VANCOUVER, May 8, 2020 /CNW/ - KORE Mining Ltd. (TSXV:
KORE | OTCQB: KOREF) ("KORE" or the "Company") is
pleased to announce a non-brokered private placement of
$3,000,000 consisting of 6,666,666
shares at a price of $0.45 per share
(the "Private Placement"), subject to the approval of the TSX
Venture Exchange.
Mr. Eric Sprott, through 2176423
Ontario Ltd., a corporation beneficially controlled by him, and
Macquarie Bank Ltd. ("Macquarie") are subscribing for the entirety
of the Private Placement.
Scott Trebilcock, President and
CEO stated, "On behalf of the Board and the Management of KORE, I
am delighted to welcome this follow-on strategic investment from
two of our major shareholders. The continued support by these two
leading mining investors is a strong endorsement for KORE's
portfolio of advanced gold assets."
Mr. Trebilcock continued, "KORE remains committed to
pursuing value through exploration and development. The
Company is immediately commencing follow-up work on high
priority Mesquite East exploration targets
while continuing to drill at FG Gold and keeping
Imperial on-track to move into permitting in mid-2020."
Mr. Eric Sprott commented,
"Backed by ounces in the ground and a strong PEA on the Imperial
project, KORE's value proposition remains strong. I am
pleased to continue supporting the Company."
Net proceeds of the Private Placement are expected to advance
KORE's 100% owned gold portfolio including Imperial (California) and Long
Valley (California) as well
as for general corporate and working capital purposes.
Mr. Sprott and Macquarie will subscribe for 4,444,444 shares and
2,222,222 shares in the Private Placement, respectively. Upon
completion of the financing Mr. Sprott will hold 15.3% and
Macquarie will hold 8.5% of the Company's issued share capital on a
non-diluted basis. There are no warrants associated with the
Private Placement.
All securities to be issued pursuant to the Private Placement
will be subject to a four month hold period from the closing date
under applicable securities laws in Canada and among other things, receipt by KORE
of all necessary regulatory approvals, including the TSX Venture
Exchange.
About KORE
KORE is 100% owner of a portfolio of advanced gold
exploration and development assets in California and British Columbia. KORE is
supported by strategic investors Eric
Sprott and Macquarie who, together with the management and
Board own 66% of the basic shares outstanding. Further information
on KORE and its assets can be found on the Company's website at
www.koremining.com and at www.sedar.com, or by contacting us
as info@koremining.com or by telephone at (888) 407-5450.
On behalf of KORE Mining Ltd
"Scott
Trebilcock"
Chief Executive Officer
(888) 407-5450
The securities to be issued under the Offering have not been,
and will not be, registered under the United States Securities Act
of 1933, as amended (the "U.S. Securities Act") and may not
be offered or sold in the United
States absent registration or an applicable exemption from
the registration requirements of the U.S. Securities Act. This news
release does not constitute an offer to sell or a solicitation of
an offer to buy any of KORE's securities in the United States.
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 release.
Cautionary Statement Regarding Adjacent Properties and
Forward-Looking Information
This news release contains
forward-looking statements relating to the future operations of the
Company and other statements that are not historical facts.
Forward-looking statements are often identified by terms such as
"will", "may", "should", "anticipate", "expects" and similar
expressions. All statements other than statements of historical
fact, included in this release, including, without limitation,
statements regarding the future plans and objectives of the Company
are forward-looking statements. Such forward-looking
statements, and any assumptions upon which they are based, are made
in good faith and reflect our current judgment regarding the
direction of our business. Management believes that these
assumptions are reasonable. Forward looking information involves
known and unknown risks, uncertainties and other factors which may
cause the actual results, performance or achievements of the
Company to be materially different from any future results,
performance or achievements expressed or implied by the
forward-looking information. For further information on the
Company's Imperial Project, please see the Company's NI 43-101
Technical Report dated December 30,
2019, entitled "Technical Report for the Imperial Gold
Project, California, USA" filed on
the Company's website and also available under the Company's issuer
profile on www.sedar.com.
Such factors include, among others: risks related to
exploration and development activities at the Company's projects,
and factors relating to whether or not mineralization extraction
will be commercially viable; risks related to mining
operations and the hazards and risks normally encountered in the
exploration, development and production of minerals, uncertainties
regarding estimating mineral resources, which estimates may require
revision (either up or down) based on actual production experience;
risks relating to fluctuating metals prices and the ability to
operate the Company's projects at a profit in the event of
declining metals prices and the need to reassess feasibility of a
particular project that estimated resources will be recovered or
that they will be recovered at the rates estimated; risks related
to title to the Company's properties, the ability of the Company to
access necessary resources, access to suitable infrastructure, such
as roads, energy and water supplies in the vicinity of the
Company's properties; and risks related to the stage of the
Company's development, risks regarding the ability of the
Company and its management to manage growth; and potential
conflicts of interest.
In addition to the above summary, additional risks and
uncertainties are described in the "Risks" section of the Company's
management discussion and analysis for the year ended December 31, 2019 prepared as of April 27, 2020 available under the Company's
issuer profile on www.sedar.com.
Forward-looking statements contained herein are made as of
the date of this news release and the Company disclaims any
obligation to update any forward-looking statements, whether as a
result of new information, future events or results, except as may
be required by applicable securities laws. There can be no
assurance that forward-looking information will prove to be
accurate, as actual results and future events could differ
materially from those anticipated in such statements. Accordingly,
readers should not place undue reliance on forward-looking
information.
There is no certainty that all or any part of the mineral
resource will be converted into mineral reserve. It is uncertain if
further exploration will allow improving the classification of the
Indicated or Inferred mineral resource. Mineral resources are
not mineral reserves and do not have demonstrated economic
viability.
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SOURCE Kore Mining