/NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR
DISSEMINATION IN THE UNITED
STATES/
VANCOUVER, BC, Aug. 7, 2020 /CNW/ - Orex Minerals Inc.
("Orex" or the "Company") (TSXV: REX) (OTCQB: ORMNF)
is pleased to announce a non-brokered private placement offering of
units of the Company (the "Units") at a price of
$0.15 per Unit (the "Offering
Price") for aggregate gross proceeds of up to $5,500,000 (the "Offering"). Eric Sprott intends to subscribe for the
entirety of the Offering.
Each Unit will consist of one common share of the Company (each,
a "Common Share") and one-half of one common share purchase
warrant of the Company (each whole warrant, a "Warrant").
Each Warrant will be exercisable to purchase a Common Share at an
exercise price of $0.20 per share for
a period of 24 months following the Closing (as defined
herein).
"I am very pleased that Eric
Sprott will become our largest shareholder in Orex Minerals.
His investment will ensure that the Company has the necessary
capital to properly advance our Mexican projects. We look forward
to updating the plans going forward and the work programs expected
to start soon" remarked Gary Cope,
President and Chief Executive Officer of the Company.
The Company intends to use the net proceeds from the Offering
for working capital requirements and other general corporate
purposes.
The Offering is anticipated to close on or about the week of
August 14, 2020 (the "Closing
Date" or "Closing"). The Units and the underlying
securities to be issued under the Offering will have a hold period
of four months and one day from Closing.
In connection with the Offering, the Company will pay finders'
fees (the "Finder's Fee") to Mackie Research Capital
Corporation by way of issuing Units equal to 6% of the gross
proceeds of the Offering. Each Unit will have the same price and
terms as those issued pursuant to the Offering.
The issuance of the Units and payment of the Finder's Fee is
subject to certain conditions including, but not limited to, the
receipt of all necessary approvals, including the approval of the
TSX Venture Exchange.
The securities described herein 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 state securities
laws, and accordingly, may not be offered or sold within
the United States except in
compliance with the registration requirements of the U.S.
Securities Act and applicable state securities requirements or
pursuant to exemptions therefrom. This press release does not
constitute an offer to sell or a solicitation to buy any securities
in any jurisdiction.
ABOUT OREX MINERALS INC.
Orex Minerals Inc. is a mineral exploration company focused on
precious and base metals exploration in Mexico and Canada. Orex has several current projects: Two
projects are located in Durango State, Mexico, the Sandra Silver Project with Pan
American Silver Corp. and the Coneto Silver-Gold Project with
Fresnillo PLC. The third project is the Jumping Josephine Gold
Project in British Columbia,
Canada. Orex is under the management provided by the
experienced Belcarra Group Management Ltd. (the "Belcarra
Group"). The Belcarra Group is comprised of highly qualified
mining professionals.
ON BEHALF OF THE BOARD OF DIRECTORS
Gary Cope
President
FORWARD LOOKING STATEMENTS
This News Release may contain forward-looking statements,
including, but not limited to, statements with respect to the
receipt of approvals for the Offering, closing of the Offering, use
of proceeds of the Offering, timing and content of upcoming work
programs, geological interpretations, receipt of property titles,
potential mineral recovery processes, etc. These statements reflect
management's current estimates, beliefs, intentions and
expectations; they are not guarantees of future performance.
Forward-looking statements address future events and conditions and
therefore involve inherent risks and uncertainties. Such factors
include, among other things: risks and uncertainties relating to
exploration and development, the ability of the Company to obtain
additional financing, the need to comply with environmental and
governmental regulations, fluctuations in the prices of
commodities, operating hazards and risks, competition and other
risks and uncertainties, including those described in the Company's
financial statements and management discussion and analysis
("MD&A") available on www.sedar.com. The risk factors
identified in the financial statements and MD&A are not
intended to represent a complete list of factors that could affect
the Company. Actual results may differ materially from those
currently anticipated in such statements and Orex undertakes no
obligation to update such statements, except as required by
law.
Neither TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or
accuracy of this release.
SOURCE Orex Minerals Inc.