Vancouver, British Columbia--(Newsfile Corp. - June 1, 2017) - Eureka Resources Inc. (TSXV: EUK) ("Eureka" or the "Company") is pleased to announce that it has closed its previously announced private placement - see news releases dated March 1, 2017, April 7, 2017 and May 12, 2017.
The Company issued 6,340,430 units (3,261,055 flow-through units at $0.09 per unit and 3,079,375 non-flow through units at $0.08 per unit) for total proceeds of $539,845.
Each flow-through unit consisted of one flow-through common share and one-half of one share purchase warrant. Each whole warrant entitled the holder to purchase an additional common share at $0.15 per share until May 31, 2019. The proceeds from the issuance of the flow-through units of $293,495 will be used for exploration of the Company's mineral properties.
Each non-flow-through unit consisted of one common share and one-half of one share purchase warrant. Each whole warrant entitled the holder to purchase an additional common share at $0.15 per share until May 31, 2019. The proceeds from the issuance of the non-flow-through units of $246,350 will be used for working capital.
The Company paid finder's fees of $30,675, 187,500 common shares, 187,500 share purchase warrants and 13,332 finder's warrants. Each finder's warrant entitled the holder to purchase a non-flow-through unit at $0.09 per unit until May 31, 2019.
Insider participation in the private placement was as follows: Michael Sweatman 187,500 non-flow-through units, Brent Petterson 111,111 flow-through units, Warren Stanyer 55,500 flow-through units and Kristian Whitehead 111,111 flow-through units.
All securities issued under the private placement are subject to a hold period expiring on October 1, 2017. The securities described herein have not been registered under the U.S. Securities Act of 1933, as amended, and may not be offered or sold in the United States unless registered under the Act or unless an exemption from registration is available.
ABOUT EUREKA
Eureka is an exploration focused company based in Vancouver, British Columbia, whose strategy is to acquire projects in prospective areas that have the potential to deliver important new discoveries to create value for its shareholders.
