Graphite One Completes $678,800 Financing Graphite One Successfully Completes $678,800 Financing
VANCOUVER, BRITISH COLUMBIA--(Marketwired - Aug. 24, 2017) -
NOT FOR DISSEMINATION IN THE UNITED STATES OR FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES
Graphite One Resources Inc. (TSX VENTURE:GPH)(OTCQB:GPHOF) ("Graphite One" or the "Company") is pleased to announce that it has completed a non-brokered private placement offering (the "Offering"), raising gross proceeds of CA$678,800. A significant portion of the placement is from an Alaskan, privately-held mining company with decades of experience developing, permitting and operating Alaska mining projects.
The net proceeds of the Offering will be used for exploration and development of the Company's Graphite Creek Project and for general working capital purposes.
"We are delighted to welcome a strategic partner who brings critical expertise to move our project forward," said Anthony Huston, President and Chief Executive Officer of GPH. "Making this placement at a premium to the current market price suggests our project's potential to be an important source of U.S. graphite, at a time when the U.S. is 100% import-dependent for its graphite supply."
The Company has issued 9,697,143 Units (the "Units") at a price of CA$0.07 per Unit for a total of CA$678,800. Each Unit consists of one common share (a "Common Share") and one transferable common share purchase warrant (a "Warrant"). Each Warrant entitles the holder to purchase one full Common Share at a purchase price of CA$0.12 per Common Share and will expire on the earlier of: (a) five years from the date of issuance; and (b) in the event the Common Shares trade at a volume of CA$0.21 or more on the TSXV Venture Exchange or the Toronto Stock Exchange for 10 consecutive trading days, the Company may, at its option, issue a press release and a notice to the Warrantholder for the expiry of the Warrants on the date that is 45 days from the press release and notice and the Warrantholder may exercise the Warrants during this 45 day period (but no later than five years from the date of issuance).
No new insiders were created, nor any change of control occurred, as a result of this Offering.
Final closing of the Offering is subject to receipt of final applicable regulatory approvals including approval of the TSX Venture Exchange. All securities issued in connection with the Offering will be subject to a restricted period that expires four months and a day following the date of issuance.
This press 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 GRAPHITE ONE RESOURCES INC.