Callinex Announces $4.22 Million Private Placement Financing
Callinex Announces $4.22 Million Private Placement
Financing
VANCOUVER, BC
,
March 30, 2022
/CNW/ -
Callinex Mines Inc.
(the "Company" or "Callinex") (TSXV: CNX) (OTCQX:
CLLXF) pleased to announce a non-brokered private placement of up to
$4.22 million
(the "
Offering
"). The Offering will
be used to fund the ongoing drill campaign at the Rainbow Deposit, Pine Bay,
Manitoba
.
The Offering will consist of (i) up to 321,544 hard dollar units (the "
HD Units
") at a price of
C$3.11
per HD Unit (the "
HD
Offering Price
") for gross proceeds of up to
C$1 million
; and (ii) up to 644,000
Manitoba
flow-through units (the "
FT
Units
") at a price of
C$5.00
per FT Unit (the "
MB
FT Offering Price
") for gross proceeds of up to
$3.22 million
.
Each HD Unit shall consist of one common share and one-half of one transferable common share purchase warrant
(each whole such common share purchase warrant, a "
Warrant
"). Each FT Unit shall consist of one flow-through
common share and one-half of one transferrable Warrant to be issued on a non-flow-through basis. Each Warrant shall
be exercisable into one additional common share (a "
Warrant Share
") for two (2) years from closing at an exercise
price of
C$4.75
per Warrant Share.
The Warrants will be subject to an acceleration clause whereby if at any time the volume-weighted average trading price
of the common shares exceeds
C$6.25
for a period of 15 consecutive trading days, the Company is entitled, as its
option, to accelerate the expiry date of the Warrants by delivering written notice to the holders of the Warrants, to a
date that is not less than 30 days after such notice is given.
The Company will pay finders a fee consisting of a cash and/or share purchase warrants of the Company.
The gross proceeds from the sale of FT Units will be used 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 Pine Bay Project,
Manitoba
. All Qualifying Expenditures will be
renounced in favour of the subscribers of the Flow-Through Shares effective
December 31, 2022
. The net proceeds
from the sale of the HD Units will be used by the Company for working capital and general corporate purposes.
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 Callinex Mines Inc.
Callinex Mines Inc. (TSXV: CNX) (OTCQX: CLLXF)
is advancing its portfolio of base and precious metals rich
deposits located in established Canadian mining jurisdictions. The focus of the portfolio is highlighted by the rapidly
expanding Rainbow Discovery at its rich VMS Pine Bay Project located near existing infrastructure in the Flin Flon
Mining District. The second asset in the portfolio is the Nash Creek Project located in the VMS rich Bathurst Mining
District of New Brunswick. A 2018 PEA generates a strong economic return with a pre-tax IRR of 34.1% (25.2% post-
tax) and NPV8% of $230 million (
$128
million post-tax) at $1.25 Zinc. The third asset, 100% owned Point Leamington
Deposit in Newfoundland, is located in one of the richest VMS and Gold Districts in Canada. Callinex prepared a pit
constrained Indicated Mineral Resource of 5.0 Mt grading 2.5 g/t AuEq for 402 koz AuEq (145.7 koz gold, 60.0 Mlb
copper, 153.5 Mlb zinc, 2.0 Moz silver, 1.5 Mlb lead), an pit constrained Inferred Mineral Resource of 13.7 Mt grading
2.24 g/t AuEq for 986.5 koz AuEq (354.8 koz gold, 110.2 Mlb copper, 527.3 Mlb zinc, 6.2 Moz silver, 7.0 Mlb lead)
and an out-of-pit Inferred Mineral Resource of 1.7 Mt grading 3.06 g/t AuEq for 168.5 koz AuEq (65.4 koz gold, 13.3
Mlb copper, 102.9 Mlb zinc, 1.4 Moz Ag, 2.6 Mlb lead).
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.
Some statements in this news release contain forward-looking information. These statements include, but are not
limited to, statements with respect to future expenditures. These statements address future events and conditions and,
as such, involve known and unknown risks, uncertainties and other factors which may cause the actual results,
performance or achievements to be materially different from any future results, performance or achievements
expressed or implied by the statements. Such factors include, among others, the ability to complete the proposed drill
program and the timing and amount of expenditures. Except as required under applicable securities laws, Callinex
does not assume the obligation to update any forward-looking statement
.
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SOURCE
Callinex Mines Inc.
View original content to download multimedia:
http://www.newswire.ca/en/releases/archive/March2022/30/c9831.html
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For further information:
Callinex Mines Inc., Max Porterfield, President and Chief Executive Officer, Phone: (604) 605-
0885, E-mail: [email protected]
CO: Callinex Mines Inc.
CNW 08:30e 30-MAR-22