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Vancouver, British Columbia – TheNewswire - November 14, 2022 –Rackla Metals Inc. (TSX:RAK) (the “Company”) announces that itproposes to complete a non-brokered private placement of up to 10million units at $0.20 per unit, for proceeds of up to $2.0 million,each unit to consist of one common share and one half warrant. Eachwhole warrant will entitle the holder to purchase one additionalcommon share of the Company at $0.35 for two years from the closingdate of the financing.
Crescat Capital will be the lead order on the financingtaking a minimum $1.0 million of the $2.0 million financing total. Rackla management proposes to use the net proceeds of the placementfor conducting exploration and drilling on the Company’s TombstoneGold Belt properties within the Selwyn Basin in the coming year, forcontinuing investigations of additional mineral properties foracquisition, and for general working capital purposes.
“We at Crescat relish our position of funding earlystage, high-caliber, high-potential exploration stories,” commentedQuinton Hennigh, Geologic and Technical Director of Crescat Capital. “With Snowline Gold's recent discovery of the Valley reducedintrusion-hosted gold deposit in the Yukon, the Tombstone Gold Beltcontinues to deliver new, very large gold deposits. Rackla Metalshas assembled an attractive portfolio of similar reduced-intrusionrelated gold systems along the Tombstone Gold Belt in Yukon andwestern Northwest Territories. Early BLEG, soil and rock samplinghighlight multiple robust gold anomalies closely associated withgranite intrusions, some of which appear nearly drill ready. We aredelighted to join Rackla and its experienced exploration team at thisearly stage and look forward to seeing them quickly advance multipletargets to first pass drilling in 2023.”
The private placement is subject to acceptance forfiling by the TSX Venture Exchange.
The securities to be offeredpursuant to the financing have not been, and will not be, registeredunder the U.S. Securities Act of 1933, as amended (the" U.S.Securities Act ") or anyU.S. state securities laws, and may not be offered or sold in theUnited States or to, or for the account or benefit of, United Statespersons absent registration or any applicable exemption from theregistration requirements of the U.S. Securities Act and applicableU.S. state securities laws. This news release shall not constitutean offer to sell or the solicitation of an offer to buy securities inthe United States, nor shall there be any sale of these securities inany jurisdiction in which such offer, solicitation or sale would beunlawful.
Qualified Person
Bruce Smith, M.Sc. (Geology), a member of theAustralian Institute of Geoscientists, is Rackla’s Qualified Personas defined by National Instrument 43-101, Standards of Disclosure forMineral Projects. Mr. Smith reviewed and approved the technicalinformation contained in this news release.
Simon Ridgway,
CEO and Director
Tel: (604) 801-5432; Fax: (604) 662-8829
Email: info@goldgroup.com
Website: www.racklametals.com
Neither the TSX Venture Exchange norits Regulation Services Provider (as that term is defined in thepolicies of the TSX Venture Exchange) accept responsibility for theadequacy or accuracy of this press release.
Forward-LookingInformation
Certain statements contained in thisnews release constitute forward-looking statements within the meaningof Canadian securities legislation. All statements included herein,other than statements of historical fact, are forward- lookingstatements and include, without limitation, statements about the Company’s proposedfinancing, and future exploration activities . Often, but not always, these forwardlooking statements can be identified by the use of words such as“estimate”, “estimates”, “estimated”, “potential”,“open”, “future”, “assumed”, “projected”, “used”,“detailed”, “has been”, “gain”, “upgraded”,“offset”, “limited”, “contained”, “reflecting”,“containing”, “remaining”, “to be”, “periodically”, orstatements that events, “could” or “should” occur or beachieved and similar expressions, including negativevariations.
Forward-looking statements involveknown and unknown risks, uncertainties and other factors which maycause the actual results, performance or achievements of the Companyto be materially different from any results, performance orachievements expressed or implied by forward-looking statements. Suchuncertainties and factors include, among others, whether stockexchange approval to the financing will be obtained and the financingwill be completed as planned; changes in general economic conditionsand financial markets; the Company or any joint venture partner nothaving the financial ability to meet its exploration and developmentgoals; risks associated with the results of exploration anddevelopment activities, estimation of mineral resources and thegeology, grade and continuity of mineral deposits; unanticipated costsand expenses; and such other risks detailed from time to time in theCompany’s quarterly and annual filings with securities regulatorsand available under the Company’s profile on SEDAR at www.sedar.com. Although the Company has attempted toidentify important factors that could cause actual actions, events orresults to differ materially from those described in forward-lookingstatements, there may be other factors that cause actions, events orresults to differ from those anticipated, estimated orintended.
Forward-looking statements containedherein are based on the assumptions, beliefs, expectations andopinions of management, including but not limited to: that stockexchange approval to the financing will be obtained and that thefinancing will be completed as planned; that the Company’s statedgoals and planned exploration activities at its properties will beachieved; that there will be no material adverse change affecting theCompany or its properties; and such other assumptions as set outherein. Forward-looking statements are made as of the date hereof andthe Company disclaims any obligation to update any forward-lookingstatements, whether as a result of new information, future events orresults or otherwise, except as required by law. There can be noassurance that forward-looking statements will prove to be accurate,as actual results and future events could differ materially from thoseanticipated in such statements. Accordingly, investors should notplace undue reliance on forward-looking statements.
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