Drilling to start within two weeks. Hopefully it yields exciting results!
Vancouver, British Columbia – July 31, 2015 – Callinex Mines Inc. (the “Company” or “Callinex”) (TSX-V: CNX; OTCQX: CLLXF) is pleased to announce that it has closed an oversubscribed non-brokered private placement (the “Placement”) previously announced on July 13, 2015, for aggregate gross proceeds of $3,406,374.90. The Placement was increased from an initial amount of $3.0 million due to strong investor demand. A total of 26 subscribers participated in the financing including Resource Capital Funds (“RCF”), a mining-focused private equity investor with over US $2.5 billion in assets under management.
Max Porterfield, President and CEO, stated, “This oversubscribed private placement is an overwhelming endorsement for the Company’s people, projects and long-term growth strategy to increase shareholder value. The proceeds of this financing will be integral for ongoing exploration including an upcoming drill program which is scheduled to commence within two weeks.”
The Placement consisted of 5,728,751 flow-through shares at a price per share of $0.30 for gross proceeds of $1,718,625. The Placement also consisted of 5,625,832 non-flow through units at a price per unit of $0.30 for gross proceeds of $1,687,750. Each non-flow through unit consisted of one (1) non-flow through common share and one-half of one share purchase warrant (each whole warrant a “Warrant”). Each Warrant will entitle the holder to acquire one non-flow through common share at a price of $0.45 for a period of two years from the date of issue. The Warrants are subject to certain acceleration rights. See news release dated July 13, 2015 for additional details.
The units, common shares and warrants issued under the Placement are subject to a hold period expiring December 31, 2015. In connection with the Placement, the Company paid a 7% cash commission totaling $945 to one arms-length finder.
Proceeds of the Placement will be used for ongoing mineral exploration as well as for general working capital and corporate purposes.
About Callinex Mines Inc.
Callinex Mines Inc., a Canadian mineral exploration company, is focused on discovering the next copper-zinc rich VMS mine within Manitoba’s prolific Flin Flon mining district. The Company’s flagship projects are the Flin Flon and Pine Bay projects which host significant historic VMS deposits and are within close proximity to a processing facility. The Flin Flon district has yielded more than 145 million tonnes of production from 32 mines.
For additional information, please contact:
Callinex Mines Inc.
Max Porterfield, President and Chief Executive Officer
Phone: (604) 605-0885
E-mail: info@callinex.ca
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 contemplated work programs and the timing and amount of expenditures. Callinex does not assume the obligation to update any forward-looking statement.