Generation Mining Completes $2.5M Private Placement, Acquires Kennetcook Property, and Provides Corporate Update
1700-80 Richmond Street West Phone: 416 567-2440
Toronto, Ontario, Canada M5H 2A4 Email: [email protected]
GENERATION MINING COMPLETES $2.5M PRIVATE PLACEMENT,
ACQUIRES KENNETCOOK PROPERTY, AND
PROVIDES CORPORATE UPDATE
Toronto, Ontario – April 24, 2018 – Generation Mining Limited (the “Company”) is pleased to provide an
update on its activities, which includes the completion of a private placement financing raising gross
proceeds of $2,500,000 and entering into an option agreement in respect of the Kennetcook exploration
property in Nova Scotia.
Private Placement
The Company is pleased to announce that is has closed a non-brokered private placement through the
issuance of 22,550,000 units (“Units”) at a price of $0. 10 per Unit, and the issuance of 2,450,000 flow-
through common shares (“FT Shares”) at a price of $0. 10 per FT Share, for aggregate gross proceeds of
$2,500,000 (the “Offering”). Each Unit consists of one common share (“Common Share”) and one-half of
one Common Share purchase warrant (“ Warrant”). Each whole Warrant entitles the holder thereof to
purchase one additional Common Share at a price of $0.20 per Common Share until April 20, 2020.
In connection with the completion of the Offering, certain eligible persons (the “ Finders”), were paid a
cash commission equal to 6% of the proceeds raised from subscribers introduced to the Company by such
Finders, and issued finder warrants (the “ Finder Warrants”) equal to 6% of the securities purchased by
such subscribers. Each Finder Warrant entitles the h older thereof to purchase one Common Share at a
price of $0.10 per Common Share until April 20, 2020.
All securities issued in connection with the Offering will be subject to a hold period of four months plus a
day from the date of issuance and the resale rules of applicable securities legislation. The net proceeds of
the Offering will be used for general working capital and to fund the continued evaluation of the
Company’s exploration projects.
Acquisition of Kennetcook Property
The Company is also pleased to announce that, pursuant to a Claims Acquisition Agreement dated March
16, 2018 (the “Agreement”), it has acquired a 100% interest in certain mining licences in Nova Scotia (the
“Kennetcook Property ”) from arm’s length and non -arm’s length vendors . As consideration for the
Kennetcook Property, the Company issued an aggregate of 3,000,000 Common Shares to the vendors.
The Common Shares issued pursuant to the Agreement are subject to a hold period expiring on August
10, 2018.
The Kennetcook Property i s composed of 9 mineral licenses, or 690 claims, totaling 11,040 Hectares, in
central Hants County Nova Scotia. The mineral licenses are contiguous and parallel to the Kennetcook
River, and straddling the low to highland transition along the southwest to n ortheast trending Rawdon
Fault Zone (RFZ). Upon considerable technical review, compilation, geophysical modelling and
interpretation, the Company has concluded that this 40km segment of the RFZ, and immediate geologic
surroundings, has the potential to hos t a large tonnage, economic deposits of carbonate hosted Zn -Pb-
1700-80 Richmond Street West Phone: 416 567-2440
Toronto, Ontario, Canada M5H 2A4 Email: [email protected]
Ag-Cu or Paleo-placer Au mineralization. Geotech Ltd., Mississauga, Ontario has been contracted to collect
769 line-km’s of Helicopter Borne Electromagnetic and Total Field Magnetic Intensity measurements with
the VTEMmax system (Versatile Time Domain Electromagnetic), a high amplitude, large footprint, deep
penetrating EM system capable of detecting low to moderate conductivity, large footprint/tonnage
sulphide systems at depths of 500m or more.
Stephen Reford, P.Eng., Director of the Company, a “Qualified Person” under National Instrument 43-101
– Standards of Disclosure for Mineral Projects , has reviewed and approved the technical information
presented in this press release.
Corporate Update
Further to the joint press release dated February 23, 2018 issued by Pine Point Mining Limited (“ Pine
Point”) and Osisko Mining Corporation (“ Osisko Metals”), the Company was spun -off from Pine Point
pursuant to a statutory plan of arrangement (the “ Arrangement”) by Pine Point and involving Osisko
Metals effective February 23, 2018, and the Company acquired certain assets and liabilities from Pine
Point and became a reporting issuer in certain jurisdictions in Canada.
The assets of the Company acquired from Pine Point pursuant to the Arrangement include:
• Pine Point’s interest in the Davidson Molybdenum project located in central western British
Columbia;
• Pine Point’s interest in the Clear-Lake zinc-lead-silver project located in Yukon;
• Pine Point’s interest in the “Darnley Bay Anomaly” and diamond project in Northwest
Territories; and
• Pine Point’s interest in the Nak copper-gold project in British Columbia.
The directors and officers of the Company are Jamie Levy (President, Chief Executive Officer, and director),
Kerry Knoll (Chairman and director), Stephen Reford (director), Halina McGregor (Chief Financial Officer),
and Patricia Mannard (Vice-President – Finance).
After giving effect to the Offering and the Acquisition of the Kennetcook Property, the Company now has
43,969,934 Common Shares outstanding, and available cash of approximately $2,400,000.
The Company has made application to list the Common Shares on the Canadian Securities Exchange, and
will provide a further update on the status and timing of such listing application.
About Generation Mining Limited
Generation Mining Limited is a base and precious metals exploration and development company with
various property interests throughout Canada. Its primary business objective is to explore and fur ther
develop the Davidson Molydbenum project in British Columbia and its other mineral properties, a nd to
continue to increase its portfolio of base and precious metal property assets through acquisitions.
1700-80 Richmond Street West Phone: 416 567-2440
Toronto, Ontario, Canada M5H 2A4 Email: [email protected]
For further information please contact:
Jamie Levy
President and Chief Executive Officer
(416) 567-2440
Forward-Looking Information
This release includes certain statements that may be deemed “forward -looking statements”. All
statements in this release, other than statements of historical facts, that address future production,
reserve potential, exploration drilling, exploitation activ ities and events or developments that the
Company expects are forward -looking statements. Although the Company believes the expectations
expressed in such statements are based on reasonable assumptions, such statements are not guarantees
of future performa nce and actual results or developments may differ materially from those in the
statements. There are certain factors that could cause actual results to differ materially from those in
forward-looking statements. These include market prices, exploitation an d exploration successes,
continued availability of capital and financing, and general economic, market or business conditions.
Investors are cautioned that any such statements are not guarantees of future performance and actual
results or developments may differ materially from those projected in the forward-looking statements. For
more information on the Company, investors are encouraged to review the Company’s public filings at
www.sedar.com. The Company disclaims any intention or obligation to update or revise any forward -
looking statements, whether as a result of new information, future events or otherwise, other than as
required by law.