Crown Mining Completes $100,000 Private Placement
TSX VENTURE: CWM
Toronto, Ontario--(Newsfile Corp. - October 10, 2018) - Crown Mining Corp. (TSXV: CWM) ("Crown" or the "Company") is pleased to announce that it has completed a non-brokered private placement previously announced on September 24, 2018 (the "Private Placement") for aggregate gross proceeds of $100,000. The Private Placement involved the issuance of 1,000,000 units ("Units") at a price of $0.10 per Unit for gross proceeds of $100,000. Each Unit consists of one common share in the capital stock the Company (a "Common Share") and one warrant. Each warrant will entitle the holder to purchase one Common Share for $0.20 at any time within 2 years after closing subject to an acceleration clause. All securities issued pursuant to this Private Placement will be subject to a four-month hold period.
Insiders of the Company acquired directly and indirectly a total of $55,000 worth of Units or 550,000 Units in the Private Placement on the same basis as other participants. The direct and indirect participation in the Private Placement by an insider of the Company constitutes a "related party transaction" as such term is defined under Multilateral Instrument 61-101 — Protection of Minority Security Holders in Special Transactions ("MI 61-101"). The Company is relying on the exemptions from the formal valuation and minority approval requirements under MI 61-101.
A material change report in connection with the Private Placements will be filed less than 21 days before the closing of the Private Placement. The Company believes this shorter period is reasonable and necessary in the circumstances as the Company wished to complete the Private Placements in a timely manner.
The Company will use the proceeds of the Private Placement for general working capital purposes.
About Crown Mining Corp
Crown controls approximately 15 square miles of patented and unpatented federal mining claims in the Light's Creek Copper District in north-east California; essentially, the entire District. The District contains substantial copper (silver) sulfide and copper oxide resources in three deposits — Moonlight, Superior and Engels, as well as several partially tested and untested exploration targets.
Crown recently filed a National Instrument 43-101 technical report entitled "Technical Report and Preliminary Economic Assessment for the Moonlight Deposit" dated March 2, 2018 on Sedar. A copy is also available on the Company's website.
The Superior and Engels Mines operated from about 1915-1930 producing over 161 million pounds of copper from over 4 million tons of rock containing 2.2% copper with silver and gold credits. The Moonlight Deposit was discovered by Placer Amex during the 1960's.
Mr. George Cole is the Qualified Person pursuant to NI 43-101 responsible for the technical information contained in this news release, and he has reviewed and approved this news release.
For more information please see the Crown website at www.crownminingcorp.com.
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This press release contains forward-looking statements within the meaning of applicable Canadian and U.S. securities laws and regulations, including statements regarding the future activities of the Company. Forward-looking statements reflect the current beliefs and expectations of management and are identified by the use of words including "will", "anticipates", "expected to", "plans", "planned" and other similar words. Actual results may differ significantly. The achievement of the results expressed in forward-looking statements is subject to a number of risks, including those described in the Company's management discussion and analysis as filed with the Canadian securities regulatory authorities which are available at www.sedar.com. Investors are cautioned not to place undue reliance upon forward-looking statements.
This news release shall not constitute an offer to sell or solicitation of an offer to buy the securities in any jurisdiction. The common shares will not be and have not been registered under the United States Securities Act of 1933 and may not be offered or sold in the United States absent registration or applicable exemption from the registration requirements.