KWG Resources Extends Convertible Debenture Term
KWG RESOURCES EXTENDS CONVERTIBLE DEBENTURE TERM
Toronto, Canada, October 3, 2019 - KWG Resources Inc. (CSE: KWG; KWG.A) (FRANKFURT:
KW6) (“KWG” or the “Corporation”) has agreed to extend to December 2nd, 2019 the time within
which the holder of its $500,000 convertible debenture may elect to exercise its conversion option.
Within that time all or part of the sum secured by the debenture is convertible at the option of the
holder into units with a deemed value of $21 per unit (each a “Unit”).
Each Unit is comprised of four (4) KWG.A multiple voting shares and four (4) multiple voting share
purchase warrants, with each such warrant enabling its holder to acquire one further KWG.A
multiple voting share from treasury upon payment of $7.50 at any time on or before December
15, 2019. The debenture bears interest at a rate of 12% per annum, accruing daily, compounding
annually and payable at the earlier of maturity, redemption or conversion, in KWG.A multiple
voting shares from treasury at their volume-weighted average price for the ten trading days prior
to payment. The debenture secures repayment of the principal, plus interest earned thereon to
the date of payment, plus a premium of 3%.
About KWG:
KWG is the Operator of the Black Horse Joint Venture (‘JV’) after acquiring a vested 50% interest
through Bold Ventures Inc (‘Bold’) from Fancamp Exploration Ltd (‘Fancamp’). KWG funds all JV
exploration expenditures and Bold is carried for a 20% interest in KWG’s interest.
KWG also owns 100% of Canada Chrome Corporation which has staked claims and conducted
a surveying and soil testing program, originally for the engineering and construction of a railroad
to the Ring of Fire from Aroland, Ontario.
KWG su bsequently acquired intellectual property interests, including a method for the direct
reduction of chromite to metalized iron and chrome using natural gas and an accelerant. KWG
subsidiary, Muketi Metallurgical LP, has received a patent for the direct reduction method in
Canada, South Africa and Kazakhstan and is prosecuting remaining patent applications in India,
Indonesia, Japan, South Korea and Turkey. It has also received a USA patent for production of
low carbon chromium iron alloys and a corresponding Canadian patent application is expected to
issue soon.
For further information, please contact:
Bruce Hodgman, Vice-President: 416-642-3575 ~ [email protected]
Forward-Looking Statements: Information set forth in this news release may involve forward- looking statements under
applicable securities laws. The forward- looking statements contained herein are expressly qualified in their entirety by this
cautionary statement. The forward-looking statements included in this document are made as of the date of this document
and KWG disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new
information, future events or otherwise, except as expressly required by applicable securities legislation. Although
management believes that the expectations represented in such forward-looking statements are reasonable, there can be no
assurance that such expectations will prove to be correct. This news release does not constitute an offer to sell or solicitation
of an offer to buy any securities that may be described herein and accordingly undue reliance should not be put on such.
Neither the Canadian Securities Exchange nor its Regulation Services Provider (as that term is defined in the policies of the
CSE) accepts responsibility for the adequacy or accuracy of this news release.
KWG
PRESS RELEASE NO. 297
Subordinate shares issued & outstanding (CSE-KWG) 1,019,496,927
Convertible into Multiple-voting shares (300:1) equal to: 3,398,323
Multiple-voting shares issued & outstanding: 237,049
If all shares convert to Multiple-voting (CSE-KWG.A) 3,635,372