GSKKF - Abitibi Metals Announces $3 Million No Warrant Private Placement with Strategic Investors
(TheNewswire)
December 4, 2023 – TheNewswire - London, Ontario – AbitibiMetals Corp. (CSE:AMQ) (OTC:AMQFF) (FSE:4KG) ( “ Abitibi” or the “ Company ” ),is pleased to announce a non-brokered private placement of up to10,000,000 common shares of the Company at a price of $0.30 per commonshare for up to total gross proceeds of up to $3,000,000 (the"Offering") with lead orders fromFrank Giustra, Greg Chamandy and other strategicinvestors .
Jonathon Deluce, CEO of Abitibi Metals, stated, “ We are thrilled toannounce a strategic investment from Mr. Frank Giustra a distinguishedfinancier and mining entrepreneur. Mr. Giustra is known globally forhis unparalleled success as he has helped foster the growth of some ofthe world ’ s most successful mining companies.
We are also thrilled to announce a strategic investmentfrom Mr. Greg Chamandy, an exceptionally accomplished serialentrepreneur with a diverse background spanning multiple industries.Mr. Chamandy, who co-founded Gildan Activewear, also served as theExecutive Chairman of Richmond Mines Inc., a company that was acquiredby Alamos Gold for $933 million. Mr. Chamandy also served as theChairman of Cornerstone Capital Resource Group, which was acquiredby SolGold.
Abitibi Metals has also attractedadditional strategic shareholders interested in the growth prospectsof both the high-grade B26 Deposit and the Beschefer Project. We willbe the first public company to develop the B26 Deposit since itsinitial discovery by SOQUEM in 1997.”
The Company intends to utilize these funds to increasethe size of its upcoming drill program at the high-grade B26Polymetallic Copper Deposit and the Beschefer Gold Project, bothsituated just 7 kilometers apart within the mineral-rich AbitibiGreenstone Belt, and for general and administration expenses includingpotential awareness initiatives.
Mr. Deluce continued “ This capital will mark a significantstep towards realizing our aggressive growth plans for 2024. We nowplan to conduct a larger Q1 drill program at B26 with a strong focuson advancing and expanding the existing high-grade resource.
We are also set to increase our marketing and awarenessinitiatives, in tandem with achieving a complete OTCQB listing andforming a world-class advisory team. ”
F inder's fees in cash or securities may be paid ongross proceeds of the financing, as permitted by securitieslaws.
The securities issued in connection with the Offeringare subject to the Company ’ s filingrequirements with the Canadian Securities Exchange, and all securitieswill be subject to a four-month statutory hold period afterclosing.
About Abitibi Metals Corp.:
Abitibi Metals Corp. is a Quebec-focused mineralacquisition and exploration company focused on the development ofquality base and precious metal properties that are drill-ready withhigh-upside and expansion potential. Abitibi ’ sportfolio of strategic properties provides target-rich diversificationand includes the high-grade B26 Polymetallic Copper Deposit (Ind:7.0MT @ 2.94% Cu Eq & Inf: 4.4MT @ 2.97% Cu Eq) and the BescheferGold Project, where historical drilling has identified 4 historicalintercepts with a metal factor of over 100 g/t gold highlighted by55.63 g/t gold over 5.57 metres and 13.07 g/t gold over 8.75 metresamongst four modelled zones. With approximately 45% insider ownershipand a market cap under $25M, the Company is tightly structured forpotential positive developments.
ON BEHALF OF THE BOARD
Jonathon Deluce, Chief Executive Officer
For more information, please call 226-271-5170, email info@abitibimetals.com , orvisit https://www.abitibimetals.com .
The Company also maintains an active presence onvarious social media platforms to keep stakeholders and the generalpublic informed and encourages shareholders and interested parties tofollow and engage with the Company through the following channels tostay updated with the latest news, industry insights, and corporateannouncements:
Twitter: https://twitter.com/AbitibiMetals
LinkedIn: https://www.linkedin.com/company/abitibi-metals-corp-amq-c/
Neither the Canadian SecuritiesExchange nor its Regulation Services Provider accepts responsibilityfor the adequacy or accuracy of this release.
Forward-looking statement:
This news release contains certainstatements, which may constitute “ forward-looking information ” within the meaning ofapplicable securities laws. Forward-looking information involvesstatements that are not based on historical information but ratherrelate to future operations, strategies, financing plans, financialresults or other developments on the B26 Project or otherwise.Forward-looking information is necessarily based upon estimates andassumptions, which are inherently subject to significant business,economic and competitive uncertainties and contingencies, many ofwhich are beyond the Company ’ s control and many ofwhich, regarding future business decisions, are subject to change.These uncertainties and contingencies can affect actual results andcould cause actual results to differ materially from those expressedin any forward-looking statements made by or on theCompany ’ s behalf. Although Abitibi has attemptedto identify important factors that could cause actual actions, eventsor results to differ materially from those described inforward-looking information, there may be other factors that causeactions, events or results to differ from those anticipated, estimatedor intended. All factors should be considered carefully, and readersshould not place undue reliance on Abitibi ’ s forward-looking information. Generally, forward-lookinginformation can be identified by the use of forward-lookingterminology such as “ expects, ” “ estimates, ” “ anticipates, ” or variations of such words and phrases (including negative andgrammatical variations) or statements that certain actions, events orresults “ may, ” “ could, ” “ might ” or “ occur. Mineral exploration and development are highly speculativeand are characterized by a number of significant inherent risks, whichmay result in the inability of the Company to successfully developcurrent or proposed projects for commercial, technical, political,regulatory or financial reasons, or if successfully developed, may notremain economically viable for their mine life owing to any of theforegoing reasons, among others. There is no assurance that theCompany will be successful in achieving commercial mineral productionand the likelihood of success must be considered in light of the stageof operations.
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