Early Warning Press Release in Respect of Durango Resources Inccorporated
RICHMOND, June 11, 2018 - Robert Kiesman ("Kiesman") and Skeena Gold Fishing Ltd. ("Skeena"), an entity controlled by Kiesman (Kiesman and Skeena collectively, the "Acquiror") have acquired an aggregate of 251,000 common shares (the "Purchased Shares") of Durango Resources Inc. (the "Issuer") in the open market on the TSX Venture Exchange (the "Acquisition"). The purchase price of the Purchased Shares was $0.08 per Purchased Share, for an aggregate price of $20,080.00. The Purchased Shares acquired represent approximately 0.665% of the Issuer's issued and outstanding common shares (each, a "Share"). Before the Acquisition:
(a) Kiesman held an aggregate of: (i) 1,275,656 Shares, representing 3.37% of the issued and outstanding Shares; and (ii) 823,344 warrants of the Issuer, each exercisable for one Share at an exercise price of $0.10 per share (each, a "Warrant"); and
(b) Skeena held an aggregate of: (i) 933,474 Shares, representing 2.47% of the issued and outstanding Shares; and (ii) 783,474 Warrants.
Therefore, before the Acquisition, the Acquiror would collectively own: (i) 2,209,130 Shares, representing 5.85% of the issued and outstanding Shares on a non-diluted basis; and (ii) 3,815,948 Shares, representing 9.69% of the issued and outstanding Shares on a partially-diluted basis, assuming the exercise of the 1,606,818 Warrants but that no other convertible securities of the Issuer are exercised.
After the Acquisition:
(a) Kiesman holds an aggregate of: (i) 1,276,656 Shares, representing 3.38% of the issued and outstanding Shares; and (ii) 823,344 Warrants; and
(b) Skeena held an aggregate of: (i) 1,183,474 Shares, representing 3.13% of the issued and outstanding Shares; and (ii) 783,474 Warrants.
Therefore, after the Acquisition, the Acquiror collectively owns: (i) 2,460,130 Shares, representing 6.51% of the issued and outstanding Shares on a non-diluted basis; and (ii) 4,067,948 Shares, representing 10.33% on a partially-diluted basis, assuming exercise of the 1,606,818 Warrants but that no other convertible securities of the Issuer are exercised.
The Purchased Shares were purchased and are presently being held for investment purposes. In the future, the Acquiror may acquire additional securities of the Issuer or dispose of such securities subject to a number of factors, including general market and economic conditions and other available investment and business opportunities.
A copy of the early warning report to be filed by the Acquiror will be available on SEDAR under the Issuer's profile on www.sedar.com.
This early warning news release is issued under the early warning provisions of Canadian securities legislation, including National Instrument 62-104 - Take-Over Bids and Issuer Bids and National Instrument 62-103 - The Early Warning System and Related Take-Over Bid and Insider Reporting Issues.
The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this press release nor have they approved nor disapproved the content thereof.
For further information, contact:
Robert Kiesman
Telephone: (778) 840-5553