Dryden Gold

Rathdowney Resources Announces C$600,000 Private Placement

VANCOUVER, July 12, 2017 /CNW/ - Rathdowney Resources Ltd. ("Rathdowney" or the "Company") (TSXV: RTH) announces that it plans to complete a private placement of up to approximately 3,157,894 million ("Units") of the Company at a price of $0.19 per Unit (the "Issue Price") for proceeds of up to approximately $600,000 (the "Offering").  

Each Unit shall consist of one common share in the capital of the Company (a "Share") and one common share purchase warrant (a "Warrant").  Each Warrant shall entitle the holder to purchase one additional Share (a "Warrant Share") at a price of $0.24 per Warrant Share for a period of two years from the date of closing of the Offering.  Finders fees of up to 6% may be payable on a portion of the placement.

The Units, Shares and Warrant Shares will be subject to applicable resale restrictions, including a four month hold period from date of closing of the Offering under applicable Canadian securities laws. Completion of the Offering is subject to regulatory approval, including approval of the TSX Venture Exchange. 

Proceeds will be used to advance permitting activities in Poland and engineering work to progress the Company's Olza zinc-lead-silver project towards feasibility and completion of permit licensing, as well as for general corporate working capital purposes.

About Rathdowney and Project Olza

Rathdowney Resources Ltd. is focused on advancing Project Olza through permitting and into production. Project Olza is located in the Upper Silesian Mining District of southwestern Poland, a world-class region of Mississippi Valley-type zinc-lead deposits and well-developed mining infrastructure.  A railway line through the Olza project-area provides direct access to smelters in Poland, elsewhere in Europe and to tidewater to reach off-shore facilities. 

Strong potential financial returns are indicated for a 6,000 tpd low-cost, bulk-tonnage underground operation and conventional treatment facility, producing two clean, low-iron, marketable concentrates (Preliminary Economic Assessment)1.  In addition, extensive property-wide historical drilling by the Polish State as well as recent drilling by Rathdowney have shown excellent potential to expand mineral resources to support a long-life mine.

David Copeland, PEng., Chairman of Rathdowney and a qualified person as defined under NI43-101, has reviewed the technical information in this release.

_____________________________________
1
For additional details, see Rathdowney's April 20, 2015 news release and December 31, 2014 Preliminary Economic Assessment Technical Report which is filed at www.sedar.com.

GET DAILY NEWS FLOW

Sign Up To Receive All Morning
News To Your Email Inbox

Please review our Disclaimer and Privacy Policy before subscribing.

EAGLE ROYALTIES (CSE: ER)

Eagle Royalties

Eagle Royalties holds a diverse portfolio of more than 35 royalty interests in western Canada. Target commodities subject to royalties include a broad spectrum including critical metals, precious metals, industrial minerals and diamonds... LEARN MORE