Barksdale Provides Update on Debenture Extension
Barksdale Provides Update on Debenture
Extension
Vancouver, British Columbia--(Newsfile Corp. - October 14, 2022) - Barksdale Resources Corp. (TSXV:
BRO) (OTCQX: BRKCF) ("
Barksdale
" or the "
Company
") has finalized the extension of the maturity
date of the secured convertible debentures ("
Debentures
") administered by Delbrook Capital Advisors
Inc. (see new release dated September 6, 2022) by one year until December 31, 2023 ("
Debenture
Extension
").
The Debentures have a remaining principal amount of $1,500,000 and all other terms of
the Debentures remain unchanged except for the conversion price, which has increased to $0.55 per
share from $0.45 per share.
Additionally, Delbrook and the Company have agreed to a debt for equity plan whereby approximately
$99,166 of accrued interest will be exchanged for 206,595 units of the Company (the
"
Units
").
Each Unit
will consist of one common share of Barksdale (each a "
Common Share
") and one-half of one common
share purchase warrant (each whole warrant, a "
Warrant
").
Each Warrant shall entitle the holder to
acquire one Common Share at a price of $0.72 for a period of three years from the date of issuance.
Any subsequent interest accrued under the Debentures shall be payable in cash in accordance with the
terms and conditions of the Debentures.
In exchange for extending the Debentures, the Company has agreed to an extension fee of 2,777,777
common share purchase warrants, exercisable at a price of $0.72 for a period lasting up to December
31, 2023 ("
Extension
Warrants
").
Should any part of the Debentures be repaid or converted prior to
the maturity date, a pro-rata portion of the Extension Warrants will have their maturity date accelerated to
the later of (i) one year from closing of the Debenture Extension, and (ii) 30 days after the date of
repayment or conversion.
The number of warrants issued as an extension fee has been increased from
the original announcement, but the expiry date has been shortened to conform with TSX Venture
Exchange ("
Exchange
") policy.
The Company expects to close the Debenture Extension and debt for
equity plan within the next seven days, subject to approval of the Exchange.
Barksdale Resources Corp.
is a base metal exploration company headquartered in Vancouver, B.C.,
that is focused on the acquisition, exploration and advancement of highly prospective base metal
projects in North America. Barksdale is currently advancing the Sunnyside copper-zinc-lead-silver and
San Antonio copper projects, both of which are in the Patagonia mining district of southern Arizona, as
well as the San Javier copper-gold project in central Sonora, Mexico.
ON BEHALF OF BARKSDALE RESOURCES CORP
Rick Trotman
President, CEO and Director
Terri Anne Welyki
Vice President of Communications
778-238-2333
For more information please phone 778-238-2333, email
or visit
www.BarksdaleResources.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 news
release.
CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING INFORMATION: This news
release includes "forward-looking information" under applicable securities legislation including, but
not limited to, the final terms and conditions of the Debenture Extension and debt for equity plan
including the total number of Units and Extension Warrants to be issued and the terms thereof and the
estimated completion date therefor. Such forward-looking information reflects management's current
beliefs and is based on a number of estimates and assumptions made by and information currently
available to the Company that, while considered reasonable, are subject to known and unknown risks,
uncertainties, and other factors which may cause the actual results and future events to differ
materially from those expressed or implied by such forward-looking information. Readers are
cautioned that such forward-looking information is neither a promise nor guarantee, and is subject to
known and unknown risks and uncertainties including, but not limited to, delays in obtaining
governmental, regulatory or third party approvals as well as general business, economic, competitive,
political and social uncertainties, uncertain and volatile equity and capital markets and lack of
available capital. There are no assurances that the Exchange will approve the Debenture Extension
and debt for equity plan on the terms contemplated herein or at all. In addition, there is uncertainty
about the continued spread of COVID-19, the ongoing war in Ukraine and rising inflation and interest
rates and the impact they will have on the Company
'
s operations, supply chains, ability to access
mineral properties, conduct due diligence or procure equipment, contractors and other personnel on a
timely basis or at all and economic activity in general. All forward-looking information contained in this
news release is qualified by these cautionary statements and those in our continuous disclosure
filings available on SEDAR at
www.sedar.com
.
Accordingly, readers should not place undue reliance
on forward-looking information. The Company disclaims any intention or obligation to update or revise
any forward-looking information, whether as a result of new information, future events or otherwise,
except as required by law.
To view the source version of this press release, please visit
https://www.newsfilecorp.com/release/140509