Signature Resources Announces an Increase to the Previously Announced Non-Brokered Private Placement
November 24 2020 - 8:30AM
Signature Resources Ltd. (TSXV: SGU, OTCQB: SGGTF, FSE 3S3)
("Signature" or the "Company") is pleased to announce an increase
to the non-brokered private placement to $1.9 million, previously
announced on November 9, 2020.
“The overwhelming positive response we have
received, and continue to receive, from investors has been
extremely exciting – particularly since this has occurred within
the first two weeks of my tenure and that of our new Chairman.
We plan to use the proceeds raised in this private placement
to commence defining the Western extension of the Lingman Lake Gold
Project with an expectation to further expand the known
strike-length of historic resources with ~3,000 meters of
drilling. Drilling will focus on following-up on the valuable
work done by our team in 2018 through to this year where the
Company hit 5 meters @ 13.65 g/t Au and 9.5 m @ 12.15 g/t Au. Work
will commence early in 2021 with the Company’s own diamond drill
rig currently on site and with drill permits already in hand.
Additionally, we will be commencing work on combining this
next round of drilling with advancing the historic resource to a
fully compliant NI 43-101 standard. I look forward to working with
our exceptional team to extract and deliver maximum value from our
first financing to ultimately showcase the potential we see at
Lingman Lake.”
Robert Vallis, P.Eng, MBA – President & CEO,
Director
Non-Brokered Private Placement
Financing:The non-brokered private placement consists of
both flow-through units (the “FT Units”) and non-flow-through units
(the “NFT Units”) for gross proceeds of up to $1,900,000 (the
“Offering”).
Each FT Unit is being offered at a price of
C$0.06 and will be comprised of one common share of the Company and
one half non flow-through common share purchase warrant (a
“Warrant”). Concurrently, NFT Units will be offered at a price of
$0.05 per NFT Unit consisting of one common share and one common
share purchase warrant. One common share purchase warrant from
either the FT Units or the NFT Units will entitle the holder to
purchase one non flow-through common share of the Company at a
price of $0.10 for a period expiring 12-months following the
closing date of the Offering.
The net proceeds from the Offering will be used
primarily for exploration work at the Company’s Lingman Lake Gold
Project and for general corporate purposes . The Company
expects to close the financing on or before December 4th, 2020.
About Signature The Lingman
Lake gold property consists of 622 staked claims, four free hold
full patented claims and 14 mineral rights patented claims totaling
approximately 12,148 hectares. The property hosts an historical
estimate of 234,684 oz of gold* (1,063,904 tonnes grading 6.86 g/t
with 2.73 gpt cut-off) and includes what has historically been
referred to as the Lingman Lake Gold Mine, an underground
substructure consisting of a 126.5-meter shaft, and 3-levels at
46-meters, 84-meters and 122-meters depths.
*This historical resource estimate is based on
prior data and reports obtained and prepared by previous operators,
and information provided by governmental authorities. A Qualified
Person has not done sufficient work to verify the classification of
the mineral resource estimates in accordance with current CIM
categories. The Company is not treating the historical estimate as
a current NI 43-101 mineral resource estimate. Establishing a
current mineral resource estimate on the Lingman Lake deposit will
require further evaluation, which the Company and its consultants
intend to complete in due course. Additional information regarding
historical resource estimates is available in the technical report
entitled, "Technical Report on the Lingman Lake Gold Property"
dated January 31, 2020, prepared by John M. Siriunas, P.Eng. and
Walter Hanych, P.Geo., available on the Company's SEDAR profile at
www.sedar.com To find out more about Signature Resources Limited,
visit our website at www.signatureresources.ca , or contact:
Jonathan HeldChief Financial
Officer416-270-9566
Cautionary Notes
Neither 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.
This news release contains forward-looking
statements which are not statements of historical fact.
Forward-looking statements include estimates and statements that
describe the Company’s future plans, objectives or goals, including
words to the effect that the Company or management expects a stated
condition or result to occur. Forward-looking statements may be
identified by such terms as “believes”, “anticipates”, “expects”,
“estimates”, “may”, “could”, “would”, “will”, or “plan”. Since
forward-looking statements are based on assumptions and address
future events and conditions, by their very nature they involve
inherent risks and uncertainties. Although these statements are
based on information currently available to the Company, the
Company provides no assurance that actual results will meet
management’s expectations. Risks, uncertainties and other factors
involved with forward-looking information 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, use of any private placement
proceeds raised, success of funding including closing of any
proposed private placements and proceeds therefrom, acceptance of
regulatory filings by the TSX-V, the Company’s objectives, goals or
future plans, statements, exploration results, potential
mineralization, the estimation of mineral resources, exploration
and mine development plans, timing of the commencement of
operations and estimates of market conditions. Factors that could
cause actual results to differ materially from such forward-looking
information include, but are not limited to changes in general
economic and financial market conditions, failure to identify
mineral resources, failure to convert estimated mineral resources
to reserves, the inability to complete a feasibility study which
recommends a production decision, the preliminary nature of
metallurgical test results, delays in obtaining or failures to
obtain required governmental, environmental or other project
approvals, political risks, inability to fulfill the duty to
accommodate First Nations and other indigenous peoples,
uncertainties relating to the availability and costs of financing
needed in the future, changes in equity markets, inflation, changes
in exchange rates, fluctuations in commodity prices, delays in the
development of projects, capital and operating costs varying
significantly from estimates and the other risks involved in the
mineral exploration and development industry, and those risks set
out in the Company’s public documents filed on SEDAR. Although the
Company 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. The Company 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.
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