22:16:31 EDT Wed 15 May 2024
Enter Symbol
or Name
USA
CA



NRG Metals Inc
Symbol NGZ
Shares Issued 33,197,885
Close 2016-04-18 C$ 0.16
Market Cap C$ 5,311,662
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NRG Metals arranges $320,000 private placement

2016-04-18 16:42 ET - News Release

Mr. Adrian Hobkirk reports

NRG METALS ANNOUNCES ADDITIONAL FLOW-THROUGH UNIT PRIVATE PLACEMENT

NRG Metals Inc. will not be proceeding with the additional flow-through units at 7.5 cents as announced on April 15, 2016, however, proposes to raise up to $320,000 through a non-brokered private placement of up to four million flow-through units at a price of eight cents per flow-through unit, subject to the approval of the TSX Venture Exchange. Each flow-through unit will consist of one common share and one transferable non-flow-through common share purchase warrant of the company, with each warrant exercisable for a period of three years from the closing at a price of 11 cents per share.

Finders' fees may be payable in cash and warrants in accordance with the policies of the TSX Venture Exchange. All securities issued in connection with the private placement are subject to a four-month hold period in Canada. The private placement proceeds will be used to complete initial exploration work at the L.A.B. (Lac Aux Bouleaux) graphite project, for continued evaluation of the Groete gold-copper project in Guyana and for general working capital.

In addition to the above proposed financing, the company will be proceeding to complete the private placement of five-cent units and 7.5-cent flow-through units, as announced on April 5 and April 6, 2016.

The company is evaluating the L.A.B. graphite project, located in Quebec, Canada. The property is situated in a very active graphite exploration and production area, and is adjacent and contiguous to the south of the Timcal mine (Imerys graphite and carbon mine), one of only two graphite mines producing in North America. SGS Canada have performed extensive metallurgical testing on project samples, returning up to 96.7 per cent graphite content (see National Instrument 43-101 technical report dated Sept. 8, 2015), indicating the potential to produce a marketable graphite concentrate with simple flotation. The claims are road accessible, with water, power and technical support available locally. A recent airborne survey by Prospectair of Quebec has identified multiple conductor targets.

In addition, the company holds 100-per-cent ownership in the Groete gold-copper deposit, located in Guyana, South America. The project contains an NI 43-101 defined resource, as described in a press release dated Jan. 24, 2013. The report further details that the Groete gold-copper project contains an inferred resource of 1.59 million gold equivalent ounces at 0.66 gram per tonne AuEq, which comprises 74.8 million tonnes grading 0.49 gram per tonne gold and 0.12 per cent copper. There is potential to expand the resource as it is open in all directions.

Dr. Arthur Darryl Drummond, PEng, who is a member of the Association of Professional Engineers of British Columbia (licence No. 5778), and a qualified person as defined in NI 43-101, has prepared and supervised the preparation of this press release, and approves the technical and scientific disclosure of the press release.

We seek Safe Harbor.

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