Ms. Claudia Tornquist reports
KODIAK COPPER CLOSES $12.7 MILLION PRIVATE PLACEMENT
Kodiak Copper Corp. has closed its non-brokered private placement previously announced Sept. 14, 2020, for gross proceeds of $12,677,479.
In connection with the placement, the company has issued 3,739,316 flow-through common shares of the company placed through a charity flow-through arrangement consisting of 2,786,666 at a price of $2.88 per share and 952,650 at a price of $2.78. The company also issued 1,027,443 common shares of the company at a price of $1.95 per share.
Teck Resources Ltd., which participated in the financing, now owns approximately 9.9 per cent of the issued and outstanding common shares of Kodiak on a non-diluted basis. In connection with the placement, Kodiak has agreed to grant Teck an equity participation right to maintain its pro rata ownership in the company.
Proceeds of the placement will be used to finance the company's exploration programs on its wholly owned, advanced-stage copper porphyry exploration projects in British Columbia and Arizona, and for general corporate purposes. The company is now fully financed for its exploration and drill programs at the MPD project in Southern British Columbia for the balance of 2020 and into 2021. Kodiak intends to follow up on the recent high-grade Gate zone copper-gold discovery and test other porphyry targets across the property.
In connection with the closing of the placement, the company paid finders' fees of $21,157 to eligible parties who introduced subscribers to the placement. All securities issued in connection with the private placement are subject to a four-month-and-one-day statutory hold period from the date of issue, expiring on Feb. 8, 2021.
About Kodiak Copper Corp.
Kodiak is focused on its 100-per-cent-owned copper porphyry projects in Canada and the United States. The company's most advanced asset is the MPD copper-gold porphyry project in the prolific Quesnel Trough in south-central British Columbia, Canada, where the company made a discovery of high-grade mineralization in 2020. Kodiak also holds the Mohave copper-molybdenum-silver porphyry project in Arizona, near the world-class Bagdad mine. Kodiak's porphyry projects have both been historically drilled and present known mineral discoveries with the potential to hold large-scale deposits.
Kodiak's founder and chairman is Chris Taylor, who is well known for his gold discovery success with Great Bear Resources. Kodiak is also part of Discovery Group led by John Robins, one of the most successful mining entrepreneurs in Canada.
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