/THIS NEWS RELEASE IS INTENDED FOR DISTRIBUTION IN CANADA ONLY AND IS NOT INTENDED FOR
DISTRIBUTION TO UNITED STATES
NEWSWIRE SERVICES OR DISSEMINATION IN THE
UNITED STATES./
TORONTO, Sept. 9, 2019 /CNW/ - Laurion Mineral
Exploration Inc. (TSX.V: LME and OTCPINK: LMEFF) ("LAURION" or the
"Corporation") is pleased to announce that further to its
July 24, 2019 and August 13, 2019 announcements, the Corporation
has closed its second and final tranche (the "Second
Tranche") of the previously-announced non-brokered private
placement (the "Private Placement") of flow-through units
(the "Units"). Pursuant to the Second Tranche, the
Corporation issued 5,416,667 Units at a price of $0.12 per Unit for aggregate gross proceeds of
$650,000. Together with the first
tranche of the Private Placement (the "First Tranche"), the
Corporation raised $1 million through
the issuance of 8,333,333 Units.
Each Unit consists of one common share of the Corporation issued
as a "flow-through share" (as defined in subsection 66(15) of the
Income Tax Act (Canada)
(the "Tax Act")) (each, a "FT Share") and one common
share purchase warrant (each, a "Warrant"). Each Warrant
entitles the holder thereof to acquire one non flow-through common
share of the Corporation at a price of $0.15 per share for a period of 24 months from
the date of issuance.
The gross proceeds allocable to the FT Shares comprising the
Units will be used for "Canadian exploration expenses" (within the
meaning of the Tax Act), which will qualify, once renounced, as
"flow-through mining expenditures", as defined in the Tax Act,
which will be renounced with an effective date of no later than
December 31, 2019 (provided the
subscriber deals at arm's length with the Corporation at all
relevant times) to the initial purchasers of Units in an aggregate
amount not less than the gross proceeds raised from the issue of
the Units which are allocable to the FT Shares.
In connection with the Second Tranche, certain arm's-length
finders received an aggregate of $22,400 as a cash finder's commission and an
aggregate of 186,666 finder's warrants having the same attributes
as the Warrants. The Corporation did not pay any finders' fees or
issue any finder's warrants in connection with the First
Tranche.
Pursuant to applicable Canadian securities laws, all securities
issued pursuant to the Private Placement are subject to a hold
period of four months and one day, expiring on December 13, 2019 and January 7, 2020, respectively. The Private
Placement remains subject to the final approval of the TSX Venture
Exchange.
Issuance of Stock Options
The Corporation also announces that pursuant to its stock option
plan, subject to TSX Venture Exchange approval, LAURION has granted
incentive stock options to one of its directors, John Covello, to acquire a total of 241,664
common shares of the Corporation, exercisable on or before
September 9, 2029 at an exercise
price of $0.15 per share, subject to
vesting requirements. These stock options are part of a
discretionary performance bonus awarded to Mr. Covello in
recognition of his significant contributions to the Corporation's
capital raising initiatives.
About Laurion
The Corporation is a junior mineral exploration and development
company listed on the TSX-V under the symbol LME and on the OTCPINK
under the symbol LMEFF. LAURION now has 164,173,091 outstanding
shares of which 58.7% are owned and controlled by Insiders who
are eligible investors under the "Friends and Family"
categories.
LAURION's emphasis is on the development of its flagship
project, the 100% owned mid-stage 44 km2 Ishkoday
Project, and its gold-silver and gold-rich polymetallic
mineralization with a significant upside potential. The Ishkoday
Project has a project-wide database (2008 to 2018) that includes
283 diamond drill holes totaling 40,729
m, geological mapping, ground geophysics, and 14,992
individual samples with assays and geochemical analysis. The
mineralization on the Ishkoday is open at depth beyond the current
core-drilling limit of -200 m from
surface, based on the historical mining to a -685 m depth, as evidenced in the past producing
Sturgeon River Mine.
Caution Regarding Forward-Looking Information
This press release contains forward-looking statements, which
reflect the Corporation's current expectations regarding future
events, including with respect to Laurion's business, operations
and condition, management's objectives, strategies, beliefs and
intentions, and the use of net proceeds from the Private Placement.
The forward-looking statements involve risks and uncertainties.
Actual events and future results, performance or achievements
expressed or implied by such forward-looking statements could
differ materially from those projected herein including as a result
of a change in the trading price of the common shares of Laurion,
the TSX Venture Exchange not providing its final approval for the
Private Placement, the interpretation and actual results of current
exploration activities, changes in project parameters as plans
continue to be refined, future prices of gold and/or other metals,
possible variations in grade or recovery rates, failure of
equipment or processes to operate as anticipated, the failure of
contracted parties to perform, labor disputes and other risks of
the mining industry, delays in obtaining governmental approvals or
financing or in the completion of exploration, as well as those
factors disclosed in the Corporation's publicly filed documents.
Investors should consult the Corporation's ongoing quarterly and
annual filings, as well as any other additional documentation
comprising the Corporation's public disclosure record, for
additional information on risks and uncertainties relating to these
forward-looking statements. The reader is cautioned not to rely on
these forward-looking statements. Subject to applicable law, the
Corporation disclaims any obligation to update these
forward-looking statements.
NEITHER THE TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICE
PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX
VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR
ACCURACY OF THE CONTENT OF THIS NEWS RELEASE.
SOURCE Laurion Mineral Exploration Inc.