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Kincora closes $4.52m in new equity raise for Tier 1 copper porphyry targets

V.KCC

Canada NewsWire

/NOT FOR DISTRIBUTION TO UNITED STATES WIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES/

  • Raises $4.52m from sophisticated investors including a preeminent private equity exploration specialist fund as the cornerstone
  • Proceeds will fund the first modern Tier 1 drill testing and district scale reconnaissance exploration program in the world-class Southern Gobi copper gold porphyry belt
  • The equity placement enables Kincora to explore identified Tier 1 targets across its enlarged portfolio, including at least 16,000m of drilling at two priority targets
  • Kincora is uniquely positioned to consolidate the remaining prospective areas of the belt through targeted applications and acquisitions

VANCOUVER, Aug. 8, 2017 /CNW/ - Kincora Copper Ltd. (the "Company", "Kincora") (TSXV:KCC) is pleased to announce that it has closed the previously announced non-brokered private placement for gross proceeds of $4,524,687 through the issuance of 13,711,174 Units at a price of C$0.33 per Unit. Each Unit is comprised of one common share (the "Shares") and one-half of a share purchase warrant with each whole warrant (the "Warrants") entitling the holder to acquire a further Share at C$0.445 for a period of two years. The private placement is subject to final TSX-V approval.

Proceeds from the offering will accelerate Kincora's exploration and expansion strategy. In 2016, Kincora surpassed Rio Tinto, and related entities, to become the dominant landholder along the Devonian copper-gold belt (100% ownership of 1437 km2). Kincora will shortly initiate an extensive two-phase drill program at the East Tsagaan Suvarga and Bayan Tal targets for up to 16,000 metres (up to 8,000 metres at both targets), while advancing its district scale multi-target, multi-stage pipeline up the value curve.

All Units issued are subject to a four-month hold period expiring four months and one day from the date of issuance.

Sam Spring, President & CEO, commented: "We are encouraged by the support received from new and existing investors despite a challenging market for junior explorers, with many new groups having undertaken detailed due diligence providing validation of our exciting dual exploration and expansion strategy.

This is testament to the quality of Kincora's targets and the strategic value of our dominant position in this highly mineralized but vastly underexplored Devonian belt, which we are shortly looking to drill test for the first time by any explorer since 2012 . This new equity will significantly strengthen Kincora's ability to test a number of Tier 1 copper porphyry targets while enabling the Company to further enhance its holdings on the belt.

The copper price remains favourable, with prices increasing 50% since we secured the IBEX transaction, and with multiple value add work streams now funded we plan to shortly increase awareness for what is effectively a new copper junior to the wider public markets. "

Further details are provided in an updated presentation on the Kincora website: http://kincoracopper.com/investors/corporate-presentation  

The Company paid finder's fees of $120,613 and issued 365,493 broker warrants in connection with the offering. Each broker warrant entitles the holder to acquire a further Share at C$0.445 for a period of one year.

Post the aforementioned offering Kincora has 64,445,068 issued shares with a total of 10,168,578 warrants outstanding.

About Kincora

Kincora is a junior resource company engaged in the acquisition, exploration and development of mineral properties, with a focus on copper-gold projects in Mongolia. For further information: www.kincoracopper.com.

Qualified Person

The scientific and technical information in this news release was prepared in accordance with the standards of the Canadian Institute of Mining, Metallurgy and Petroleum and National Instrument 43-101 – Standards of Disclosure for Mineral Projects ("NI 43-101") and was reviewed, verified and compiled by Kincora's geological staff under the supervision of Peter Leaman, Senior Vice-President of Exploration of Kincora Copper, who is the Qualified Person for the purpose of NI 43-101.

Forward-Looking Statements

Certain information regarding Kincora contained herein may constitute forward-looking statements within the meaning of applicable securities laws. Forward-looking statements may include estimates, plans, expectations, opinions, forecasts, projections, guidance or other statements that are not statements of fact. Although Kincora believes that the expectations reflected in such forward-looking statements are reasonable, it can give no assurance that such expectations will prove to have been correct. Kincora cautions that actual performance will be affected by a number of factors, most of which are beyond its control, and that future events and results may vary substantially from what Kincora currently foresees. Factors that could cause actual results to differ materially from those in forward-looking statements include market prices, exploitation and exploration results, continued availability of capital and financing and general economic, market or business conditions. The forward-looking statements are expressly qualified in their entirety by this cautionary statement. The information contained herein is stated as of the current date and is subject to change after that date. Kincora does not assume the obligation to revise or update these forward-looking statements, except as may be required under applicable securities laws.

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.

SOURCE Kincora Copper Limited

View original content: http://www.newswire.ca/en/releases/archive/August2017/08/c1190.html

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