VANCOUVER, Feb. 14, 2018 /CNW/ - Blue Moon Zinc Corp. (TSXV:
MOON; US OTC: BMOOF) (the "Company") announces the Company
has closed a non-brokered private placement of $520,000 at a price of $0.10 per unit (the "Unit") with each Unit
consisting of one common share and one common share purchase
warrant (a "Warrant"). Each warrant shall entitle the holder
thereof to acquire one common share at a price of $0.15 per share for a period of 24 months.
Officers and directors purchased 27% of the financing. All common
shares issued are subject to a hold period expiring four months and
one day from closing in accordance with applicable securities laws.
A finder's fee of $5,500 was paid in
connection with the financing.
Patrick McGrath, Chief Executive
officer, stated, "The proceeds will be used to advance the
Company's wholly-owned Blue Moon zinc project including finalizing
the drill permit for the anticipated drill program and general
working capital and continued marketing efforts."
In the event the closing price of the Company's common shares
exceeds $0.22 per share for ten
consecutive trading days, the Company may accelerate the date of
the Warrants by giving notice to the holders thereof and in such
case the Warrants will expire on the 30th day after the
day on which such notice is given by the Company.
The Company also granted 200,000 stock options to consultants,
each option being exercisable for a five-year term at a price of
$0.11 per common share. The options
are governed by the terms and conditions of the Company's stock
option plan.
About Blue Moon
The Company owns 100% of the Blue Moon polymetallic zinc deposit
with significant credits of copper, silver and gold. The deposit is
open at depth and along strike and historical metallurgical testing
indicates excellent recovery and a clean zinc concentrate. A NI
43-101 report detailing the resource and summarizing metallurgical
recoveries is available on the company's website
(www.bluemoonmining.com) and filed on SEDAR on November 13, 2017. The Company plans to advance
the Blue Moon project through to feasibility, permitting and
ultimately production.
Neither the 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. Resource estimates included in
this news release are forward-looking statements. Although the
Company believes the expectations expressed in such forward-looking
statements are based on reasonable assumptions set forth in the
relevant technical report and otherwise, such statements are not
guarantees of future performance and actual results or developments
may differ materially from those in the forward-looking statements.
Factors that could cause actual results to differ materially from
those in forward-looking statements include market prices for zinc,
the results of future exploration, uncertainties related to the
ability to obtain necessary permits, licenses and titles, changes
in government policies regarding mining, continued
availability of capital and financing, and general economic, market
or business conditions. Investors are cautioned that any such
statements are not guarantees of future performance and actual
results or developments may differ materially from those projected
in the forward-looking statements. Readers are cautioned not to
place undue reliance on this forward-looking information, which is
given as of the date it is expressed in this press release, and the
Company undertakes no obligation to update publicly or revise any
forward-looking information, whether as a result of new
information, future events or otherwise, except as required by
applicable securities laws.
The securities referenced in this news release have not and
will not be registered under the U.S. Securities Act of 1933 and
may not be offered or sold in the United
States absent registration or an applicable exemption from
registration requirements.
SOURCE Blue Moon Zinc Corp.
