/THIS NEWS RELEASE IS INTENDED FOR DISTRIBUTION
IN CANADA ONLY AND IS NOT INTENDED
FOR DISTRIBUTION TO UNITED STATES
NEWSWIRE SERVICES OR DISSEMINATION IN THE
UNITED STATES/
All monetary amounts are expressed in Canadian
Dollars, unless otherwise indicated.
VANCOUVER, BC, May 11, 2021 /CNW/ - Scottie Resources Corp.
(TSXV: SCOT) ("Scottie" or the "Company") is pleased to announce
that it has entered into an agreement with Stifel GMP, pursuant to
which Stifel GMP will purchase, on a "bought deal" private
placement basis, 20,000,000 flow-through common shares of the
Company (the "Charitable FT Shares") at a price of C$0.27 per Charitable FT Share (the "Offering
Price") for aggregate gross proceeds to the Company of C$5,400,000 (the "Offering"). The Company has
agreed to grant the Underwriters an over-allotment option to
purchase up to an additional 5,000,000 Charitable FT Shares at the
Offering Price exercisable in whole or in part, at any time and
from time to time on or prior to the date that is 48 hours prior to
the Closing Date (as defined below).
Each Charitable FT Share shall consist of one common share of
the Company which will qualify as a "flow-through share" (within
the meaning of subsection 66(15) of the Income Tax Act
(Canada) and will be sold on a
charitable flow-through basis.
The gross proceeds received by the Company from the sale of the
Charitable FT Shares will be used to incur eligible "Canadian
exploration expenses" that qualify as "flow-through mining
expenditures" as both terms are defined in the Income Tax
Act (Canada) (the "Qualifying
Expenditures") related to the Company's projects in British Columbia. The Qualifying Expenditures
will be renounced in favour of the subscribers with an effective
date no later than December 31,
2021.
The Offering is scheduled to close on or about June 1, 2021 and is subject to certain conditions
including, but not limited to, the receipt of all necessary
approvals including the approval of the TSX Venture Exchange and
the securities regulatory authorities.
This press release shall not constitute an offer to sell or
the solicitation of an offer to buy nor shall there be any sale of
the securities in any state in which such offer, solicitation or
sale would be unlawful. The securities being offered have not been,
nor will they be, registered under the United States Securities Act
of 1933, as amended (the "1933 Act") and may not be offered or sold
in the United States absent
registration or an applicable exemption from the registration
requirements of the 1933 Act, as amended, and application state
securities laws.
ABOUT SCOTTIE RESOURCES CORP.
Scottie owns a 100% interest in the high-grade, past-producing
Scottie Gold Mine and Bow properties and has the option to purchase
a 100% interest in Summit Lake
claims which are contiguous with the Scottie Gold Mine property.
Scottie also owns 100% interest in the Cambria Project properties
and the Sulu property. Scottie holds more than 25,000 hectares of
mineral claims in the Golden Triangle.
Scottie's focus is on expanding the known mineralization around
the past-producing mine while advancing near mine high-grade gold
targets, with the purpose of delivering a potential resource. All
of Scottie's properties are located in the area known as the Golden
Triangle of British Columbia which
is among the world's most prolific mineralized districts.
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.
This news release includes forward-looking statements that
are subject to risks and uncertainties. All statements within,
other than statements of historical fact, are to be considered
forward looking, including, but not limited to, statements relating
to the timing of completion of the Offering and receipt of all
required regulatory approvals. Although Scottie believes the
expectations expressed in such forward-looking statements are based
on reasonable assumptions, such statements are not guarantees of
future performance and actual results or developments may differ
materially from those in forward-looking statements. Factors that
could cause actual results to differ materially from those in
forward-looking statements include market prices, exploitation and
exploration successes, continued availability of capital and
financing, changes to the Income Tax Act (Canada) or administrative changes to the
application thereof in respect of flow-through mining expenditures
and general economic, market or business conditions and regulatory,
shareholder and administrative approvals, processes and filing
requirements. There can be no assurances that such statements will
prove accurate and, therefore, readers are advised to rely on their
own evaluation of such uncertainties. We do not assume any
obligation to update any forward-looking statements except as
required under applicable laws.
SOURCE Scottie Resources Corp.