Komet – Closing of the First Tranche of a Private Placement
PRESS RELEASE TSX-V: KMT.V
For immediate release
Komet – Closing of the First Tranche of a Private Placement
Québec City, January 25, 2018 – Komet Resources Inc. (“Komet” or the “Company”) is pleased to
announce that it has closed the first tranche of a non -brokered private placement with accredited investors as
well as with a director of Komet (the “Insider”) by issuing 1,600,500 units (the “Units”) at a price of $0.37 per
Unit, for total gross proceeds to Komet of $592,585. Each Unit consists of one common share (a “Common
Share”) and one -half common share purchase warrant. Each Warrant entitles the holder to purchase one
additional Common Share of the Corporatio n at a price of $0.45 for 12 months from the closing date of the
private placement (the “Closing Date”).
Securities issued under the private placement will be subject to a four -month hold period from the Closing
Date.
Komet will use the private placement p roceeds to accelerate the exploration of his properties following the
positive results and the favorable gold price.
The Insiders’ participation for 1 million units is exempt from the formal valuation and minority shareholder
approval requirements provided under Regulation 61-101 respecting Protection of Minority Security Holders in
Special Transactions (“Regulation 61 -101”) in accordance with sections 5.5 (a) and 5.7 (1) (a) of Regulation
61-101. The exemption is based on the fact that neither the fair mar ket value of the private placement, nor the
consideration paid by such Insiders exceeds 25% of the market capitalization of the Corporation. The
Corporation did not file a material change report at least 21 days prior to the completion of the private
placement since the Insiders’ participation was not determined at that moment.
The private placement was carried out pursuant to prospectus exemptions of applicable securities laws and is
subject to final acceptance by the TSX Venture Exchange.
As a result of the private placement, 67,807,342 common shares of Komet are issued and outstanding.
More information about the corporation is available at: http://kometgold.com.
Investors relations and information: André Gagné, President and CEO 581 -300-1666 /
[email protected] / Skype: andregagne11
Forward-Looking Statements
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exc hange) accepts
responsibility for the adequacy or accuracy of this release. This press release contains statements that may constitute “forward -looking information” or
“forward-looking statements” as set out within the context of security law. This forward -looking information is sub ject to many risks and uncertainties,
some of which are beyond Komet’s control. The actual results or conclusions may differ considerably from those that have been set out, or intimated, in
this forward-looking information. There are many factors which may cause such disparity, especially the instability of metal market prices, the results of
fluctuations in foreign currency exchange rates or in interest rates, poorly estimated resources, environmental risks (strict er regulations), unforeseen
geological situations, unfavorable extraction conditions, political risks brought on by mining in developing countries, regulatory and gove rnmental policy
changes (laws and policies), failure to obtain the requisite permits and approvals from government bodies, or any o ther risk relating to mining and
development. There is no guarantee that the circumstances anticipated in this forward -looking information will occur, or if they do occur, how they will
benefit Komet. The forward -looking information is based on the estimat es and opinions of Komet’s management at the time of the publication of the
information and Komet does not assume any obligation to make public updates or modifications to any of the forward -looking statements, whether as a
result of new information, future events, or any other cause, except if it is required by securities laws.