/NOT FOR DISTRIBUTION TO U.S.
NEWSWIRE SERVICES OR DISSEMINATION IN THE
UNITED STATES/
VANCOUVER, BC, March 20,
2023 /CNW/ - Stuhini Exploration Ltd. (the
"Company" or "Stuhini") (TSXV: STU) (OTCPK: STXPF) is
pleased to announce that it has closed its non-brokered private
placement (the "Private Placement") previously announced on
February 23, 2023 and upsized on
March 2, 2023 and March 6, 2023 for gross proceeds to the Company
of $2,400,000. Mr. Eric Sprott, the Company's strategic investor,
subscribed for 2,500,000 units of the Company for gross proceeds of
$1,000,000.
Under the Private Placement, the Company has issued a total of
6,000,000 units of the Company ("Units") at a price of
$0.40 per Unit. Each Unit consists of
one common share (each a "Common Share") of the Company and
one half of one Common Share purchase warrant (each whole warrant,
a "Warrant"). Each whole Warrant is exercisable into one
Common Share at a price of $0.50 per
Common Share until March 17,
2025.
The net proceeds of the Private Placement will be used: (i) to
fund the final cash payment of $640,000 under the option agreement pursuant to
which the Company was granted a right to acquire a 100% interest in
the Ruby Creek Property; and (ii) for general exploration,
corporate and administrative expenses.
Mr. Eric Sprott through 2176423
Ontario Ltd., a corporation that is beneficially owned by him,
acquired 2,500,000 Units in the Offering for total consideration of
$1,000,000. Prior to the closing of
the Offering, Mr. Sprott beneficially owned or controlled 3,234,783
Shares and 217,391 Warrants, representing approximately 8.4% of the
outstanding Shares on a non-diluted basis and 8.9% of the
outstanding Shares on a partially-diluted basis. Subsequent to the
Offering, Mr. Sprott beneficially owns and controls 5,734,783
Shares and 1,467,391 Warrants, representing approximately 12.9% of
the outstanding Shares on a non-diluted basis and 15.7% of the
outstanding Shares on a partially diluted basis.
The Units were acquired for investment purposes. Mr. Sprott has
a long-term view of the investment and may acquire additional
securities of the Company including on the open market or through
private acquisitions or sell securities of the Company including on
the open market or through private dispositions in the future
depending on market conditions, reformulation of plans and/or other
factors that Mr. Sprott considers relevant from time to
time.
A copy of the applicable early warning report will
appear on the Company's profile on SEDAR and may also be
obtained by calling Mr. Sprott's office at (416) 945-3294
(200 Bay Street, Suite 2600, Royal Bank Plaza,
South Tower, Toronto, Ontario M5J 2J1).
In connection with the closing of the Private Placement, the
Company paid finders' fees in cash totalling $9,180.00 to Canaccord Genuity Corp., Haywood
Securities Inc. and Leede Jones Gable Inc. (collectively, the
"Finders"), representing 6% of the gross proceeds from the
sale of Units placed by the Finders, and issued to the Finders a
total of 22,950 non-transferable finder's warrants ("Finder's
Warrants"), representing 6% of the Units placed by such
Finders. Each Finder's Warrant entitles the holder thereof to
acquire one Common Share at a price of $0.50 per Common Share until March 17, 2025.
All securities issued pursuant to the Private Placement are
subject to a hold period of four months and one day expiring on
July 18, 2023. The Private Placement
is subject to final approval of the TSX Venture Exchange.
This news release does not constitute an offer to sell or a
solicitation of an offer to buy any of the securities in
the United States. The securities
have not been and will not be registered under the United States
Securities Act of 1933, as amended (the "U.S. Securities
Act") or any state securities laws and may not be offered or
sold within the United States or
to U.S. Persons unless registered under the U.S. Securities Act and
applicable state securities laws or an exemption from such
registration is available.
About Stuhini Exploration
Ltd.
Stuhini is a mineral exploration company focused on the
exploration and development of precious and base metals properties
in western Canada and southwestern
USA. The Company's portfolio of
exploration properties includes: its flagship, the Ruby Creek
Property located approximately 20 km east of Atlin, British Columbia; the Que Project
located approximately 70 km north of Johnson's Crossing in the
Yukon; the South Thompson Project
located approximately 35 km northwest of Grand Rapids, Manitoba; the Big Ledge Property
located approximately 57 km south of Revelstoke, British Columbia; and its new
portfolio of 4 properties in southeast Arizona.
FORWARD-LOOKING STATEMENTS
This news release contains "forward-looking statements" within
the meaning of Canadian securities legislation. Such
forward–looking statements concern, without limitation, the
intended use of proceeds of the Private Placement. Such
forward–looking statements or information are based on a number of
assumptions, any of which may prove to be incorrect. Assumptions
have been made regarding, among other things: conditions in general
economic and financial markets; timing and amount of capital
expenditures; favourable weather conditions including but not
limited to snow, rainfall and forest fires, and effects of
regulation by governmental agencies. The actual results could
differ materially from those anticipated in these forward–looking
statements as a result of risk factors including, but not limited
to: the availability of funds; the timing and content of work
programs; results of exploration activities of mineral properties;
the interpretation of drilling results and other geological data;
and general market and industry conditions. Forward–looking
statements are based on the expectations and opinions of the
Company's management on the date the statements are made. The
assumptions used in the preparation of such statements, although
considered reasonable at the time of preparation, may prove to be
imprecise and, as such, readers are cautioned not to place undue
reliance on these forward-looking statements, which speak only as
of the date the statements were made. The Company undertakes no
obligation to update or revise any forward-looking statements
included in this news release if these beliefs, estimates and
opinions or other circumstances should change, except as otherwise
required by applicable law.
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.
SOURCE Stuhini Exploration Ltd.
