Mr. Grant Ewing reports
ROCKRIDGE COMPLETES $1.5 MILLION NON-BROKERED PRIVATE PLACEMENT
Rockridge Resources Ltd. has completed a non-brokered private placement financing for total gross proceeds of $1.5-million. The company has issued 15 million units at a price of 10 cents per unit. A strategic institutional investor provided the lead order in the private placement.
Each unit comprises one common share and one warrant. Each warrant will entitle the holder to purchase one additional common share for a period of 42 months at a price of 17.5 cents per share. In addition, the company has paid finders' fees totalling $21,350 and issued an aggregate 213,500 finders' warrants to arm's-length parties, with each finder's warrant bearing the same terms as the warrants. The private placement is subject to final TSX Venture Exchange approval and all securities issued are subject to a four-month-and-one-day hold period.
The company intends to use the proceeds from this private placement for exploration activities and the upcoming drilling program at its Raney gold project southwest of Timmins, Ont., as well as for general working capital purposes. The spring 2020 drill program returned a highlight drill intercept of 28.0 grams per tonne (g/t) gold (Au) over six metres at 100 metres depth and eight of the nine drill holes returned gold mineralization over broad intervals. The broad structural corridor that hosts the mineralization potentially extends over two kilometres to the west-northwest, where a large disruption in the magnetic geophysical data, coupled with historic mapping of disseminated sulphides and quartz veining, provide a very compelling target area. The company plans to continue testing the mineralized structure along strike and at depth to follow up on the success of the first drill program completed earlier in the year.
A portion of the private placement constitutes a related-party transaction within the meaning of exchange Policy 5.9 and Multilateral Instrument 61-101 (Protection of Minority Security Holders in Special Transactions) adopted in the policy. The company has relied on exemptions from the formal valuation and minority shareholder approval requirements of MI 61-101 contained in sections 5.5(a) and 5.7(1)(a) of MI 61-101 in respect of related-party participation in the private placement.
Todd Keast, professional geoscientist, a qualified person for the purposes of National Instrument 43-101 (Standards of Disclosure for Mineral Projects) and the Raney gold project manager for Rockridge Resources, has reviewed and approved the scientific and technical disclosure in this news release.
About Rockridge Resources Ltd.
Rockridge Resources is a publicly traded mineral exploration company focused on the acquisition, exploration and development of mineral resource properties in Canada and other mining-friendly jurisdictions. The company's Raney gold project is a high-grade gold exploration project located in the same greenstone belt that hosts the world-class Timmins and Kirkland Lake lode gold mining camps.
We seek Safe Harbor.
© 2020 Canjex Publishing Ltd. All rights reserved.