November 23, 2009
MetalCorp Limited Announces $1.5 Million Non-Brokered Private Placement of Flow-Through Units
Toronto, Ontario Canada (November 23, 2009) - MetalCorp Limited (TSX-V: MTC) is pleased to announce a proposed non-brokered private placement of up to 6,000,000 flow-through units (each, a "Unit") at a price of $0.25 per Unit (the "Offering") for aggregate gross proceeds of up to $1,500,000. Each Unit will be comprised of one common share and one-half of a common share purchase warrant. Each whole warrant (a "Warrant") will entitle the holder to purchase one common share at any time for a period of two years, at a price of $0.35 in the first year and $0.45 during the second year.
MetalCorp will pay finder's fees of up to 6.5% of the aggregate gross proceeds of the Offering, in cash or treasury common shares, and finder's warrants equal in number to up to 6.5% of the number of Units sold. Each finder's warrant will entitle the holder to purchase one non-flow through common share and one-half Warrant at $0.25 per each such unit.
The gross proceeds to MetalCorp from the Offering will be used to fund exploration expenses which qualify as "Canadian Exploration Expenses" (within the meaning of the Income Tax Act (Canada) in connection with MetalCorp's projects in Ontario, including its BL14 copper/zinc project at its Big Lake property and at its projects at its Hemlo East and Pickle Lake gold properties.
All the securities issued pursuant to this private placement will be subject to a four (4) month hold period. Completion of the private placement is subject to receipt of all required regulatory and other approvals, including acceptance by the TSX Venture Exchange.
This press release shall not constitute an offer to sell or solicitation of an offer to buy the securities in any jurisdiction. The flow-through common shares and the Warrants comprising the Units or issuable upon exercise of the Warrants and finder's warrants will not be and have not been registered under the United States Securities Act of 1933 and may not be offered or sold in the United States absent an applicable exemption from the registration requirements.
MetalCorp has 49,106,636 common shares outstanding and approximately $1.1 million in cash and no long-term debt. To find out more about MetalCorp visit our website at www.metalcorp.ca.
For further information, please contact:
Naomi Nemeth, President and CEO
T: +1 416 363 9428
This Press Release contains forward-looking statements that may involve a number of risks and uncertainties. Actual events or results could differ materially from MetalCorp's forward-looking statements and expectations herein.
Neither IIROC nor the TSX Venture Exchange accepts responsibility for the adequacy or accuracy of this release. This press release is not for distribution to United States newswire services nor for dissemination in the United States.
© 2018 MetalCorp Inc.