VANCOUVER, BC, Aug. 6, 2021 /CNW/ - Rathdowney Resources
Ltd. ("Rathdowney" or the "Company") (TSXV: RTH) announces that the
Company has closed a first tranche of the private placement
announced previously on July 29,
2021, issuing 28,821,996 common shares at a price of
$0.035/share for gross proceeds of
CAD$1,008,770.
The common shares were issued as part of a unit ("Unit") private
placement. Each Unit consist of one common share and one
common share purchase warrant (a "Warrant"). Each Warrant can
be exercised for a five year period from the Closing Date at
$0.10 per warrant share. In the event
that the closing price of the common shares of the Company is at or
above $0.20 per share for a period of
10 consecutive trading days during the warrant exercise period
(with the 10th such trading day hereafter referred to as the
"Eligible Acceleration Date"), the warrant expiry date shall
accelerate to the date that is 60 days after the Eligible
Acceleration Date.
The securities issued pursuant to the private placement are
subject to applicable resale restrictions, including a four month
hold period from date of closing of the private placement under
applicable Canadian securities laws. A cash fee of up to 6% is
payable on a portion of the private placement. Completion of
the private placement is subject to regulatory approval, including
approval of the TSX Venture Exchange.
Proceeds will be used to advance permitting and engineering
activities on the Company's Olza zinc-lead-silver project in
Poland, as well as for general
corporate working capital purposes.
On behalf of the Board of Directors
David J. Copeland,
P.Eng.
Chairman
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.
This release includes certain statements that may be deemed
"forward-looking statements". All statements in this release, other
than statements of historical facts, that address exploration
drilling, exploitation activities and events or developments that
the Company expects, are forward looking statements. Although the
Company believes the expectations expressed in such forward-looking
statements are based on reasonable assumptions, such statements are
not guarantees of future performance and actual results or
developments may differ materially from those in the
forward-looking statements. Assumptions used by the Company to
develop forward-looking statements include the following: the Olza
project will obtain all required environmental and other permits
and all land use and other licenses, studies and development of the
Olza project will continue to be positive, and no geological or
technical problems will occur. Factors that could cause actual
results to differ materially from those in forward-looking
statements include market prices, exploitation and exploration
successes, continuity of mineralization, potential environmental
issues and liabilities associated with exploration, development and
mining activities, uncertainties related to the ability to obtain
necessary permits, licenses and title and delays due to third party
opposition, changes in government policies regarding mining and
natural resource exploration and exploitation, continued
availability of capital and financing, and general economic, market
or business conditions. Investors are cautioned that any such
statements are not guarantees of future performance and actual
results or developments may differ materially from those projected
in the forward-looking statements. For more information on the
Company, investors should review the Company's continuous
disclosure filings that are available at www.sedar.com.
SOURCE Rathdowney Resources Ltd.