Rathdowney Closes First Tranche of Private Placement
Rathdowney Closes First Tranche of Private
Placement
VANCOUVER, BC
,
Aug. 6, 2021
/CNW/ - Rathdowney Resources Ltd. ("Rathdowney" or the
"Company") (TSXV: RTH) announces that the Company has closed a first tranche of the private
placement announced previously on
July 29, 2021
, issuing 28,821,996 common shares at a price of
$0.035
/share for gross proceeds of
CAD$1,008,770
.
The common shares were issued as part of a unit ("Unit") private placement. Each Unit consist of
one common share and one common share purchase warrant (a "Warrant"). Each Warrant can be
exercised for a five year period from the Closing Date at
$0.10
per warrant share. In the event that
the closing price of the common shares of the Company is at or above
$0.20
per share for a period
of 10 consecutive trading days during the warrant exercise period (with the 10th such trading day
hereafter referred to as the "Eligible Acceleration Date"), the warrant expiry date shall accelerate to
the date that is 60 days after the Eligible Acceleration Date.
The securities issued pursuant to the private placement are subject to applicable resale restrictions,
including a four month hold period from date of closing of the private placement under applicable
Canadian securities laws. A cash fee of up to 6% is payable on a portion of the private placement.
Completion of the private placement is subject to regulatory approval, including approval of the TSX
Venture Exchange.
Proceeds will be used to advance permitting and engineering activities on the Company's Olza zinc-
lead-silver project in
Poland
, as well as for general corporate working capital purposes.
On behalf of the Board of Directors
David J. Copeland
, P.Eng.
Chairman
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.
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,
exploitation activities and events or developments that the Company expects, are forward looking
statements. Although the Company 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 in the forward-
looking statements. Assumptions used by the Company to develop forward-looking statements
include the following: the Olza project will obtain all required environmental and other permits and all
land use and other licenses, studies and development of the Olza project will continue to be positive,
and no geological or technical problems will occur. Factors that could cause actual results to differ
materially from those in forward-looking statements include market prices, exploitation and
exploration successes, continuity of mineralization, potential environmental issues and liabilities
associated with exploration, development and mining activities, uncertainties related to the ability to
obtain necessary permits, licenses and title and delays due to third party opposition, changes in
government policies regarding mining and natural resource exploration and exploitation, 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 should review the Company's continuous disclosure
filings that are available at
www.sedar.com
.
SOURCE
Rathdowney Resources Ltd.
View original content:
http://www.newswire.ca/en/releases/archive/August2021/06/c8528.html
%SEDAR: 00029300E
For further information:
For further information on Rathdowney and Project Olza, please visit
www.rathdowneyresources.com
CO: Rathdowney Resources Ltd.
CNW 18:00e 06-AUG-21