Erdene Increases Previously Announced Bought Deal Financing to $12 Million
ERDENE RESOURCE DEVELOPMENT CORP.
Erdene Increases Previously Announced Bought Deal Financing to $12 Million
NOT FOR DISSEMINATION IN THE UNITED STATES OR FOR DISTRIBUTION TO U.S. NEWSWIRE
SERVICES AND DOES NOT CONSTITUTE AN OFFER OF THE SECURITES DESCRIBED HEREIN.
Halifax, Nova Scotia – January 31, 2017 – Erdene Resource Development Corp. (TSX:ERD)
("Erdene" or "Company") is pleased to announce that due to strong demand, it has amended the terms
of its previously announced bought deal financing to increase the size of the offering from
C$10,000,760 to C$12,000,000.
The Company has entered into an amended agreement whereby Paradigm Capital Inc. as lead
underwriter and Canaccord Genuity Group Inc. (collectively, the “Underwriters”) have agreed to
purchase on a bought deal basis 15,584,415 common shares of the Company (“Shares”) at C$0.77 per
Share (“Offering”). The Company has also granted the Underwriters an over-allotment option to
increase the size of the Offering by up to an additional 15%, such option being exercisable in whole or
in part at any time on or before 48 hours prior to the closing of the Offering (“Closing”).
The Company intends to use the net proceeds of the Offering to advance its 100%-owned, high-grade
Bayan Khundii and Altan Nar Gold Projects, and to further explore and develop the Company's other
gold properties in southwest Mongolia, as well as for working capital and general corporate purposes.
The Closing is expected to occur on or about February 23, 2017 and is subject to certain conditions
including, but not limited to, the receipt of all necessary approvals including the approval of the Toronto
Stock Exchange.
In consideration for their services, the Underwriters will receive a cash commission of 6% of the gross
proceeds of the Offering and shall receive such number of compensation options as is equal to 6% of the
Shares issued pursuant to the Offering.
The securities described herein have not been, and wil l not be, registered under the United States
Securities Act of 1933, as amended (the “U.S Securities Act”), or any state securities laws, and
accordingly, may not be offered or sold within the United States except in compliance with the
registration requirements of the U.S. Securities Act and applicable state securities requirements or
pursuant to exemptions therefrom. This news release does not constitute an offer to sell or a solicitation
to buy any securities in any jurisdiction.
About Erdene
Erdene Resource Development Corp. is a Canada-based resource company focused on the acquisition,
exploration, and development of precious and base metal prospects in underexplored and highly
prospective southwest Mongolia. Exploration success has led to the discovery and definition of several
100%-owned prospects and deposits including the Company’s flagship and newly discovered, high -
grade, near-surface Bayan Khundii gold project; the 5.6 km long Altan Nar gold -polymetallic
mineralized trend that is host to 18 targets; the Altan Arrow gold-silver prospect and the Zuun Mod
molybdenum-copper deposit. In addition to the above properties, the Company has an Alliance wi th
Teck Resources Limited on regional copper-gold exploration in the prospective Trans Altay region of
southwest Mongolia. For further information on the Company, please visit www.erdene.com. Erdene
has 126,885,031 issued and outstanding common shares and a fully diluted position of 134,431,281
common shares.
Forward-Looking Statements
Certain information regarding Erdene contained herein may constitute forward -looking statements
within the meaning of applicable securities laws. Forward-looking statements may include estimates,
plans, expectations, opinions, forecasts, projections, guidance or other statements that are not statements
of fact. Although Erdene believes that the expectations reflected in such forward-looking statements are
reasonable, it can give no assurance that such expectations will prove to have been correct. Erdene
cautions that actual performance will be affected by a number of factors, most of which are beyond its
control, and that future events and results may vary substantially from what Erdene currently foresees.
Factors that could cause actual results to differ materially from those in forward -looking statements
include market prices, exploitation and exploration results, continued availability of capital and
financing and general economic, market or business conditions. The forward-looking statements are
expressly qualified in their entirety by this cautionary statement. The information contained herein is
stated as of the current date and is subject to change after that date. The Company does not assume the
obligation to revise or update these forward-looking statements, except as may be required under
applicable securities laws.
NO REGULATORY AUTHORITY HAS APPROVED OR DISAPPROVED THE CONTENTS OF THIS
RELEASE
Erdene Contact Information
Peter C. Akerley, President and CEO
or
Ken W. MacDonald, Vice President and CFO
Phone: (902) 423-6419
E-mail: [email protected]
Website: www.erdene.com
Twitter: https://twitter.com/ErdeneRes