pcNewsWire – Signature Resources Ltd. (TSX-V: SGU, OTCQB: SGGTF) intends to close a non-brokered private placement for gross proceeds of up to $1,500,000, consisting of non-flow-through units at $0.10 per NFT unit and flow-through unit at $0.12 per FT unit.
Proceeds will be used for advancing the Lingman Lake Gold Project, and for general corporate purposes.
SIGNATURE RESOURCES LTD. ANNOUNCES NON-BROKERED PRIVATE PLACEMENT
FOR IMMEDIATE RELEASE May 24, 2017
Toronto, Ontario, May 24, 2017 – Signature Resources Ltd. (TSXV: SGU, OTCQB: SGGTF) (“Signature” or the “Company”) is pleased to announce that it will conduct a non-brokered private placement (the “Offering”), subject to the approval of the TSX Venture Exchange (the “Exchange”), for aggregate gross proceeds of up to $1,500,000. The Offering will consist of non-flow-through units (the “NFT Units”) at a price of $0.10 per NFT Unit, and flow-through unit (the “FT Unit”) at a price of $0.12 per FT Unit. Each NFT Unit will consist of one common share of the Company and one warrant (a “Warrant”). Each FT Unit will consist of one flow-through common share and one-half of one Warrant. Each whole Warrant will entitle the holder thereof to acquire an additional common share (a “Warrant Share”) of the Company at an exercise price of $0.15 per Warrant Share for a period of 3 years from the date of issuance, provided that if after four (4) months and one (1) day following the closing of the Offering, the closing price of the Company’s common shares on the Exchange is equal to or greater than $0.25 for 20 consecutive trading days, then the Company may accelerate the expiry date of the Warrants by disseminating a press release and in such case the Warrants will expire on the 90th day after the date on which such press release is disseminated by the Company.
Subject to Exchange approval, finder’s fees of up to 7% cash and 7% warrants may be paid to persons who introduce the Company to investors in the Offering.
Proceeds of this Offering will be used for advancing the Lingman Lake Gold Project, and for general corporate purposes.
Securities issued pursuant to the Offering will be subject to a hold period of four months plus one day from the date of completion of the Offering, in accordance with applicable securities legislation.
This press release does not constitute an offer to sell or the solicitation of an offer to buy these securities, nor shall it constitute an offer, solicitation or sale in any jurisdiction in which such offer, solicitation or sale is unlawful. These securities have not been, and will not be, registered under the United States Securities Act of 1933, as amended, or any state securities laws, and may not be offered or sold in the United States or to U.S. persons unless registered or exempt therefrom.
The Lingman Lake gold property consists of four free hold patented claims and the 50 staked claims, totaling 9,896.8 hectares. The property hosts an historic 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-compliant 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 Property” dated December 20, 2013, prepared by Walter Hanych, P.Geo., and Frank Racicot, 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:
Chief Executive Officer
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.