E3 Metals Corp. News Announcement
DATE TITLE December 29, 2017 E3 Metals Corp. News Announcement
TSXV: ETMC FSE: OU7A OTC: EEMMF
E3 Metals Announces Private Placement
DIRECTORS Chris Doornbos
Paul Reinhart
Mike O’Hara
Peeyush Varshney
CONTACT INFORMATION
#205-227 10th St NW Calgary, AB, T2N 1V5
+1 (877) 319-7634 [email protected] e3metalscorp.com Vancouver, BC – December 29, 2017 – E3 METALS CORP. (TSX-V: ETMC, FSE: OU7A, OTC: EEMMF) (the “Company”, “E3” or “E3 Metals”) is pleased to announce a non-brokered private placement (the "Offering") of 143,572 units (“Units”) of the Company at a price of $0.70 per Unit for gross proceeds of $100,500. Each Unit is comprised of one flow through common share (each a “Flow Through Share”) and onehalf of one common share purchase warrant (each whole warrant, a “Warrant”). Each whole Warrant entitles the holder to purchase one common share of the Company (each a “Warrant Share”) at a price of $1.00 per Warrant Share for a period of 18 months from closing (the “Expiry Date”), subject to acceleration. If at any time between the date that is six months and one day from the closing date and the Expiry Date, the closing price of the Company’s common shares on the TSX Venture Exchange is equal to or greater than $1.25 for 20 consecutive trading days, then the Company may, at is sole option, elect to provide notice (the "Acceleration Notice") to the holders of the Warrants, which Acceleration Notice may be provided by news release, that the Warrants will expire at 4:00 p.m. (Vancouver time) on the date that is 30 days from the date of the Acceleration Notice (the "Accelerated Expiry Date"). In such instance, all Warrants that are not exercised prior to the Accelerated Expiry Date shall expire on the Accelerated Expiry Date.
The gross proceeds received by the Company from sale of the Flow Through Shares will be used to incur Canadian Exploration Expenses that are “flow-through mining expenditures” (as such terms are defined in the Income Tax Act (Canada)) on the Company’s mineral properties in the aggregate amount equal to the total amount of the gross proceeds raised from the issue of Flow Through Shares (the “Commitment Amount”). The Company will renounce these expenses pursuant to subsection 66(12.6) in conjunction with subsection 66(12.66) of the Income Tax Act (Canada) to the subscribers in an amount equal to the Commitment Amount with an effective date no later than December 31, 2017. All securities issued under the Offering are subject to a fourmonth hold period from the date of issue in accordance with applicable securities laws. In connection with the Offering, the Company has paid finders' fees of $6,030.02 and issued 8,614 non-transferable finders' warrants having the same terms as the Warrants to certain finders in accordance with applicable securities laws and the policies of the TSX Venture Exchange.
ON BEHALF OF THE BOARD OF DIRECTORS,
Chris Doornbos, President & CEO
E3 METALS CORP.
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.
This news release includes certain forward-looking statements concerning the use of proceeds of the Offering, including incurring expenditures that qualify as “flow-through mining expenditures”. Forward-looking statements are frequently identified by such words as “may”, “will”, “plan”, “expect”, “anticipate”, “estimate”, “intend” and similar words referring to future events and results. Forward-looking statements are based on the current opinions and expectations of management. All forward-looking information is inherently uncertain and subject to a variety of assumptions, risks and uncertainties, including the speculative nature of mineral exploration and development, fluctuating commodity prices, the effectiveness and feasibility of emerging lithium extraction technologies which have not yet been tested or proven on a commercial scale or on the Company’s brine, competitive risks and the availability of financing, as described in more detail in our recent securities filings available at www.sedar.com. Actual events or results may differ materially from those projected in the forward-looking statements and we caution against placing undue reliance thereon. We assume no obligation to revise or update these forward-looking statements except as required by applicable law.