Zonte Metals Increases the Size of Its Non- Brokered Private Placement
Zonte Metals Increases the Size of Its Non-
Brokered Private Placement
TSXV: ZON
HALIFAX
,
Dec. 30, 2019
/CNW/ - Zonte Metals Inc (TSXV: ZON) ("Zonte" or the "Company")
announces that, due to increased demand, it has increased the size of its previous announced non-
brokered private placement to
$1.4 million
consisting of 4,183,167 flow through shares at a price of
$0.30
and 723,044 Units at a price of
$0.23
(the "Offering") for total proceeds of
$1,421,250
,
subject to TSX Venture Exchange (the "Exchange") approval. Each Unit will consist of one common
share and one-half (½) of one share purchase warrant, with each whole warrant entitling the holder
to acquire one additional common share at a price of
$0.35
for a period of 18 months from the date
of issuance. If the closing share price of the common shares on the TSX Venture Exchange is
greater than
$0.50
per common share for a period of 20 consecutive trading days at any time
following the issuance of the Warrants, the Company may accelerate the expiry date of the
Warrants by issuing a press release announcing the reduced warrant term whereupon the Warrants
will expire on the 30
th
calendar day after the date of the press release. The securities issued
pursuant to the Offering will be subject to a four-month and one day statutory hold period.
In connection with the private placement, Zonte will pay finders' fees to Eligible Finders of
$86,109
in
cash and will issue 298,300 Finders' Warrants to Eligible Finders. Each Finders' Warrant is
exercisable at any time up to 18 months following its date of issuance to purchase one common
share of the Company at an exercise price of
$0.35
per share, subject to Exchange approval. If the
closing share price of the common shares on the TSX Venture Exchange is greater than
$0.50
per
common share for a period of 20 consecutive trading days at any time following the issuance of the
Finders' Warrants, the Company may accelerate the expiry date of the Finders' Warrants by issuing
a press release announcing the reduced warrant term whereupon the Finders' Warrants will expire
on the 30
th
calendar day after the date of the press release. All Finders' Fees will be subject to and
in accordance with Exchange and regulatory policies and the securities issued pursuant to the
Offering will be subject to a four-month and one day statutory hold period.
The Company intends to use the net proceeds of the Offering for exploration at Cross Hills Iron
Oxide Copper Gold Property, in
Newfoundland
and
Labrador
and general corporate purposes.
About Zonte
Zonte Metals Inc. is a junior explorer focused on gold and copper. The Company has signed Option
Agreements to acquire 100% of the McConnells Jest project, in the Tintina Gold Belt, located in the
Yukon Territory
and the Cross Hills IOCG project located in
Newfoundland
; and holds a 100%
interest in the drill ready Wings Point Gold Project also located in Newfoundland. In addition, the
Company and partner have an application over open areas sitting on top of the open pit outline of the
Gramalote Deposit in
Colombia
, which is held by AngloGold Ashanti (NYSE:AU) and B2Gold
(TSX:BTO, NYSE:BTG). The title issuance is being contested by the state governing the application
and the Company has started legal action to protect its rights.
Forward-Looking Information
This news release contains forward-looking statements which include statements regarding the
Corporation's future plans, as well as statements regarding financial and business prospects and the
Corporation's future plans, objectives or economic performance and financial outlooks. The
Corporation believes that the expectations reflected in this news release are reasonable but actual
results may be affected by a variety of variables and may be materially different from the results or
events predicted in the forward-looking statements. Readers are therefore cautioned not to place
undue reliance on these forward-looking statements. In evaluating forward-looking statements
readers should consider the risk factors which could cause actual results or events to differ
materially from those indicated by such forward-looking statements. These forward-looking
statements are made as of the date hereof, and unless otherwise required by applicable securities
laws, the Corporation does not intend nor does it undertake any obligation to update or revise any
forward-looking statements. 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 of accuracy of this release.
www.zontemetals.com
SOURCE
Zonte Metals Inc.
View original content:
http://www.newswire.ca/en/releases/archive/December2019/30/c8008.html
%SEDAR: 00029601E
For further information:
Terry Christopher, CEO and President, 902-405-3520,
CO: Zonte Metals Inc.
CNW 09:15e 30-DEC-19