Investors include HudBay Minerals; equity units sold at C$0.22 apiece
By Devika Patel
Knoxville, Tenn., Feb. 2 - Northern Shield Resources Inc. said it settled a C$2.94 million private placement of units. HudBay Minerals Inc. invested C$2.49 million, and Anglo Pacific plc also participated.
The company sold 13,345,454 units of one common share and one half-share warrant at C$0.22 per unit.
Each whole warrant is exercisable at C$0.40 for two years. The strike price reflects a 66.67% premium to C$0.24, the Feb. 1 closing share price.
Proceeds will be used for exploration on Northern Shield's Wabassi and Storm properties and general corporate purposes.
"In the past two weeks we have signed two significant deals: a letter of intent with Impala on our Idefix PGE property in Quebec and now an equity subscription agreement with HudBay to assist in funding exploration on our copper-zinc-silver VMS discoveries at Wabassi and Storm in northern Ontario," chief executive officer and president Ian Bliss said in a press release. "We are very pleased that the merits of these properties along with our persistent and scientifically driven exploration efforts have not gone un-noticed."
Northern Shield is a platinum and diamond explorer in Ottawa.
| Issuer: | Northern Shield Resources Inc.
|
| Issue: | Units of one common share and one half-share warrant
|
| Amount: | C$2,936,000
|
| Units: | 13,345,454
|
| Price: | C$0.22
|
| Warrants: | One half-share warrant per unit
|
| Warrant expiration: | Two years
|
| Warrant strike price: | C$0.40
|
| Investors: | HudBay Minerals Inc. (for C$2,486,000), Anglo Pacific plc
|
| Settlement date: | Feb. 2
|
| Stock symbol: | TSX Venture: NRN
|
| Stock price: | C$0.24 at close Feb. 1
|
| Market capitalization: | C$25.15 million
|
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