Trigon Metals Inc. Closes Books and First Tranche of Private Placement Financing
![Trigon Metals Inc. Closes Books and First Tranche of Private Placement Financing](https://www.minenportal.de/media/goldseiten-news.jpg)
Each Unit is comprised of one common share of Trigon (a "Share") and one-half of one common share purchase warrant (each whole warrant, a "Warrant"). Each Warrant entitles the holder thereof to acquire one Share at a price of $0.50 for a period of 24 months following the date hereof, subject to an acceleration provision whereby in the event that at any time after the expiry of the statutory hold period, the Shares trade at $0.75 or higher on the TSX Venture Exchange for a period of 30 consecutive days, the Company shall have the right to accelerate the expiry date of the Warrants to the date that is 30 days after the Company issues a news release announcing that it has elected to exercise the acceleration right.
In connection with the First Tranche, the Company paid cash finder's fees of $52,846 and issued 149,560 finder's warrants (the "Finder Warrants") to eligible finders. Each Finder Warrant will entitle the holder thereof to acquire one Share at a price of $0.35 for a period of 24 months following the date hereof. The First Tranche remains subject to the final approval of the TSX Venture Exchange.
All securities issued in connection with the First Tranche are subject to a statutory hold period of four-months and one-day. The Company intends to use the net proceeds from the First Tranche for the recommencement of mining at the Kombat mine and for working capital and general corporate purposes.
Update
Ramp up continues at the mine, ore delivery to the mill is steadily improving, head grades are meeting expectations and dilution appears to be minimal. The mill has transitioned from batch processing to more continuous operation, with commercial production expected to be reached in March 2022.
Options
In recognition of the tremendous work completed in the start-up of the Kombat Mine has granted 4.41 million stock options to mine site management, senior management directors and contractors.
In addition, Trigon is granting 1.65 million options to contractors. The options are exercisable at 34 cents per share. The term of the options is for a period 5 years from the date of grant. The option grants are subject to the approval of the TSX Venture Exchange.
Trigon is a publicly traded Canadian exploration and development company with its core business focused on copper and silver holdings in mine-friendly African jurisdictions. Currently the company has operations in Namibia and Morocco. In Namibia, the Company holds an 80% interest in five mining licences in the Otavi Mountainlands, an area of Namibia widely recognized for its high-grade copper deposits, where the Company is focused on exploration and re-development of the previously producing Kombat mine. In Morocco, the Company is the holder of the Silver Hill project, a highly prospective copper and silver exploration project.
For further information, contact:
Jed Richardson
+1 647 276 6002
jed.richardson@trigonmetals.com
Website: www.trigonmetals.com
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 release.
This news release may contain forward-looking statements. These statements include statements regarding the Offering, the expected timing and size of future tranches of the Offering, the expected use of proceeds of the Offering and the Company's future plans and objectives. These statements are based on current expectations and assumptions that are subject to risks and uncertainties. Actual results could differ materially because of factors discussed in the management discussion and analysis section of our interim and most recent annual financial statements or other reports and filings with the TSX Venture Exchange and applicable Canadian securities regulations. We do not assume any obligation to update any forward-looking statements, except as required by applicable laws.
This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act") or any state securities laws and may not be offered or sold within the United States or to U.S. Persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.
NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR DISSEMINATION IN THE UNITED STATES
SOURCE: Trigon Metals Inc.