Opawica Explorations Inc. Signs Property Purchase and Sale Agreement and Announces Private Placement
300 – 555 W. Georgia Street, Randall Building, Vancouver, BC Canada V6B 1Z6 T (604)681-3170, F (604)681-3552, [email protected] www.opawica.com
OPAWICA EXPLORATIONS INC. SIGNS PROPERTY PURCHASE AND SALE AGREEMENT AND ANNOUNCES PRIVATE PLACEMENT
Vancouver, B.C. – February 25, 2016 – Opawica Explorations Inc. (the “Company”) (TSX.V: OPW) is pleased to announce that further to its news release of December 22, 2015, the Company has executed a purchase and sale agreement with Investissements Gema Inc. (“Gema”) for the Company to acquire a 100% interest, subject to retained royalties, in the Bazooka, McWatters and Doyon-Bousquet claims (the “Properties”) located in northern Quebec, Canada.
In order to purchase the Properties, the Company is to issue 3,870,000 common shares of the Company (the “Shares”), said Shares to be issued on a post-consolidation basis, it being acknowledged that the Company is intending to consolidate its current and outstanding share capital on a 4 old for 1 new basis (the “Consolidation”). The Shares will be subject to a four month hold period under applicable securities laws. 1,000,000 of the Shares are to go to RT Minerals Corp., a company with common directors to the Company.
A further condition to closing the sale of the Properties is the completion of a unit private placement to raise up to $600,000 at a minimum price of $1,000.00 per unit (post Consolidation), with each unit comprised of 16,000 flow-through common shares, 4,000 non flow-through common shares, and 20,000 share purchase warrants exercisable at a minimum price of $0.05 for a term of five years (the “Offering”). Up to $480,000 of the Offering will consist of flowthrough shares.
Closing of the transactions contemplated hereby is subject to approval by shareholders of the Company and TSX Venture Exchange acceptance to the transactions contemplated hereby, provided that if any of the conditions set out herein are not satisfied by April 30, 2016, the agreement shall terminate and be of no further force and effect.
The Company has set April 6, 2016 as the date of its Annual General Meeting.
FOR FURTHER INFORMATION CONTACT:
Fred Kiernicki President and Chief Executive Officer Opawica Explorations Inc.
Telephone: 604-681-3170 Fax: 604-681-3552
Neither the TSX Venture Exchange nor its Regulation Service Provider (as the term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy of accuracy of this news release.