TORONTO, Aug. 1, 2018 /CNW/ - Cobalt Blockchain Inc.
("COBC" or the "Company") (TSXV:COBC) is extending its previously
announced brokered equity private placement of up to 12 million
common shares at a price of 25 cents
per common share, for gross proceeds of up to $3-million. Use of proceeds from the private
placement include establishment of cobalt trading operations,
initial cobalt concentrate purchases, mineral processing equipment,
transaction costs, costs associated with technology platform
development and general working capital.
In connection with the private placement, the company has agreed
to pay IBK Capital a cash commission equal to 8 per cent of the
amount raised and broker warrants equal to 10 per cent of the
number of common shares issued pursuant to the private placement.
Each broker warrant is exercisable into one common share at a price
of 25 cents per common share for a
period of five years from the date of issuance.
The private placement is subject to all necessary regulatory
approvals. The securities being issued in the private placement
will be subject to a four-month hold period in accordance with
applicable Canadian securities laws.
About Cobalt Blockchain Inc.
Cobalt Blockchain Inc. (TSXV:COBC) is a Canadian resource
company expanding its exploration and development business to
include cobalt assets in the Democratic
Republic of the Congo (DRC). COBC has acquired a 100%
interest in an existing metals trading business specializing in
sourcing minerals from artisanal and small-scale mines in the DRC,
in compliance with international procurement standards. Leveraging
its experience with existing supply chain due diligence
initiatives, COBC is working with partners to develop a blockchain
based reporting platform to provide greater certainty of provenance
and further assurance that all minerals procured are
ethically-sourced. Senior management have over twelve years of
experience working in the DRC and a proven international track
record in exploration success and the trading of certified
conflict-free, child-labour-free minerals.
Forward-Looking Information
This release includes certain statements that may be deemed
"forward-looking statements". All statements in thisrelease, other
than statements of historical facts, that address future
production, reserve potential, exploration drilling, exploitation
activities and events or developments that the Company expects are
forward-looking statements. Although the Company believes the
expectations expressed in such statements are based on reasonable
assumptions, such statements are not guarantees of future
performance and actual results or developments may differ
materially from those in the statements. There are certain factors
that could cause actual results to differ materially from those
in
forward-looking statements. These include market prices,
exploitation and exploration successes, continued availability of
capital and financing, and general economic, market or business
conditions. Investors are cautioned that any such statements are
not guarantees of future performance and actual results or
developments may differ materially from those projected in the
forward-looking statements. For more information on the Company,
investors should review registered filings at www.sedar.com.
Neither the 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.
SOURCE Cobalt Blockchain Inc.