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Benz Mining looking to reopen Eastmain in NWQ

Apr 27, 2020

Benz Mining Corp. is pleased to announce that it has closed its previously announced non-brokered private placement (the "Placement") on March 3, 2020 and has issued 27,773,024 units (each a "Unit") at a price of $0.076 per Unit, for gross proceeds of $2,110,749.84. Each Unit consists of one common share in the capital of the Company (each a "Share") and one whole common share purchase warrant (each a "Warrant"). Each Warrant entitles the holder to purchase one Share (a "Warrant Share") at a price of $0.12 per Warrant Share until April 27, 2023.

Benz is earning a 100% interest in the former producing high grade Eastmain gold mine project in Quebec.

Miloje Vicentijevic, President and CEO, commented, "This financing will allow us to aggressively advance our high-grade Eastmain gold project in Quebec and unlock significant value in the current environment of rising and record high gold prices."

The net proceeds from the Private Placement will be used for continued exploration and development of Benz's flagship Eastmain Gold Project located in James Bay District, Quebec and working capital.

All of the Shares issued pursuant to the Placement (including Warrant Shares issuable upon exercise of Warrants) are subject to a four-month hold period expiring August 28, 2020. 

Finder's fees in the aggregate of $160,789.58 were paid and an aggregate of 2,115,652 Finder's compensation options were issued in conjunction with the Placement (each a "Finder's Compensation Option"). Each Finder's Compensation Option is exercisable at a price of $0.076 until April 27, 2023 and entitles the holder to purchase one Unit (comprised of one Share and one Warrant). Each Warrant received upon the exercise of a Finder's Compensation Option entitles the holder to purchase one Warrant Share at price of $0.12 per Warrant Share until April 27, 2023.

After giving effect to the Placement, the Company will have an aggregate of 57,090,118 Shares issued and outstanding.

Tectonic Advisory Partners ("Tectonic"), acted as advisor to Benz. Tectonic is a New York-based resource focused boutique banking group. Tectonic securities transactions are executed through Ecoban Securities Corporation.

Corporate Update

Benz is also pleased to announce the appointment of Mr. Mathew O'Hara to its board of directors.

Mr. O'Hara is a Chartered Accountant with extensive professional experience in capital markets, financing, financial accounting and corporate governance. His experience includes being employed by, and acting as, Director, Company Secretary and Chief Financial Officer of several companies, predominantly in the resources sector.

Prior to these roles, he spent more than a decade working as an Associate Director at an international accounting firm in both the Corporate Finance/Advisory and Audit divisions in Australia gaining significant experience with publicly listed clients across a diverse range of industries, including mining and metals, oil and gas, technology and infrastructure. He had a particular focus in audit, M&A, valuations, financial modelling, due diligence and financial reporting.

Miloje Vicentijevic commented, "We are pleased to welcome Mathew to our board at this pivotal time in the growth of Benz. Mat brings a depth of experience in finance which will be a strong complement to our board."

Mr. O'Hara commented, "I'm delighted to join the Benz team and look forward to working closely with the board and management in advancing the high-grade Eastmain gold mine project in Quebec."

The Company also announces that it has granted an aggregate of 2.914 million incentive stock options to certain directors, officers, and consultants of Benz at an exercise price of $0.12 per share for a period of five years. Such options have been granted pursuant to the Company's 10% rolling stock option plan and are in accordance with policies of the TSX Venture Exchange.

The information in this press release has been reviewed and approved by Miloje Vicentijevic, P.Eng., a qualified person for the purposes of National Instrument 43-101.

This news release is intended for distribution in Canada only and is not intended for distribution to United States newswire services or dissemination in the United States. This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the Units in the United States or to, or for the account or benefit of, any U.S. person. The Units (or any underlying securities) have not been and will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act"), or any securities laws of any state of the United States and may not be offered or sold within the United States or to, or for the account or benefit of, any U.S. person unless an exemption from such registration requirements is available. "United States" and "U.S. person" are as defined in Regulation S under the U.S. Securities Act. 

About Benz Mining Inc.

Benz Mining Corp. brings together a veteran team of engineers, geologists, and finance professionals with a focused strategy to acquire and develop mineral projects with an emphasis on safe, low risk jurisdictions favorable to mining development.

Tags: Quebec / Press Releases / Gold / All Articles