Monarca Minerals Inc. Provides Update on Additional Tranche of Previously Announced Private Placement
Toronto, June 8, 2017 - Monarca Minerals Inc. (TSXV: MMN) ("Monarca" or the "Company") is pleased to announce that it anticipates completing the second and final tranche its previously announced non-brokered private placement financing (the "Financing") over the next couple of weeks. The TSXV has granted a 30-day extension of its conditional approval of the Financing in order to permit the closing of the second tranche. The total proceeds to be raised under the second tranche has not yet been determined. As announced on May 10, 2017, under the first tranche of the Financing, Monarca issued 13,232,182 units (the "Units") at a price of $0.13 per Unit for gross proceeds of $1,720,183. Each Unit was comprised of one Common Share and one common share purchase warrant (a "Warrant"). Each Warrant entitles the holder to acquire one Common Share at a price of $0.18 per share for a period of 36 months from the date of issuance. The Company may raise additional proceeds under the Financing and complete one or more closings.
Eric Sprott, through 2176423 Ontario Ltd., a corporation which is beneficially owned by him, acquired 3,077,000 Units under the first tranche of the Financing for total consideration to the Company of $400,010.
Grant of Stock Options
The Company has granted an aggregate of 2,075,000 stock options pursuant to its 2016 Incentive Stock Option Plan to directors and officers of the Company. The options vest immediately, are exercisable at a price of $0.14 per share and have a term of 5 years.
About Monarca Minerals Inc.
Monarca is a Canadian company focusing on the exploration and development of silver projects along a highly productive mineralized belt in Mexico. The Company has a portfolio of silver projects including a mineral resource of 27.8 million ounces of silver (19.8 million tonnes at 45.0 g/t Ag) at its Tejamen deposit.
For further information, please contact:
Allan Folk
Interim Chief Executive Officer
Monarca Minerals Inc.
E: Afolk.bb@gmail.com
Cautionary Note Regarding Forward-Looking Statements Forward-Looking Statements:
The above contains forward-looking statements that are subject to a number of known and unknown risks, uncertainties and other factors that may cause actual results to differ materially from those anticipated in our forward-looking statements. Factors that could cause such differences include: changes in world commodity markets, equity markets, costs and supply of materials relevant to the mining industry, change in government and changes to regulations affecting the mining industry. Forward-looking statements in this release include statements regarding future exploration programs, operation plans, geological interpretations, mineral tenure issues and mineral recovery processes. Although we believe the expectations reflected in our forward looking statements are reasonable, results may vary, and we cannot guarantee future results, levels of activity, performance or achievements.
Neither the TSX Venture Exchange nor its Regulation Service Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
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