HALIFAX, Jan. 18, 2017 /CNW/ - Zonte Metals Inc (TSXV: ZON) ("Zonte" or the "Company") announces that it plans to raise up to $1,100,000 through a non-brokered private placement that will include the issue of up to 11,000,000 units (the "Units") at a price of $0.10 per Unit (the "Offering"), subject to TSX Venture Exchange (the "Exchange") approval. Each Unit will consist of one common share and one-half (½) of one share purchase warrant, with each whole warrant entitling the holder to acquire one additional common share at a price of $0.18 for a period of 18 months from the date of issuance.
Eligible finders will be entitled to a Finders' Fees in connection with securities sold pursuant to the Offering of (i) cash in an amount equal to 7% of the aggregate gross subscription proceeds received from the sale of securities; and (ii) Finders' Warrants equal to 7% of the number of securities sold in the Offering, each such Finders' Warrant exercisable at any time up to 18 months following its date of issuance to purchase one common share of the Company at an exercise price of $0.18 per share. All Finders' Fees will be subject to and in accordance with Exchange and regulatory policies. The Company intends to use the net proceeds of the Offering for working capital purposes. The securities issued pursuant to the Offering will be subject to a four-month and one day statutory hold period.
The Company also advises the acquisition of the McConnells Jest project, announced on November 17, 2016, is subject to a finders' fee payable to Tim Hannon with a total value of $31,000 which will be paid on a ratio of 90% stock and 10% cash subject to acceptance of the TSX Venture Exchange. The Company is purchasing 100% interest in the McConnells Jest project for payments of $150,000 over two years and 1.5 million common shares of the Company over three years. The claims are subject to a 3% NSR, 2/3rds of which can be purchased by the Company for $2,000,000.
About Zonte
Zonte Metals Inc. is a junior explorer focused on gold and copper. The Company holds the Wings Point Gold Project which is a drill ready project in Newfoundland and Labrador and has signed an Option Agreement to acquire 100% of the McConnells Jest project, in the Tintina Gold Belt, located in the Yukon Territory, which is composed of 172 claims totaling approximately 3371 hectares. In addition, the Company and a Colombian partner have an application over open areas sitting on top of the open pit outline of the Gramalote Deposit in Colombia, which is held by AngloGold Ashanti (NYSE: AU) and B2Gold (TSX: BTO, NYSE: BTG). The title issuance is being contested by the state governing the application and the Company has started legal action to protect its rights.
