provided that if, at any time the Common Shares trade on a stock
exchange at a volume weighted average trading price of CDN$0.30, or
greater, per Common Share for a period of 20 consecutive trading
days, the Company may accelerate the expiry date of the Warrants by
giving notice to the holders thereof and in such case the Warrants
will expire on the 30th day after the date on which such notice is
given by the Company.
About Kerr Mines Inc. Kerr
Mines is an Emerging American Gold Producer currently advancing the
100% owned, fully permitted past-producing Copperstone Mine project
to production. Copperstone is a high-grade gold project located
along a detachment fault mineral belt in mining-friendly Arizona.
This gold project in Arizona demonstrates tremendous exploration
potential targeting multi-million ounce prospects within a 4,775
hectare (11,800 acres) land package.
PDF Version of 43-101 technical report available:
http://kerrmines.com/wp-content/uploads/KerrCopperstone_PFS_43-101.pdf
YouTube: Copperstone Gold Mine KER:TSX 3 min.
Investor Tour Video
For further information
contact:Claudio CiavarellaChief Executive
Officercciavarella@kerrmines.com 416-855-9305
Cautionary Note Regarding Forward
Looking Statements This news release contains
forward-looking statements, including current expectations on the
timing of the commencement of production and the rate of
production, if commenced. These forward-looking statements entail
various risks and uncertainties that could cause actual results to
differ materially from those reflected in these forward-looking
statements. Such statements are based on current expectations, are
subject to a number of uncertainties and risks, and actual results
may differ materially from those contained in such statements.
These uncertainties and risks include, but are not limited to, the
strength of the Canadian economy; the price of gold; operational,
funding, and liquidity risks; the degree to which mineral
resource estimates are reflective of actual mineral resources; and
the degree to which factors which would make a mineral deposit
commercially viable are present; the risks and hazards associated
with underground operations. Risks and uncertainties about Kerr
Mines’ business are more fully discussed in the Company's
disclosure materials, including its annual information form and
MD&A, filed with the securities regulatory authorities in
Canada and available at www.sedar.com and readers are urged to read
these materials. Kerr Mines assumes no obligation to update any
forward-looking statement or to update the reasons why actual
results could differ from such statements unless required by
law. Neither TSX nor its Regulation Services Provider (as
that term is defined in the policies of the TSX) accepts
responsibility for the adequacy or accuracy of this release and no
stock exchange, securities commission or other regulatory authority
has approved or disapproved the information contained herein.