Pancon Announces Brokered Private Placement and Concurrent Non-Brokered Private Placement
Pancon Announces Brokered Private
Placement and Concurrent Non-Brokered
Private Placement
Toronto, Ontario--(Newsfile Corp. - August 20, 2020) -
Pancontinental Resources Corporation
(TSXV: PUC) ("
Pancon
" or the "
Company
") has entered into an agreement with Paradigm Capital Inc.
(the "
Agent
") in connection with a best efforts private placement offering (the "
Brokered Offering
") of
up to 16,666,700 units (each, a "
Unit
") of the Company to be issued at $0.12 per Unit (the "
Issue
Price
") for gross proceeds of up to $2 million.
The Company will also issue up to 8,333,334 Units in a
non-brokered private placement (the "
Non-Brokered Offering
") for additional gross proceeds of up to
$1 million.
Each Unit will consist of one common share in the capital of the Company (a "
Common Share
") and
one-half of one common share purchase warrant (each whole warrant a "
Warrant
"). Each Warrant will
entitle the holder thereof to purchase one Common Share at a price of $0.18 for a period of two years
following the Closing Date, subject to acceleration in certain circumstances.
In addition, the Agent has been granted an option to sell up to that number of additional Units for
additional gross proceeds of $300,000.
The net proceeds from the Brokered Offering and Non-Brokered Offering will be primarily used for
exploration and development, and general working capital purposes.
Both the Brokered Offering and Non-Brokered Offering are expected to close on or about September 9,
2020 (the "
Closing Date
") and are subject to certain closing conditions including, but not limited to, the
receipt of all necessary approvals including the conditional listing approval of the TSX Venture Exchange
and the applicable securities regulatory authorities. The Offering is being made by way of private
placement in Canada. The securities issued under the Offering will be subject to a hold period in
Canada expiring four months and one day from the closing date of the offering.
The securities offered have not been registered under the U.S. Securities Act of 1933, as amended, and
may not be offered or sold in the United States absent registration or an applicable exemption from the
registration requirements. This press release shall not constitute an offer to sell or the solicitation of an
offer to buy nor shall there be any sale of the securities in any State in which such offer, solicitation or
sale would be unlawful.
About Pancon
Pancon is a Canadian junior mining company focused on exploring the prolific and underexplored
Carolina Slate Belt in South Carolina, USA. In January 2020, Pancon won the exclusive right to explore
the former Brewer Gold Mine. Between 1987-1995, Brewer produced 178,000 ounces of oxide gold
from open pits that extended to 50-meter depths, where copper and gold-rich sulphides were exposed
but could not be processed by the oxide heap leach processing facility. Brewer is a high sulphidation
system driven by a sub-volcanic intrusive as indicated by: widely known prospective geology, including
diatreme breccias; associated high sulphidation alteration; gold and copper mineralization; and
geophysics (Schmidt, R.G., 1978, The Potential for Porphyry Copper-Molybdenum Deposits in the
Eastern United States, U.S. Geological Survey). Pancon's 100%-owned Jefferson Gold Project nearly
completely surrounds the former Brewer Gold Mine, and both Jefferson and Brewer are located 12 km
along trend northeast from the producing Haile Gold Mine, which produced 146,100 ounces of gold in
2019. In addition, Pancon has four nickel-copper-cobalt exploration projects in Northern Ontario,
surrounding or near producing or former mines in proven and safe mining districts.
The Company cautions that the mineralization at the former Brewer Gold Mine is not necessarily
indicative of the mineralization that may be identified on the Company's ongoing and upcoming
exploration work.
For further information, please contact:
Layton Croft, President & CEO or Jeanny So, Manager, External Relations
E:
T: +1.647.202.0994
217 Queen Street West, Suite 401
Toronto, Ontario
M5V 0R2
For additional information please visit our new website at
www.panconresources.com
and our Twitter
feed:
@PanconResources
.
Neither 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 news release contains forward-looking information which is not comprised of historical facts
relating to the expected pricing and size of the Brokered Offering and Non-Brokered Offering, the use
of proceeds and the closing date. Forward-looking information is characterized by words such as
"plan", "expect", "project", "intend", "believe", "anticipate", "estimate" and other similar words, or
statements that certain events or conditions "may" or "will" occur. Forward-looking information
involves risks, uncertainties and other factors that could cause actual events, results, and
opportunities to differ materially from those expressed or implied by such forward-looking information.
Factors that could cause actual results to differ materially from such forward-looking information
include, but are not limited to, changes in the state of equity and debt markets, fluctuations in
commodity prices, delays in obtaining required regulatory or governmental approvals, and other risks
involved in the mineral exploration and development industry, including those risks set out in the
Company's management's discussion and analysis as filed under the Company's profile at
www.sedar.com
. Forward-looking information in this news release is based on the opinions and
assumptions of management considered reasonable as of the date hereof, including that all
necessary governmental and regulatory approvals will be received as and when expected. Although
the Company believes that the assumptions and factors used in preparing the forward-looking
information in this news release are reasonable, undue reliance should not be placed on such
information. The Company disclaims any intention or obligation to update or revise any forward-
looking information, other than as required by applicable securities laws.
NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR FOR DISSEMINATION IN THE
UNITED STATES
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https://www.newsfilecorp.com/release/62203