Mountain Boy Minerals Announces Flow Through Private Placement of $1,675,800
Vancouver, November 13, 2020 - Mountain Boy Minerals Ltd. ("Mountain Boy" or the "Company") (TSXV:MTB) (Frankfurt:M9UA) announces a non-brokered private placement offering of $1,675,800 consisting of flow-through units (the "Units") at a price of $0.532 per Unit (the "Offering"). Each Unit will be comprised of one flow through Common Share and one-half of one Common Share Purchase Warrant ("Warrant"). Each Warrant shall be exercisable to acquire one Common Share ("Warrant Share") at a price of $0.60 per Warrant Share for a period of 36 months from the closing of the Offering.
Flow Through Common Shares issued under the Offering qualify as "flow through shares" ("Flow Through Shares"). The gross proceeds from the Offering will be used to incur "Canadian exploration expenses" that will qualify as "flow through mining expenditures" as those terms are defined in the Income Tax Act which will be renounced to the initial purchasers of the Flow Through Shares. The net proceeds of the Offering will be used for exploration expenditures, including work on the Company's American Creek property located in the Golden Triangle of British Columbia.
A cash finder's fee of $72,000 will be paid to the finder. Closing of the Offering is subject to approval of the TSX Venture Exchange. Securities issued in the Offering are subject to a statutory hold period of four months.
This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities in the United States of America. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended, (the "U.S. Securities Act") or any state securities laws and may not be offered or sold within the United States or to U.S. Persons (as defined in the U.S. Securities Act) unless registered under the U.S. Securities Act and applicable state securities laws, or an exemption from such registration requirement is available.
About American Creek:
The Company recently completed a 10-hole drill program on its American Creek project, with assays pending. (See News Release of November 12, 2020.) Highlights of the 2020 drill program include intersecting significant silver mineralization in the Upper Ruby Zone, a newly discovered zone located 430 metres north of the MB Silver High-Grade Zone where kilogram silver values were drilled in 2006 (MTB News Release, January 30, 2007). The Company successfully tested four target areas, with sulphide mineralization observed at all targets.
The American Creek project is located in the highly prospective American Creek corridor of British Columbia's Golden Triangle. The property, which has a rich mining history, is road accessible and is 22 kilometres north of the deep-water seaport of Stewart. Mountain Boy has consolidated a 2,600-hectare property and compiled historic production and exploration information.
Mountain Boy Minerals considers the area to have high potential to host one or more deposits. The presence of numerous nearby past producers, the proximity to the Premier mill, an evolving understanding of the geology and encouraging results and discoveries in the region all support the highly prospective nature of this property.
The technical disclosure in this release has been read and approved by Andrew Wilkins, B.Sc., P.Geo., a qualified person as defined in National Instrument 43-101.
On behalf of the Board of Directors:
Lawrence Roulston
President & CEO
For further information, contact:
Nancy Curry
VP Corporate Development
(604) 220-2971
NEITHER 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.
This news release may contain certain "forward looking statements". Forward-looking statements involve known and unknown risks, uncertainties, assumptions and other factors that may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. Any forward-looking statement speaks only as of the date of this news release and, except as may be required by applicable securities laws, the Company disclaims any intent or obligation to update any forward-looking statement, whether as a result of new information, future events or results or otherwise.
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