Pacific Ridge Announces Closing of C$6.0M Bought Deal Private Placement
Pacific Ridge Announces Closing of C$6.0M
Bought Deal Private Placement
Vancouver, British Columbia--(Newsfile Corp. - December 19, 2022) -
Pacific Ridge Exploration Ltd.
(TSXV: PEX) (OTCQB: PEXZF)
("Pacific Ridge" or the "Company") is pleased to announce the closing
of its previously announced "bought deal" private placement (the "Offering") of flow-through units of the
Company (each, a "FT Unit") underwritten by Red Cloud Securities Inc., as lead underwriter and sole
bookrunner, on behalf of a syndicate of underwriters comprised of Beacon Securities Limited and M
Partners Inc. (collectively, the "Underwriters").
Pursuant to the Offering, the Company sold 18,750,000 FT
Units at a price of C$0.32 per FT Unit, including 3,125,000 FT Units issued pursuant to the exercise of
the Underwriters' over-allotment option for aggregate gross proceeds to the Company of $6,000,000.
Each FT Unit consists of one common share of the Company issued as a "flow-through share" within the
meaning of the
Income Tax Act
(Canada) (each, a "FT Share") and one-half of one common share
purchase warrant (each whole warrant, a "Warrant"). Each Warrant entitles the holder to purchase one
common share of the Company (each, a "Warrant Share") at a price of C$0.40 at any time on or before
December 19, 2024. The FT Shares, Warrants and Warrant Shares will be subject to a hold period
ending on April 20, 2023.
Proceeds from the sale of FT Shares will be used to incur "Canadian exploration expenses" as defined
in subsection 66.1(6) of the
Income Tax Act
(Canada) and "flow through mining expenditures" as
defined in subsection 127(9) of the
Income Tax Act
(Canada). Such proceeds will be renounced to the
subscribers with an effective date not later than December 31, 2022, in the aggregate amount of not less
than the total amount of gross proceeds raised from the issue of FT Shares.
The Company intends to use the proceeds raised from the Offering for a diamond drill program at the
Company's flagship Kliyul copper-gold project ("Kliyul") and at the Chuchi copper-gold project ("Chuchi")
in 2023. Kliyul and Chuchi are located in the prolific Quesnel Trough in northcentral British Columbia.
Pacific Ridge paid to the Underwriters a total cash commission of C$360,000 and issued to the
Underwriters 1,125,000 compensation warrants of the Company, with each compensation warrant
entitling the holder to purchase one common share of the Company at a price of C$0.32 at any time on
or before December 19, 2024.
This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the
securities in the United States. The securities have not been and will not be registered under the United
States Securities Act of 1933, as amended (the "U.S. Securities Act") or any state securities laws and
may not be offered or sold within the United States or to U.S. Persons unless registered under the U.S.
Securities Act and applicable state securities laws or an exemption from such registration is available.
About Pacific Ridge
Our goal is to become British Columbia's leading copper-gold exploration company. Pacific Ridge's
flagship project is the Kliyul copper-gold project, located in the prolific Quesnel Trough, approximately 50
km southeast of Centerra Gold Inc.'s Kemess mine. In addition to Kliyul, the Company's project portfolio
includes the RDP copper-gold project (optioned to Antofagasta Minerals S.A.), the Chuchi copper-gold
project, the Onjo copper-gold project, and the Redton copper-gold project, all located in British
Columbia.
On behalf of the Board of Directors,
"Blaine Monaghan"
Blaine Monaghan
President & CEO
Pacific Ridge Exploration Ltd.
Corporate Contact:
Blaine Monaghan
President & CEO
Tel: (604) 687-4951
www.pacificridgeexploration.com
https://www.linkedin.com/company/pacific-ridge-exploration-ltd-pex
https://twitter.com/PacRidge_PEX
Investor Contact:
G2 Consultants Corp.
Telephone: +1 778-678-9050
Email:
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the
policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this
release.
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 exploration drilling and other activities and events or developments that Pacific Ridge
Exploration Ltd. ("Pacific Ridge") expects to occur, are forward-looking statements. Although Pacific
Ridge believes the expectations expressed in such forward-looking statements are based on
reasonable assumptions, such statements are not guarantees of future performance and actual
results or developments may differ materially from those forward-looking statements. Factors that
could cause actual results to differ materially from those in forward-looking statements include market
prices, exploration successes, and continued availability of capital and financing and general
economic, market or business conditions. These statements are based on a number of assumptions
including, among other things, assumptions regarding general business and economic conditions,
that one of the options will be exercised, the ability of Pacific Ridge and other parties to satisfy stock
exchange and other regulatory requirements in a timely manner, the availability of financing for
Pacific Ridge's proposed programs on reasonable terms, and the ability of third party service
providers to deliver services in a timely manner. 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. Pacific Ridge does not assume any obligation to
update or revise its forward-looking statements, whether as a result of new information, future events or
otherwise, except as required by applicable law.
Not for distribution to United States Newswire Services or for dissemination in the United States.
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https://www.newsfilecorp.com/release/148623