Barksdale Closes C$3.5 Million Strategic Investment by Osisko Gold Royalties
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Barksdale Closes C$3.5 Million Strategic Investment by
Osisko Gold Royalties
NOT FOR DISTRIBUTION TO UNITED STATES NEWS WIRE SERVICES OR FOR
DISSEMINATION IN THE UNITED STATES
Vancouver, B.C. – January 21, 2019 - Barksdale Capital Corp. (“Barksdale” or
the “Company”) is pleased to announce that it has closed the previously announced
non-brokered private placement with Osisko Gold Royalties Ltd (“Osisko ”)
(TSX: OR). Barksdale has issued Osisko 5,833,333 common shares at a price of
C$0.60 per share for total gross proceeds of C$3,500,000 (the “Placement”). As a
result of the Placement, there are now 38,489,686 common shares of the Company
outstanding, of which Osisko owns approximately 15.2%. The net proceeds from
the Placement will be used to advance the Company’s mineral projects , including
the Sunnyside project, and for general corporate and working capital purposes.
“The investment by Osisko is an important endorsement of Barksdale and the
Sunnyside project, which is adjacent to South32’s recently acquired Taylor -
Hermosa development project in southern Arizona. Now that the transaction has
closed our team is excited to continue de -risking Sunnyside for the benefit of all
shareholders,” stated Rick Trotman, President and CEO of Barksdale.
Under the Placement and for so long as Osisko owns 10% or more of the
Company’s outstanding shares, Osisko shall have an equity participation right to
maintain its pro-rata ownership interest in the Company and the right to nominate
one person to Barksdale’s board of directors. In addition, Osisko has been granted
a right of first refusal on any proposed royalty , streaming, or similar transactions
involving all or any portion of the Company’s properties for a period of five years.
Concurrent wit h the Placement, Osisko acquired certain existing royalty interests
over the Sunnyside project from an arm’s length private vendor.
Medalist Capital Ltd . acted as financial advisor to the Company in connection with
the Placement and will receive an advisory fee in cash and share purchase warrants
in accordance with the policies of the TSX Venture Exchange. The share purchase
warrants will be exercisable for a period of 24 months at a price of $0.60 per share.
All securities issued pursuant to the Placem ent are subject to a 4 month period
expiring May 19, 2019.
Barksdale Capital Corp. is a base metal exploration company headquartered in
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Vancouver, BC, that is focused on the acquisition and exploration of highly
prospective base metal projects in the United States. Barksdale’s portfolio of assets
is located within a world -class base metal district in southern Arizona and are
surrounded by some of the world’s largest mining companies.
ON BEHALF OF BARKSDALE CAPITAL CORP
Rick Trotman, President and Chief Executive Officer
For more information please phone 778-558-7145, email
[email protected] or visit www.BarksdaleCapital.com.
Any scientific or technical information contained in this news release has been approved by
Lewis Teal, Barksdale’s project manager and a “qualified person” as defined by NI 43 -101,
Standards of Disclosure for Mineral Projects.
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 Canadian securities
legislation including, but not limited to, the anticipated use of proceeds from the Placement
and the potential relationship between the Sunnyside project and the Taylor -Hermosa base
metal system. Such forward-looking information reflects management’s current beliefs and
are 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 are neither
promises nor guarantees, and are subject to known and unknown risks and uncertainties
including, but not limited to, general business, economic, competitive, political and social
uncertainties, u ncertain and volatile equity and capital markets, lack of available capital,
actual results of exploration activities, environmental risks, future prices of base metals ,
operating risks, accidents, labor issues, delays in obtaining governmental approvals a nd
permits, and other risks in the mining industry. 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.
THIS NEWS RELEASE, REQUIRED BY APPLICABLE CANADIAN LAWS, IS NOT FOR
DISTRIBUTION TO U.S. NEWS SERVICES OR FOR DISSEMINATION IN THE UNITED STATES,
AND DOES NOT CONSTITUTE AN OFFER TO SELL SECURITIES AN D THE COMPANY IS NOT
SOLICITING AN OFFER TO BUY THE SECURITIES DESCRIBED HEREIN. THESE SECURITIES
HAVE NOT BEEN 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.