SKRR Exploration Inc. Closes First Tranche of Private Placement
SKRR Exploration Inc. Closes First Tranche of
Private Placement
Vancouver, British Columbia--(Newsfile Corp. - July 13, 2020) -
SKRR Exploration Inc. (
TSXV:
SKRR
) ("
SKRR
" or the "
Company
") is pleased to announce that it has closed the first tranche of its
previously announced private placement (see news release dated June 2, 2020) (the "
Private
Placement
"). In the first tranche, 3,930,000 units (each a "
Unit
") at a price of $0.25 per Unit were
issued for total gross proceeds of $982,500.
Each Unit is comprised of one common share and one-half of one common share purchase warrant
(each, a "
Warrant
"). Each whole Warrant is exercisable to purchase one common share of the
Company at a price of $0.50 per share for a period of 18 months from the date of closing of the Private
Placement.
In connection with the first tranche, the Company paid aggregate cash finder's fees of $18,400 and
issued 36,400
non-transferable finder warrants to certain brokers. The finder warrants have the same
terms as the Warrants.
A portion of the Private Placement constitutes a "related party transaction" within the meaning of
Multilateral Instrument 61-101 -
Protection of Minority Security Holders in Special Transactions
("
MI 61-
101
") as 150,000 Units were issued to two directors of the Company pursuant to the Private Placement.
The issuances of the securities to the insiders of the Company are exempt from the formal valuation and
minority shareholder approval requirements under MI 61-101 pursuant to subsections 5.5(b) and 5.7(1)
(a) as the Company's common shares are not listed on a specified market and the fair market value of
these securities do not exceed 25% of the Company's market capitalization.
The net proceeds from the Private Placement will be used for payments and exploration expenditures on
the Company's mineral exploration projects, corporate development, and general corporate and working
capital purposes.
All securities issued pursuant to the Private Placement are subject to a four month hold period from the
closing date in accordance with applicable securities laws.
The Company expects to close the balance of the Private Placement in one or more subsequent
tranches.
Ross McElroy, Chairman and Chief Geologist for SKRR, commented, "
We are very pleased with the
response of investors to this first tranche of the Private Placement. Participation by well respected
industry experts, including Michael Halvorson and Ron Netolitzky (members of SKRR's Advisory
Board) and other notable mining executives, provides a strong level of support and validation of our
team and projects. The funds raised will allow us to proceed as we move towards advancing and
drilling high-priority targets this summer on our impressive portfolio of precious metal projects in the
province of Saskatchewan focused on the under-explored Trans-Hudson Corridor in close proximity to
the Seabee Mining Operations
."
About SKRR Exploration Inc.
:
SKRR is a Canadian-based precious metal explorer with properties in Saskatchewan - one of the
world's highest ranked mining jurisdictions. The primary exploration focus is on the Trans-Hudson
Corridor in Saskatchewan in search of world class precious metal deposits.
The Trans-Hudson Orogen -
although extremely well known in geological terms has been significantly under-explored in
Saskatchewan.
SKRR is committed to all stakeholders including shareholders, all its partners and the
environment in which it operates.
ON BEHALF OF THE BOARD
Sherman Dahl
President & CEO
Tel: 250-558-8340
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
news release.
This news release does not constitute an offer to sell or a solicitation of an offer to buy nor shall there be
any sale of any of the securities in any jurisdiction in which such offer, solicitation or sale would be
unlawful, including any of the securities in the United States of America. The securities have not been
and will not be registered under the United States Securities Act of 1933, as amended (the "
1933 Act
")
or any state securities laws and may not be offered or sold within the United States or to, or for account
or benefit of, U.S. Persons (as defined in Regulation S under the 1933 Act) unless registered under the
1933 Act and applicable state securities laws, or an exemption from such registration requirements is
available.
Cautionary Statement Regarding Forward Looking Information
This news release includes certain statements that constitute "forward-looking information or
statements" within the meaning of applicable securities law, including without limitation, SKRR's plans
for its properties/projects, closing of subsequent tranche(s) of the Private Placement and use of funds,
other statements relating to the technical, financial and business prospects of SKRR, and other matters.
Forward-looking statements address future events and conditions and are necessarily based upon a
number of estimates and assumptions. These statements relate to analyses and other information that
are based on forecasts of future results, estimates of amounts not yet determinable and assumptions of
management. Any statements that express or involve discussions with respect to predictions,
expectations, beliefs, plans, projections, objectives, assumptions or future events or performance (often,
but not always, using words or phrases such as "expects" or "does not expect", "is expected",
"anticipates" or "does not anticipate", "plans", "estimates" or "intends", or stating that certain actions,
events or results "may", "could", "should", "would", "might" or "will" be taken, occur or be achieved), and
variations of such words, and similar expressions are not statements of historical fact and may be
forward-looking statements. Forward-looking statement are necessarily based upon a number of factors
that, if untrue, could cause the actual results, performances or achievements of SKRR to be materially
different from future results, performances or achievements express or implied by such statements. Such
statements and information are based on numerous assumptions regarding present and future business
strategies and the environment in which SKRR will operate in the future, including the price of metals and
other commodities, anticipated costs and the ability to achieve goals, that general business and
economic conditions will not change in a material adverse manner, that financing will be available if and
when needed and on reasonable terms, and that third party contractors, equipment and supplies and
governmental and other approvals required to conduct SKRR's planned exploration activities will be
available on reasonable terms and in a timely manner. While such estimates and assumptions are
considered reasonable by the management of SKRR, they are inherently subject to significant business,
economic, competitive and regulatory uncertainties and risks.
Forward-looking statements are subject to a variety of risks and uncertainties, which could cause actual
events, level of activity, performance or results to differ materially from those reflected in the forward-
looking statements, including, without limitation: (i) risks related to gold, and other commodity price
fluctuations; (ii) risks and uncertainties relating to the interpretation of exploration results; (iii) risks
related to the inherent uncertainty of exploration and cost estimates and the potential for unexpected
costs and expenses; (iv) that resource exploration and development is a speculative business; (v) that
SKRR may lose or abandon its property interests or may fail to receive necessary licences and permits;
(vi) that environmental laws and regulations may become more onerous;
(vii) that SKRR may not be able
to raise additional funds when necessary; (viii) the possibility that future exploration, development or
mining results will not be consistent with SKRR's expectations; (ix) exploration and development risks,
including risks related to accidents, equipment breakdowns, labour disputes or other unanticipated
difficulties with or interruptions in exploration and development; (x) competition; (xi) the potential for
delays in exploration or development activities or the completion of geologic reports or studies; (xii) the
uncertainty of profitability based upon SKRR's history of losses; (xiii) risks related to environmental
regulation and liability; (xiv) risks associated with failure to maintain community acceptance, agreements
and permissions (generally referred to as "social licence"), including local First Nations; (xv) risks
relating to obtaining and maintaining all necessary government permits, approvals and authorizations
relating to the continued exploration and development of SKRR's projects; (xvi) risks related to the
outcome of legal actions; (xvii) political and regulatory risks associated with mining and exploration; (xix)
risks related to current global financial conditions; and (xx) other risks and uncertainties related to
SKRR's prospects, properties and business strategy. These risks, as well as others, could cause actual
results and events to vary significantly.
Factors that could cause actual results to differ materially from those in forward looking statements
include, but are not limited to, continued availability of capital and financing and general economic,
market or business conditions, the loss of key directors, employees, advisors or consultants, adverse
weather conditions, increase in costs, equipment failures, litigation, failure of counterparties to perform
their contractual obligations and fees charged by service providers. Investors are cautioned that forward-
looking statements are not guarantees of future performance or events and, accordingly are cautioned
not to put undue reliance on forward-looking statements due to the inherent uncertainty of such
statements. The forward-looking statements included in this news release are made as of the date
hereof and SKRR disclaims any intention or obligation to update or revise any forward-looking
statements, whether as a result of new information, future events or otherwise, except as expressly
required by applicable securities legislation.
NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR RELEASE, PUBLICATION,
DISTRIBUTION OR DISSEMINATION DIRECTLY, OR INDIRECTLY, IN WHOLE OR IN PART, IN OR
INTO THE UNITED STATES.
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