By Devika Patel
Knoxville, Tenn., Dec. 17 - Northern Continental Resources Inc. announced it has raised C$1 million in the second and final flow-through tranche of a C$3.03 million non-brokered private placement of units, taking in C$2.5 million total for the flow-through portion.
The deal priced on Nov. 26 for and the first flow-through tranche settled for C$1.5 million on Dec. 11.
In this tranche, the company sold 2.5 million flow-through units. In the first tranche, it sold 3.75 million flow-through units to Mineral Fields Group.
The units consist of one flow-through share and one half-share warrant at C$0.40 per unit for C$2.5 million. Each whole warrant will be exercisable at C$0.60 for one year.
The company also plans to sell 1.5 million units at C$0.35 per unit for C$525,000. Each of these units consists of one common share and one warrant. Each two-year warrant is exercisable at C$0.50 for the first year and at C$0.75 in the second year.
In connection with this closing, Northern Continental paid certain finders' fees, including non-transferable warrants to NovaDX Ventures Corp., which are exercisable for up to 87,500 common shares at C$0.60 per share for one year.
For the first tranche, Northern Continental paid Limited Market Dealer Inc. a 5% cash finder's fee along with non-transferable warrants exercisable for up to 253,750 common shares at C$0.60 per share for one year.
Proceeds will be used for exploration.
Northern Continental is a mineral exploration company based in Vancouver, B.C.
| Issuer: | Northern Continental Resources Inc.
|
| Issue: | Flow-through units of one flow-through common share and one half-share warrant, units of one common share and one warrant
|
| Amount: | C$3,025,000
|
| Agent: | Non-brokered
|
| Pricing date: | Nov. 26
|
| Stock symbol: | TSX Venture: NCR
|
| Stock price: | C$0.34 at close Nov. 26
|
|
|
| Units
|
| Amount: | C$525,000
|
| Units: | 1.5 million
|
| Price: | C$0.35
|
| Warrants: | One warrant per unit
|
| Warrant expiration: | Two years
|
| Warrant strike price: | C$0.50 for the first year, C$0.75 thereafter
|
|
|
| Flow-through units
|
| Amount: | C$2.5 million
|
| Units: | 6.25 million
|
| Price: | C$0.40
|
| Warrants: | One half-share warrant per unit
|
| Warrant expiration: | One year
|
| Warrant strike price: | C$0.60
|
| Investor: | Mineral Fields Group (for C$1.5 million)
|
| Fees: | 5% in cash, warrants exercisable for up to 340,250 common shares
|
| Settlement date: | Dec. 11 (for C$1.5 million), Dec. 17 (for C$1 million)
|
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