Nine Mile Metals Closes 1st Tranche of $1,200,000 Private Placement

Rhea-AI Summary

On December 7, 2022, Nine Mile Metals Ltd. (CSE: NINE, OTCQB: VMSXF) announced the completion of a private placement, raising approximately $1,200,000. This first tranche involved the issuance of 534,375 flow-through units at $0.32 each, yielding total proceeds of $171,000. Notably, President Charles MaLette invested $96,000 in the offering. Each unit includes a common share and a warrant priced at $0.45, valid for 24 months. The funds will support exploration on its mineral properties, particularly in the Bathurst Mining Camp, focusing on VMS resources.

Positive

• Successful completion of private placement raising $1,200,000.
• Charles MaLette's significant investment of $96,000 showcases management confidence.
• Funds allocated for exploration enhance future growth prospects.

Negative

• Initial tranche raised only $171,000 of the total targeted amount.

VANCOUVER, British Columbia, Dec. 07, 2022 (GLOBE NEWSWIRE) -- NINE MILE METALS LTD. (CSE: NINE, OTCQB: VMSXF, FSE: KQ9) (the “Company” or “Nine Mile”) announces completion of the first tranche of a private placement of approximately $1,200,000 (the “Offering”). The Company issued 534,375 flow-through units (each, a “Unit”) at a price of $0.32 per Unit, for total proceeds of $171,000. Charles MaLette, President and director of Nine Mile, invested in 300,000 Units for subscription funds of $96,000.

Each Unit consists of one flow-through common share of the Company and one-half of one common share purchase warrant (each whole common share purchase warrant, a “Warrant”), with each Warrant entitling the holder thereof to purchase one common share at a price of $0.45 for a period of 24 months.

The proceeds raised through the private placements will be used for exploration on the Company’s mineral properties.

All securities issued in the Private Placement are subject to a four month and a day hold period.

About Nine Mile Metals Ltd.:
Nine Mile Metals Ltd. is a Canadian public mineral exploration company focused on VMS (Cu, Pb, Zn, Ag and Au) exploration in the world-famous Bathurst Mining Camp, New Brunswick, Canada. The Company’s primary business objective is to explore its three VMS Projects: Nine Mile Brook VMS Project; California Lake VMS Project; and the Canoe Landing Lake (East – West) VMS Project. The Company is focused on exploration of Minerals for Technology (MFT), positioning for the boom in EV and green technologies requiring Copper, Silver, Lead and Zinc with a hedge with Gold.

ON BEHALF OF NINE MILE METALS LTD.

“Charles MaLette”
President and Director
T: 604-428-5171
E: info@ninemilemetals.com

Forward-Looking Information:
This press release may include forward-looking information within the meaning of Canadian securities legislation, concerning the business of Nine Mile. Forward-looking information is based on certain key expectations and assumptions made by the management of Nine Mile. In some cases, you can identify forward-looking statements by the use of words such as “will,” “may,” “would,” “expect,” “intend,” “plan,” “seek,” “anticipate,” “believe,” “estimate,” “predict,” “potential,” “continue,” “likely,” “could” and variations of these terms and similar expressions, or the negative of these terms or similar expressions. Forward-looking statements in this press release include that (a) the Company will close additional tranches in the future of up to approximately $1,200,000 and (b) the Company will use the proceeds as described above. Although Nine Mile believes that the expectations and assumptions on which such forward-looking information is based are reasonable, undue reliance should not be placed on the forward-looking information because Nine Mile can give no assurance that they will prove to be correct.
The Canadian Securities Exchange (CSE) has not reviewed and does not accept responsibility for the adequacy or the accuracy of the contents of this release.        

FAQ

How much did Nine Mile Metals Ltd. raise in its private placement?

Nine Mile Metals Ltd. raised approximately $1,200,000 in the private placement.

What is the investment amount from Nine Mile's President?

President Charles MaLette invested $96,000 in the private placement.

What will the proceeds from the private placement be used for?

The proceeds will be used for exploration on Nine Mile Metals Ltd.'s mineral properties.

What type of units did Nine Mile Metals Ltd. issue in the private placement?

Nine Mile Metals Ltd. issued flow-through units consisting of one common share and one-half of a warrant.

What is the exercise price and duration of the warrants issued?

The warrants entitle the holder to purchase one common share at $0.45 for a period of 24 months.