Genius Metals Complete s a Non -Brokered Private Placement of $1 Million and Initiate a Significant Exploration Program on Its Sakami Property (James Bay, Québec)
CSE:GENI
Genius Metals Complete s a Non -Brokered Private Placement of
$1 Million and Initiate a Significant Exploration Program on Its
Sakami Property (James Bay, Québec)
MONTRÉAL, QUÉBEC, CANADA — (August 6, 2020) -
NOT FOR DISSEMINATION IN THE UNITED STATES OR FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES
Genius Metals Inc. (CSE: GENI) (“Genius Metals” or the “Corporation”) announced the closing of a non-
brokered private placement offering (the “ Offering”) for a gross proceeds of $1,000,000 and issued
5,555,555 common share units of the Company (“ Unit Share”) at a price of at a price of $0.18 per
Unit.
Each Unit will consist of one common share of the Company and one common share purchase warrant
(“Warrant”). Each Warrant will entitle the holder to purchase one additional Share at a price of $0.30
per share for a period of 18 months from the date of issuance.
The proceeds of the Offering will be used to incur mining expenditures on the Sakami and A-Lake
projects and for the working capital of the Corporation.
In connection with the Offering, the Company paid an amount of $5,670 as finder’s fees to arm’s length
third parties.
Any securities issued pursuant to the Offering will be subject to a hold period under applicable
securities laws which will expire four months and one day from the date of their issuance.
Two directors of the Corporation have participated in the Private Placement and were issued an
aggregate of 138,888 Common Share Units. Their participation in the Private Placement constitutes
a “related party transaction” as defined under Regulation 61 -101 respecting Protection of Minority
Security Holders in Special Transactions (“61-101”). However, such participation is exempt from the
valuation and minority shareholder approval r equirements of 61-101 based on the fact that neither
the fair market value of the Private Placement, nor the consideration paid by such insiders, exceeds
25% of the Corporation’s market capitalization. The Corporation did not file a material change report
at least 21 days prior to the closing of the Private Placement as participation of the insiders had not
been established at that time.
Sakami Exploration Program
Genius Metals will initiate a sig nificant exploration campaign on its recently expanded Sakami
property located in the James Bay Territory (Eeyou Itschee) some 75 km southeast of the village of
Radisson. A group of ten people including geologists, technicians, helicopter pilot and journeymen
will be housed on the newly refurbished North Sakami camp to carry out the work during the month
of August . The exploration will consist of geological and structural mapping, rock sampling and
channel sampling on gold -prospective zones. The aim of the program is to disco ver new gold
mineralization on an Archean a volcano-plutonic terrane lying between the O3Mining’s La Grande Sud
gold property and Quebec Precious Metals La Pointe gold project. Genius Metals just completed an
airborne magnetic survey which , combined with o ne conducted in 2019 , covers the entire Sakami
property. The combined geophysical surveys and the results of past exploration work (i.e. mapping,
sampling and geophysics) will serve as a basis to plan a systematic work program. Prospective gold -
bearing zones associated with major structural or geological contacts are already established. Follow-
up work is expected to be completed during the fall period and will be devoted to overburden
stripping, high -resolution geophysics and channel sampling on the important gold prospective
unearthed during the August campaign. The Corporation intends to pursue summer the exploration
with a drilling campaign if the results acquired during the summer are conclusive.
Genius Metals’ employees and its contractors will operate under a COVID -19 management and
mitigation plan to ensure the protection of all stakeholders which has been approved by the Cree
Nation Government.
The mineralization hosted on adjacent and/or nearby properties is not necessarily indicative of
mineralization present on the Company’s property.
The technical contents of this release were approved by Dr. Michel Boily, PhD, P.Geo; a Qualified
Person (QP) as defined by National Instrument 43-101.
About Genius Metals
Genius Metals is a Canadian mineral exploration company focused on the acquisition, exploration and,
if warranted, development of natural resource properties of merit in Canada.
The CSE has in no way passed upon the merits of the transactions and has neither approved nor
disapproved the contents of this news release. Neither the CSE nor its Regulation Services Provider
accepts responsibility for the adequacy or accuracy of this news release.
Forward-Looking Statements and Disclaimer
Certain information contained herein may co nstitute “forward-looking information” under Canadian
securities legislation. Generally, forward-looking information can be identified by the use of forward-
looking terminology such as, “will be”, “expected” or variations of such words and phrases or
statements that certain actions, events or results “will” occur. Forward-looking statements, including
the expectations of the Corporation’s management regarding the use of proceeds of the Private
Placement, are based on the Corporation’s estimates and are subject to known and unknown risks,
uncertainties and other factors that may cause the actual results, level of activity, performance or
achievements of the Corporation to be materially different from thos e expressed or implied by such
forward-looking statements or forward -looking information. There can be no assurance that such
statements will prove to be accurate, as actual results and future events could differ materially from
those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-
looking statements and forward -looking information. The Corporation will not update any forward -
looking statements or forward-looking information that are incorporated by reference herein, except
as required by applicable securities laws.
Contact Information
Genius Metals Inc.
Pierre-Olivier Goulet
Vice-President Corporate Development
Email: [email protected]
Guy Goulet
President and CEO
Email: [email protected]
Tel.: 579-476-7000