/NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES
OR DISSEMINATION IN THE
UNITED STATES/
LONDON, ON, March 8, 2017 /CNW/ - Fortune Minerals
Limited (TSX: FT) (OTCQX: FTMDF) ("Fortune" or
the "Company") (www.fortuneminerals.com) is pleased to
announce that it has closed its previously announced short form
prospectus offering (the "Offering") of units (the
"Units") of the Corporation with Cormark Securities Inc.
(the "Underwriter"), acting as underwriter, on a bought deal
basis. The Company has issued 25,800,000 Units at a price of
$0.25 per Unit for total gross
proceeds of $6,450,000 (including
3,000,000 Units issued as a result of the Underwriter exercising
its over-allotment option in full).
Each Unit consists of one common share in the capital of the
Company (a "Common Share") and one-half of one Common Share
purchase warrant (each whole warrant, a "Warrant'). Each
Warrant entitles the holder thereof to purchase one Common Share at
a price of $0.35 at any time prior to
5:00 p.m. (Toronto time) on the date that is 2 years
following the closing date of the Offering.
The net proceeds of the Offering are expected to be used to,
among other things, update the feasibility study capital and
operating costs for the NICO Cobalt-Gold-Bismuth-Copper project and
for general corporate matters.
This press release shall not constitute an offer to sell or
solicitation of an offer to buy nor shall there be any sale of any
of the securities in any jurisdiction in which such offer,
solicitation or sale would be unlawful. The securities 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 registration or
applicable exemption from the registration requirements.
About Fortune Minerals
Fortune is a Canadian development stage mining company focused
on advancing the vertically integrated NICO
gold-cobalt-bismuth-copper project in the Northwest Territories and a related refinery
the Company plans to construct in Saskatchewan. Fortune also owns the Sue-Dianne
copper-silver-gold deposit located 25 km north of NICO and a
potential future source of incremental mill feed to extend the life
of the NICO mill. The Company also maintains the right to
repurchase the Arctos anthracite coal deposits in northwest
British Columbia that were
recently purchased by a provincial Crown corporation.
This press release contains forward-looking information and
forward-looking statements within the meaning of applicable
securities legislation. This forward-looking information includes
statements with respect to, among other things, the Company's plans
to develop the NICO project (including the Company's plans to
secure off-take agreements and project financing to start
construction), estimated future production, anticipated
growth in the demand for cobalt, anticipated constraints on the
supply of cobalt and plans for the construction of an all-season
road needed for operations at the NICO Project. Forward-looking
information is based on the opinions and estimates of management as
well as certain assumptions at the date the information is given
(including, in respect of the forward-looking information contained
in this press release, assumptions regarding the Company's ability
to arrange the necessary financing to continue operations and
develop the NICO project, growth in the demand for cobalt,
restrictions on the supply of cobalt and the proposed construction
of the all-season road, the economic environment in which the
Company will operate in the future, including the price of gold,
cobalt and other by-product metals, anticipated costs and the
volumes of metals to be produced at the NICO Project). However,
such forward-looking information is subject to a variety of risks
and uncertainties and other factors that could cause actual events
or results to differ materially from those projected in the
forward-looking information. These factors include the risks that
the Company may not be able to finance and develop NICO on
favourable terms or at all, the market for rechargeable batteries
and the use of stationary storage cells may not grow to the extent
anticipated, the future supply of cobalt may not be as limited as
anticipated, the Company's production of cobalt and other metals
may be less than anticipated and other operational and development
risks, market risks and regulatory risks. Readers are cautioned to
not place undue reliance on forward-looking information because it
is possible that predictions, forecasts, projections and other
forms of forward-looking information will not be achieved by the
Company. The forward-looking information contained herein is made
as of the date hereof and the Company assumes no responsibility to
update or revise it to reflect new events or circumstances, except
as required by law.
SOURCE Fortune Minerals Limited
