Benchmark Metals Announces Final Closing of Brokered Private Placement
Benchmark Metals Announces Final Closing of
Brokered Private Placement
Edmonton, Alberta--(Newsfile Corp. - October 14, 2022) - Benchmark Metals Inc.
(TSXV: BNCH)
(OTCQX: BNCHF) (WKN: A2JM2X) (the "
Company
" or "
Benchmark
") - is pleased to announce that it
has closed its second and final tranche of the previously announced brokered offering (the "
Offering
")
for additional aggregate gross proceeds of $1,999,968.
When added to the gross proceeds from the
first closing, the Company has raised total gross proceeds of $20.6 million.
John Williamson, CEO commented, "The $20.6 million capital raise was provided by existing and new
funds. The financial support shows strength and support to develop Canada's next gold-silver mine. The
funds will enable work to add more gold and silver ounces and to advance the Project towards a mining
decision."
The Offering was led by PI Financial Corp. on behalf of a syndicate of agents that included 3L Capital
Inc., Clarus Securities Inc., Cormark Securities Inc., Raymond James Ltd., and Sprott Capital Partners
LP (the "
Agents
"). Pursuant to the second closing of the Offering, the Company issued a total of
4,166,600 flow-through units (the "
FT Units
") at $0.48 per FT Unit, which includes 3,059,300 FT Units
issued in connection with the partial exercise of the Agents' option to increase the size of the Offering up
to an additional 20% of the Offering.
Each FT Unit consists of one common share issued as a "flow-through share" as defined in the
Income
Tax Act
(Canada) and one-half (1/2) of one transferable common share purchase warrant (each whole
such common share purchase warrant, a "
Warrant
") to be issued on a non-flow through basis. Each
Warrant shall be exercisable to acquire one additional common share until October 14, 2024 at an
exercise price of C$0.65.
The FT Units are subject to a four month and a day hold period until February
15, 2023.
The gross proceeds from the sale of the FT Units will be used before 2024 by the Company to incur
eligible "Canadian exploration expenses" that will qualify as "flow-through mining expenditures" as such
terms are defined in the
Income Tax Act
(Canada) (the "
Qualifying Expenditures
") related to the
Company's projects in Canada. All Qualifying Expenditures will be renounced in favour of the
subscribers of the FT Units effective December 31, 2022.
In connection with the closing of the second tranche of the Offering, the Agents received compensation of
6% of the aggregate gross proceeds of the Offering, and were issued 249,996 compensation options,
each of which are exercisable to acquire one common share until October 14, 2024 at an exercise price
of C$0.42 per share.
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 Benchmark Metals
Benchmark Metals Inc. is a Canadian based gold and silver company advancing its 100% owned
Lawyers Gold-Silver Project located in the prolific Golden Horseshoe of northern British Columbia,
Canada. The Project consists of three mineralized deposits that remain open for expansion, in addition
to +20 new target areas along the 20 kilometre trend. The Company trades on the TSX Venture
Exchange in Canada, the OTCQX Best Market in the United States, and the Tradegate Exchange in
Europe. Benchmark is managed by proven resource sector professionals, who have a track record of
advancing exploration projects from grassroots scenarios through to production.
www.metalsgroup.com
ON BEHALF OF THE BOARD OF DIRECTORS
s/ "John Williamson"
John Williamson
, Chief Executive Officer
For further information, please contact:
Jim Greig
Email:
Telephone: +1 780 437 6624
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 may contain certain "forward looking statements". Forward-looking statements involve
known and unknown risks, uncertainties, assumptions and other factors that may cause the actual
results, performance or achievements of the Company to be materially different from any future results,
performance or achievements expressed or implied by the forward-looking statements. Any forward-
looking statement speaks only as of the date of this news release and, except as may be required by
applicable securities laws, the Company disclaims any intent or obligation to update any forward-looking
statement, whether as a result of new information, future events or results or otherwise.
Not for distribution to United States newswire services or for dissemination in the United States.
To view the source version of this press release, please visit
https://www.newsfilecorp.com/release/140587