Mineral Mountain Closes Second Tranche of $7.9 Million Financing
MINERAL MOUNTAIN CLOSES SECOND
TRANCHE OF $7.9 MILLION FINANCING
VANCOUVER, BC
,
Sept. 1, 2022
/CNW/ - Mineral Mountain Resources Ltd. ("
Mineral Mountain
" or
the "
Company
") (TSXV: MMV) (OTCQB: MNRLF) (FRANKFURT: M8M) further to its
August 2,
2022
and
August 24, 2022
news releases, the Company is pleased to announce that it has filed
documents with the TSX Venture Exchange (the "Exchange") for approval to close the second
tranche of its
$0.07
unit financing (the "Financing") for aggregate gross proceeds of
$100,000
.
Subject to Exchange approval, the Company will now issue 1,428,582 units ("Units), each Unit
consisting of 1 common share and 1 common share purchase warrant, each warrant being
exercisable for an additional common share at an exercise price of
$0.15
for a period of 6 months.
Additionally, further to the Company's
August 24, 2022
news release, the first tranche of the
Financing was effected with 3 insiders, subscribing for a total of
$53,200
or 760,000 Units, that
portion of the Financing a "related party transaction" as such term is defined under MI 61-101 –
Protection of Minority Security Holders in Special Transactions. The Company is relying on
exemptions from the formal valuation requirement of MI-61-101 under sections 5.5(a) and (b) of MI
61-101 in respect of the transaction as the fair market value of the transaction, insofar as it involves
the interested party, is not more than 25% of the Company's market capitalization.
The remainder of the Financing is expected to close in two more tranches: a) the third tranche of
Cdn$400,000
(the "Second Tranche") within a few weeks; and b) a third tranche for the remaining
Cdn$7,340,000
(the "Third Tranche") upon the Company obtaining shareholder approval at a special
meeting of shareholders set for
October 6, 2022
. Shareholder approval will be required for the Third
Tranche as a result of the Fund's investment becoming a control block as that term is defined within
TSX Venture Exchange policies.
Securities issued in connection with the Financing are subject to a four-month hold period, in
accordance with applicable securities laws.
The proceeds are to be used primarily to fund a 9,000-metre drill program at the Company's largest
and most advanced gold projects in the
Rochford
District of
South Dakota
. Preparations for this drill
program are currently underway.
On Behalf of the Board of Directors
MINERAL MOUNTAIN RESOURCES LTD.
"Nelson W. Baker"
, President and CEO
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.
Forward looking information
This release contains "forward-looking information" within the meaning of applicable Canadian
securities legislation ("Forward-looking information"). Forward-looking information includes, but is not
limited to, statements that address activities, events or developments that the Company expects or
anticipates will or may occur in the future, including such things as future business strategy,
competitive strengths, goals, expansion, growth of the Company's businesses, operations, plans and
with respect to exploration results, the timing and success of exploration activities generally,
permitting time lines, government regulation of exploration and mining operations, environmental
risks, title disputes or claims, limitations on insurance coverage, timing and possible outcome of any
pending litigation and timing and results of future resource estimates or future economic studies.
SOURCE
Mineral Mountain Resources Ltd.
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For further information:
Brad Baker, Vice-President Corporate Development & Director, (778)
383-3975, [email protected], Or visit our website: www.mineralmtn.com
CO: Mineral Mountain Resources Ltd.
CNW 17:02e 01-SEP-22