Sun Summit Minerals Raises Private Placement to $6,000,000
Vancouver, British Columbia–(Newsfile Corp. – February 24, 2022) – Sun Summit Minerals Corp. (TSXV: SMN) (OTCQB: SMREF) is pleased to announce that due to strong investor demand, it has increased its non-brokered private placement to gross proceeds of $6,000,000 (the “Offer”) consisting of: (i) “flow-through” charitable units priced at $0.63 each (“CFT units“), (ii) “flow-through” units at a price of $0.52 each (“FT Units”), and (iii) non-flow-through units at a price of $0.45 each (“NFT Units”). Eventus Capital Corp. has been appointed as intermediary in the context of the Offer.
Each FT Unit and CFT Unit will consist of one common share of the Corporation to be issued as a “flow-through share” within the meaning of income tax law (Canada) (each, one “FT Sharing“) and one-half common share purchase warrant (each whole warrant, one “To guarantee“). Each NFT Unit will consist of one common (non-flow-through) share of the Company (one “NFT Sharing”) and half a term. Each warrant will entitle the holder to purchase one common (non-flow-through) share of the Company (a “Warrant Action“) for two years at a price of $0.70.
The Company will pay a finder’s fee consisting of a cash commission of 6% of the gross proceeds raised by Eventus under the Offering and the finder’s warrants (“Research warrants”) to purchase such number of Warrant Shares equal to 6% of the number of Units sold by Eventus under the Offer. Each Finder Warrant will entitle the holder to purchase one Warrant Share at a price of $0.70 for two years.
The Company intends to use the proceeds of the placement for the exploration of the Company’s Buck property and other Canadian properties that it may acquire. The gross proceeds from the issue of FT shares will be applied to “Canadian exploration expenses” (as defined in income tax law (Canada)), which will be waived with an effective date no later than December 31, 2022, to purchasers of FT Units and CFT Units for an aggregate amount not less than the gross proceeds from issuance of FT shares.
The Offering is expected to close on or about March 16, 2022 and is subject to certain conditions, including, but not limited to, obtaining TSX Venture Exchange approval. FT Shares, NFT Shares, Warrants and Warrant Shares will have a holding period of four months from the date of closing.
The securities described herein have not been and will not be registered under the United States Securities Act of 1933 or any state securities law and, accordingly, may not be offered or sold in the United States only in accordance with the registration requirements of United States securities law and applicable national securities requirements or pursuant to exemptions therefrom. This press release does not constitute an offer to sell or a solicitation to buy securities in any jurisdiction.
About Sun Summit
Sun Summit Minerals is an exploration company focused on expanding its epithermal gold discovery at its flagship Buck Project located in north central British Columbia.
The Company is exploring several high-priority targets through methodical and well-funded exploration campaigns with year-round access to drilling. The project has high-grade and bulk gold, silver and zinc potential and is located in an established mining region that includes many former operating mines and ongoing exploration projects.
Sun Summit is committed to environmental and social responsibility with an emphasis on responsible development to generate positive results for all stakeholders.
Further details are available at www.sunsummitminerals.com.
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Statements contained in this press release that are not historical facts may be forward-looking statements, which involve risks, uncertainties and other factors that could cause actual results to differ materially from those expressed or implied. implied by these forward-looking statements. Factors that could cause such differences, without limiting the generality of the following, include: risks inherent in exploration activities; market price volatility and sensitivity; volatility and sensitivity to financial market fluctuations; the impact of competition in exploration; the ability to raise funds through private or public equity financing; imprecision in resource and reserve estimates; environmental and safety risks, including increased regulatory burdens; unexpected geological or hydrological conditions; changes in government regulations and policies, including trade laws and policies; failure to obtain necessary permits and approvals from governmental authorities; weather and other natural phenomena; and other exploration, development, operating, capital markets and regulatory risks. Except as required by applicable securities laws and regulations, Sun Summit Minerals Corp. (SMN) disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
Neither the TSX Venture Exchange nor the Investment Industry Regulatory Organization of Canada accepts responsibility for the adequacy or accuracy of this release.