pcNewsWire – Scientific Metals Corp. (TSX-V: STM; FSE: 26X; OTCQB: SCTFF) has completed the non-brokered private placement announced on May 17, 2017, issuing 2,000,000 units at $0.85 per unit for gross proceeds of $1,700,000.
Proceeds of this private placement for the phase 1 exploration program at its flagship Iron Creek cobalt property in Idaho, and for general working capital purposes.
Press Release
FOR IMMEDIATE RELEASE
SCIENTIFIC METALS CLOSES PRIVATE PLACEMENT
May 18, 2017 – VANCOUVER, BRITISH COLUMBIA – Scientific Metals Corp. (“STM” or the “Company”) (TSXV: STM) (Frankfurt: 26X) (OTCQB: SCTFF) is pleased to announce that it has completed the non-brokered private placement of units (each, a “Unit”) previously announced on May 17, 2017. The Company issued a total of 2,000,000 Units at a price of $0.85 per Unit for gross proceeds of $1,700,000. Each Unit is comprised of one common share in the capital of the Company and one-half of one common share purchase warrant. Each whole warrant entitles the holder to purchase one common share at a price of $1.10 per share at any time within 24 months of the date of issuance of the warrant. A director and officer of the Company participated in the private placement and acquired a total of 970,000 Units. All of the securities issued under the private placement are subject to a four month resale restriction. The private placement remains subject to the final approval of the TSX Venture Exchange.
Wayne Tisdale, CEO of the Company states, “We are pleased to close this institutional round of funding, and are delighted to add new investors into our company ranging from Europe to the United States of America, as well as management participation. We feel strongly that this round of funding puts STM in a healthy position to execute on our business plan. The cobalt market has come under intense pressure with rising prices cresting 5 year highs coupled with supply constraints out of the Democratic Republic of Congo. We are very pleased to move forward with our home grown project in hopes that we can be a leader in the move towards a safe ethical solution. We would like to thank our shareholders old and new for their commitment in our vision.”
The Company intends to use the net proceeds of this private placement for the phase 1 exploration program at its flagship Iron Creek cobalt property in Idaho, and for general working capital purposes.
For further information on the Company and cobalt, please visit https://youtu.be/HVQwpQy0_1k.
For additional information please contact:
Scientific Metals Corp.
Wayne Tisdale, President
T: (604) 639-4457
E: info@scientificmetalscorp.com
Website: www.scientificmetalscorp.com
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.
