/NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR
DISSEMINATION IN THE UNITED
STATES./
Trading Symbol TSX(V): RMD
Boerse Frankfurt: WKN A1W98A: R52
TORONTO, May 19, 2020 /CNW/ - Richmond Minerals Inc.
(TSX-V: RMD) (the "Company") proposes to complete a non-brokered
private placement pursuant to which it shall issue up to 16,000,000
units (each a "Unit) of the Company at a price of C$0.05 per Unit to raise aggregate proceeds of up
to C$800,000 (the "Offering"). Each
unit will consist of one common share and one common share purchase
warrant (each, a "Warrant") . Each Warrant shall entitle the holder
thereof to acquire one Common Share at a price of $0.10 until 5 pm
(Toronto time) on the date which
is 18 months following the closing of the Offering, whereupon the
Warrants expire.
The securities issued and issuable pursuant to the Offering will
be subject to a four month and one day hold period. The
Company intends to use the net proceeds from the Offering to fund
exploration and development at Company's Ontario and European properties and for
working capital purposes related to the Transaction. The
Offering is subject to certain conditions including, but not
limited to, the receipt of all necessary approvals, including the
approval of the TSX Venture Exchange and applicable securities
regulatory authorities.
The securities offered have not been registered under the U.S.
Securities Act of 1933, as amended (the "U.S. Securities
Act"), or applicable state securities laws, and may not be
offered or sold to persons in the United
States absent registration or an exemption from such
registration requirements. This press release shall not constitute
an offer to sell or the solicitation of an offer to buy nor shall
there be any sale of the securities in any jurisdiction in which
such offer, solicitation or sale would be unlawful.
The Company also announces that it has made a grant of stock
options under its stock option plan to its directors and officers
to acquire a total of 5.2 million common shares of the Company. In
addition, the Company has granted options to acquire an aggregate
of 3.9 million common shares of the Company to certain
non-executive employees and consultants. All of the options are
exercisable at a price of $0.10 per
share for a period of five years from the date of grant. All
Director and Officer options will vest on the date of grant, and
50% of consultant/employee options will vest on the date of grant,
with the remaining 50% vesting in 6 months.
Additionally, on April 29, 2020
Rockridge Resources Ltd. (TSX-V: ROCK) announced drill results from
its Raney Gold Property which included an intersection of 28.0
grams per tonne over a 6 meter interval from a hole collared
approximately 550 meters west of, and on trend with Richmond's western Ridley Lake Property
boundary. Rockridge indicates that this broad alteration zone
(structural corridor) that hosts the mineralization is open for
expansion; historic mapping and surface sampling data show that the
alteration zone may extend over several hundred metres, with no
drilling completed over a large extent of this corridor.
Warren Hawkins, P.Eng, a
"Qualified Person", within the meaning of Nation Instrument 43-101-
Standards of Disclosure for Minerals Projects, has reviewed and
approved the scientific and technical information contained in this
news release. Mr. Hawkins is not considered to be "independent" of
the Corporation (as defined in National Instrument 43-101), as he
currently holds securities of the Corporation.
CAUTIONARY STATEMENT: This news release contains forward-looking
information which is not comprised of historical facts.
Forward-looking information involves risks, uncertainties and other
factors that could cause actual events, results, performance,
prospects and opportunities to differ materially from those
expressed or implied by such forward-looking information. Forward
looking information in this news release includes, but is not
limited to, Richmond's objectives,
goals or future plans, including successful completion of the
Transaction. There is no guarantee that the Transaction will be
completed on the terms announced in this press release or at all.
Factors that could cause actual results to differ materially from
such forward-looking information include, but are not limited to,
changes in general economic conditions and conditions in the
financial markets; the ability of Richmond to raise funds pursuant to future
offerings, including the second tranche of the Offering; changes in
demand and prices for minerals; litigation, legislative,
environmental and other judicial, regulatory, political and
competitive developments, and those risks set out in Richmond's public documents filed on SEDAR.
Although Richmond believes that
the assumptions and factors used in preparing the forward-looking
information in this news release are reasonable, undue reliance
should not be placed on such information, which only applies as of
the date of this news release, and no assurance can be given that
such events will occur in the disclosed time frames or at all.
Richmond disclaims any intention
or obligation to update or revise any forward-looking information,
whether as a result of new information, future events or otherwise,
other than as required by law.
Neither the TSX-V nor its Regulation Services Provider (as
that term is defined in the policies of the TSX-V) accepts
responsibility for the adequacy or accuracy of this
release.
SOURCE Richmond Minerals Inc.