TORONTO, Sept. 12, 2016 /CNW/ - Richmond Minerals
Inc. (TSX-V: RMD) ("Richmond" or the
"Company") is pleased to announce that further to its
August 31, 2016 news release the
Company has completed a non-brokered private placement financing
for aggregate gross proceeds of $260,150.00 (the "Offering"). The Offering
consisted of the sale of flow-through units ("FT Units") at
$0.08 per FT Unit and the sale of
hard dollar units ("HD Units") at $0.07 per HD Unit.
A total of 2,162,500 FT Units will be issued for gross proceeds
of $173,000.00 and 1,244,999 hard
dollar units will be issued for gross proceeds of $87,150.00. Each FT Unit consists of one
common share in the capital stock of Richmond ("Common
Share") issued on a flow-through basis and a ½ Common Share
purchase warrant ("FT Warrant"). Two FT Warrants will
entitle the holder to purchase one Common Share at a price
of $0.12 per Common Share until the date which is 24
months following the closing date of the Offering, whereupon the FT
Warrants expire. Each HD Unit consists of one Common Share and a ½
Common Share purchase warrant ("HD Warrant"). Two HD
Warrants will entitle the holder to purchase one Common Share at a
price of $0.12 per Common Share until the date which is
18 months following the closing date of the Offering, whereupon the
HD Warrants expire.
Finder's fees of $10,000 cash and
125,000 Broker Warrants were paid to finder's. Each Broker Warrant
will entitle the holder to purchase one Common Share at a price of
$0.12 per Common Share until the date
which is 24 months following the closing date of the Offering,
whereupon the Broker Warrants expire. The securities issued
pursuant to the Offering will be subject to a four month and one
day statutory hold period.
Richmond intends to use the net proceeds from the Offering
to fund continued exploration on the Company's Ridley Lake
Gold Property and for general working capital purposes. The
Offering is subject to certain conditions including, but not
limited to, the receipt of all necessary approvals, including the
approval of the TSX Venture Exchange ("TSX-V") and
applicable securities regulatory authorities.
CAUTIONARY STATEMENT: Neither the TSX-V nor its Regulation
Services Provider (as that term is defined in the policies of the
TSX-V) accepts responsibility for the adequacy or accuracy of this
release. This news release contains forward-looking information
which is not comprised of historical facts. Forward-looking
information involves risks, uncertainties and other factors that
could cause actual events, results, performance, prospects and
opportunities to differ materially from those expressed or implied
by such forward-looking information. Forward looking information in
this news release includes, but is not limited
to, Richmond's objectives, goals or future plans,
including successful completion of the Offering. Factors that could
cause actual results to differ materially from such forward-looking
information include, but are not limited to, changes in general
economic conditions and conditions in the financial markets;
changes in demand and prices for minerals; litigation, legislative,
environmental and other judicial, regulatory, political and
competitive developments, and those risks set out
in Richmond's public documents filed on SEDAR.
Although Richmond believes that the assumptions and
factors used in preparing the forward-looking information in this
news release are reasonable, undue reliance should not be placed on
such information, which only applies as of the date of this news
release, and no assurance can be given that such events will occur
in the disclosed time frames or at all. Richmond disclaims any
intention or obligation to update or revise any forward-looking
information, whether as a result of new information, future events
or otherwise, other than as required by law.
Neither the TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or
accuracy of this news release.
On Behalf of Richmond Minerals,
{signed}
Franz Kozich
President
SOURCE Richmond Minerals Inc.