Mr. John Ryan reports
BUNKER HILL ANNOUNCES A $4,000,000 NON-BROKERED PRIVATE PLACEMENT AND UPDATE ON ACTIVITIES ON SITE
Bunker Hill Mining Corp. has arranged a non-brokered equity financing consisting of an offering of common shares of the company at 56 cents per common share for gross proceeds of $4-million, subject to the company's overallotment option at its discretion.
The net proceeds from the offering shall be primarily for a channel sampling and diamond core drilling program to verify historic resources in the Quill, Newgard and UTZ zones which were tabulated in 1991. These targets are in the upper and dewatered levels of the mine, accessed by either the Kellogg or Russell tunnels. The program is to commence on Feb. 17, 2020.
Additional funds will be used for lease payments, water treatment payments and other obligations required to keep the company's option interest in the Bunker Hill mine in good standing. Funds in excess of the above requirements will be used for general corporate and working capital purposes.
The company has also been continuing its critical maintenance program. This has included repairs to 80 feet of timbering in No. 2 shaft and the replacement of the submersible pump at the bottom of that shaft. These efforts were undertaken to ensure compliance with EPA (Environmental Protection Agency) requirements for water management within the mine.
The offering will be subject to receipt of all necessary regulatory approvals. The securities issued in connection with the offering will be subject to a customary four-month-and-a-day hold period in accordance with applicable Canadian securities laws and to a concurrent six-month hold period in accordance with applicable U.S. securities laws.
Scott E. Wilson, CPG, president of Resource Development Associates Inc. and a consultant to the company, is an independent "qualified person" as defined by NI 43-101 and is acting as the qualified person for the company. He has reviewed and approved the technical information summarized in this news release.
About Bunker Hill Mining Corp.
Bunker Hill Mining has the exclusive option to acquire 100 per cent of the marketable assets of the Bunker Hill mine.
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