Astra Exploration Announces $2.4 M Private Placement with Expected Participation from Michael Gentile
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ASTRA EXPLORATION INC. (TSX-V: ASTR)
NEWS RELEASE
ASTRA EXPLORATION ANNOUNCES $2.4 M PRIVATE PLACEMENT WITH EXPECTED
PARTICIPATION FROM MICHAEL GENTILE
Vancouver, British Columbia – June 7, 2022 – Astra Exploration Inc. (TSX-V: ASTR) (“Astra” or the
“Company”) is pleased to announce a non -brokered private placement (the “Offering”) of up to
12,000,000 units (the “Units”) for gross proceeds of up to CAD $2.4 million.
The Offering will consist of 12,000,000 Units priced at $0.20 per Unit, with each Unit consisting of
one common share and one common share purchase warrant (a “Warrant”). Each Warrant will entitle
the holder to purchase one additional common share for $0.26 for a period of two years from closing
of the Offering.
New Strategic Investor: Michael Gentile, CFA
The Company expects that Michael Gentile will participate in the Offering.
Mr. Gentile, CFA is considered to be a leading strategic investor in the junior mining sector, and holds
significant positions in a select group of high-potential junior companies. He recently founded Bastion
Asset Management in Montreal, Quebec and was previously a Senior Portfolio Manager at Formula
Growth Limited.
Brian Miller, CEO of Astra Exploration, commented:
“To attract the interest of Mr. Gentile is a great endorsement for Astra. His participation would be a
testament to the company’s potential as an attractive investment opportunity. This financing will fully
fund the Phase II drill program in Q3 2022 at Pampa Paciencia where initial drill results have
produced some very high quality follow-up targets.”
The net proceeds from the Offering will be used to fund exploration activities and for general working
capital purposes.
The common shares and purchase warrants issued in this Offering will be subject to a statutory hold
period of four months plus one day from the date of issuance. Some securities issued in this Offering
may be subject to additional restrictions. The Company may pay a finder’s fee on a portion of the
proceeds in accordance with applicable securities laws and the policies of the TSX Venture
Exchange. The Offering is subject to TSX Venture Exchange approval.
The Company expects certain of its directors and officers to participate in the Offering. Participation
of insiders of the Company in the Offering constitutes a related-party transaction as defined under
Multilateral Instrument 61-101 (“MI 61-101”). Because the Company's shares trade only on the TSX
Venture Exchange, the issuance of securities is exempt from the formal valuation requirements of
Section 5.4 of MI 61 -101 pursuant to Subsection 5.5(b) of MI 61-101 and exempt from the minority
approval requirements of Section 5.6 of MI 61-101.
This news release does not constitute an offer to sell or a solicitation of an offer to buy nor shall there
be any sale of any of the securities in any juri sdiction in which such offer, solicitation or sale would
be unlawful. 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 the securities laws of any state of
the United States and may not be offered or sold within the United States or to, or for the account or
the benefit of, U.S. persons (as defined in Regulation S under the U.S. Securities Act) unless
registered under the U.S. Securities Act and applicable state securities laws or pursuant to an
exemption from such registration requirements.
About Pampa Paciencia
Pampa Paciencia is a 3,840 hectare road -access low -sulphidation epithermal (LSE) gold -silver
project located within an active mining district less than 15 kilometers from two major mines (Sierra
Gorda and Spence) and five kilometers from the Faride LSE mine (Figure 1).
Astra has completed property wide mapping and sampling, geophysical surveys, and localized
trenching and in doing so, has defined a vein boulder field over approximately 75% of the project
area. The veins do not outcrop as the majority of the project area is covered by a thin layer of gravels
and caliche but the vein float can be used to identify areas of high prospectivity.
Initial drill results defined gold mineralization in the Paciencia Vein System, which is a thick LSE vein
structure averaging 10-20 metres thickness over a strike length of approximately 1.4 kilometres.
Exploration results continue to indicate a large LSE system under thin cover, with two known zones
of gold mineralization near surface which are open along strike and at depth (see May 2 nd and May
25th, 2022 press releases).
Figure 1: Location of the Pampa Paciencia flagship project in the Paleocene Belt of northern Chile.
PDAC 2022 Participation:
Astra will be attending The Prospectors & Developers Association of Canada (PDAC) In -Person
Convention hosted in Toronto, Canada from June 13 th-15th. Visit us in the Investors Exchange at
Booth 3316.
About the Company
Astra Exploration Inc. is a n exploration company based out of Vancouver, BC. Astra is engaged in
the acquisition, exploration and development of epithermal gold -silver properties in Chile and is
building a portfolio of high -quality projects. Astra’s current focus is the development o f the Pampa
Paciencia Project.
For further information please contact:
Brian Miller
Chief Executive Officer
Tel. 604.428.0939
Email: [email protected]
OR
Nikki McEachnie
Manager of Investor Relations, Marketing & Business Development
Tel: 416.209.4940
Email: [email protected]
Neither the TSXV nor its Regulation Services Provider (as that term is defined in the policies of the
TSXV) accepts responsibility for the adequacy or accuracy of this release.
Mineralization hosted on adjacent and/or nearby and/or geologically similar properties is not
necessarily indicative of mineralization hosted on the Company’s properties.
This news release may contain certain “Forward -Looking Statements” within the meaning of the
United States Private Securities Litigation Reform Act of 1995 and applicable Canadian securities
laws. When or if used in this news release, the words “anticipat e”, “believe”, “estimate”, “expect”,
“target, “plan”, “forecast”, “may”, “schedule” and similar words or expressions identify forward-looking
statements or information. These forward -looking statements or information may relate to the
Company’s business a ctivities; exploration on the Company’s properties; obtaining required
approvals for the Offering; participation in the Offering; closing of the Offering; the use of proceeds
from the Offering and such statements represent the Company’s current views with respect to future
events and are necessarily based upon a number of assumptions and estimates that, while
considered reasonable by the Company, are inherently subject to significant business, economic,
competitive, political and social risks, contingencies and uncertainties. Many factors, both known
and unknown, could cause results, performance or achievements to be materially different from the
results, performance or achievements that are or may be expressed or implied by such forward -
looking statements. Such factors include, without limitation: development of the industry in which the
Company operates; risks associated with the conduct of the Company's business activities; risks
relating to reliance on the Company's management team and outside contractor s; currency
fluctuations; risks regarding the failure to generate sufficient cash flow from operations; laws and
regulations governing the industry in which the Company operates; the ability of the communities in
which the Company operates to manage and cope with the implications of COVID-19; the economic
and financial implications of COVID-19 to the Company; operating or technical difficulties; employee
relations, labour unrest or unavailability; stock market volatility; conflicts of interest among certain
directors and officers; lack of liquidity for shareholders of the Company; litigation risk; and other risk
factors disclosed in the Company’s public disclosure documents available on the Company’s profile
at www.sedar.com. Readers are cautioned against at tributing undue certainty to forward -looking
statements or forward-looking information. Although the Company has attempted to identify important
factors that could cause actual results to differ materially, there may be other factors that cause
results not to be anticipated, estimated or intended. The Company does not intend, and does not
assume any obligation, to update these forward-looking statements or information to reflect changes
in assumptions or changes in circumstances or any other events affectin g such statements and
information other than as required by applicable laws, rules and regulations.