Vancouver, British Columbia, Canada, May 20, 2020, Confederation Minerals Ltd. (TSX-V: CFM) (“Confederation” or the “Company”) is pleased to announce that pursuant to its news release dated May 6, 2020, it has completed its non-brokered private placement (the “Offering”) of 4,400,000 units (the “Units”) at a price of $0.25 per Unit for gross proceeds of $1,100,000. Each Unit consisting of one common share of the Company (a “Share”) and one-half of one transferrable common share purchase warrant (each full Warrant, a “Warrant”). Each Warrant will entitle the holder to purchase an additional Share at a price of $0.40 for a period of 24 months from closing.
In connection with the Offering, the Company has paid finders’ fees equal to $29,750 in cash and 119,000 non-transferrable warrants (the “Finder’s Warrants”). Each Finder’s Warrant has the same terms as the Warrants issued under the Offering.
All of the securities of the Company issued under the Offering are subject to a hold period of four months plus one day from the date of issuance expiring September 21, 2020 in accordance with applicable Canadian securities laws.
The proceeds from the Offering will be used to fund exploration programs on the Company’s Newman Todd gold project, Leo property in the Red Lake gold camp, Shining Tree Property, and the South-West Red Lake Properties, and for general working capital and corporate purposes.
On behalf of the Board of Directors,
Confederation Minerals Ltd.
Confederation Minerals Ltd. is a British Columbia based company engaged in the business of acquisition, exploration and development of mineral properties located in the highly prospective Red Lake Mining District of Northern Ontario.
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 involves known and unknown risks, uncertainties and other factors that may cause actual events to differ materially from current expectations. Important factors – including the availability of funds and the results of financing efforts,- that could cause actual results to differ materially from the Company’s expectations are disclosed in the Company’s documents filed from time to time on SEDAR (see www.sedar.com). Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release. The Company disclaims any intention or obligation, except to the extent required by law, to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.