Brixton Metals Closes $1.5M for Drilling Its Silver-Cobalt Project in Ontario
VANCOUVER, BC--(Marketwired - December 07, 2017) - Brixton Metals Corp. (TSX VENTURE: BBB) (the "Company" or "Brixton") is pleased to announce that it has closed a Flow-Through ("FT") financing by issuing 6,313,000 FT shares at a price of $0.25 per FT share for gross proceeds of $1,578,250. Certain finders' commissions payable are comprised of a cash fee in the aggregate of $108,937.50 and an aggregate of 435,750 finder's warrants in connection with the financing. Each finder's warrant is exercisable to acquire one common share of the Company at a price of $0.25 for a period of 24 months from the closing of the FT share financing. Insiders subscribed for $22,000 of the financing.
Proceeds from the FT financing shall be used for exploration on the Company's wholly owned silver-cobalt properties in the Cobalt Camp of Ontario, Canada.
The FT shares will be "flow-through" shares pursuant to the Income Tax Act (Canada). All securities issued under the FT financing, including the securities issuable on exercise thereof, are subject to a hold period expiring four months and one day from the closing date.
- Historically the Langis Mine produced 0.36M pounds of cobalt and 10.4Moz silver
- Historically the Hudson Bay Mine produced 0.186M pounds of cobalt and 6.4Moz of silver
- Assays from 4 samples in 2017 returned 10 to 16 percent cobalt and 2 to 18 percent silver as disclosed in Brixton's News Release dated August 17, 2017
- Past production was focused on high grade silver veins and the high-cobalt low-silver veins that were encountered underground and were not mined in many areas of the Langis mine
- The project has excellent local infrastructure; year round road access, close proximity to power, railway, gas €pipeline, small scale mills, a refinery and assay lab
- Drilling will focus on testing both high grade cobalt and silver targets
Chairman and CEO of Brixton, Gary R. Thompson stated, "We are excited to get drilling on our Langis and Hudson Bay projects. We understand that the underground miners were chasing 100 oz/t silver veins and when they encountered the high-grade cobalt veins with less than 5 oz/t silver they generally moved on in search of high-grade silver veins. We see significant upside potential in the area for two vein types, high-grade cobalt with low silver and high-grade cobalt with high silver tenor."
About the Langis and Hudson Bay Silver - Cobalt Project
Brixton's wholly owned Langis and Hudson Bay past producing mines are located 500km north from Toronto, Ontario, Canada. The cobalt-silver mineralization occurs as steeply-moderately and in some cases shallow dipping veins within any of the three main rock types; Archean volcanics, Coleman Member sediments and Nipissing diabase. The Cobalt camp historically produced over 500 million ounces of silver and 50 million pounds of cobalt. The Langis mine produced 10.4Moz of silver at 25 oz/t Ag and 358,340 pounds of cobalt and the Hudson Bay mine produced 6.4 Moz of silver at 123 oz/t Ag and 185,570 pounds of cobalt. Historically, the Cobalt Camp produced 50M pounds of cobalt as a by-product of 500M oz of silver production.
Mr. Sorin Posescu, P.Geo., is a Qualified Person as defined under National Instrument 43-101 standards and has reviewed and approved this news release.
About Brixton Metals Corporation
Brixton Metals Corp. is a gold-silver exploration & developing company focused in Canada and USA. Brixton wholly owns 4 projects. The advanced stage Hog Heaven silver-gold-copper project in NW Montana, USA is a past producer of direct ship ore. Two district scale gold projects, "Thorn (Golden Triangle)" and "Atlin" in British Columbia, Canada and lastly, two past producing high-grade silver-cobalt mines, the Langis and Hudson Bay projects, are brownfield projects with excellent infrastructure and are located in Ontario, Canada. The Company is actively seeking JV partners to advance one or more of its projects.
Brixton Metals Corp. shares trade on the TSX-V under the ticker symbol BBB. For more information about Brixton please visit our website at www.brixtonmetals.com.
On Behalf of the Board of Directors:
Mr. Gary R. Thompson, Chairman and CEO
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.
Information set forth in this news release may involve forward-looking statements under applicable securities laws. Forward-looking statements are statements that relate to future, not past, events. In this context, forward-looking statements often address expected future business and financial performance, and often contain words such as "anticipate", "believe", "plan", "estimate", "expect", and "intend", statements that an action or event "may", "might", "could", "should", or "will" be taken or occur, including statements that address potential quantity and/or grade of minerals, potential size and expansion of a mineralized zone, proposed timing of exploration and development plans, or other similar expressions. All statements, other than statements of historical fact included herein including, without limitation, statements regarding the completion of the acquisition, the anticipated closing of the acquisition, TSXV approval, and the exploration potential of the property based on resources estimates and forward looking statements. By their nature, forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause our actual results, performance or achievements, or other future events, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Such factors include, among others, the following risks: the need for additional financing; operational risks associated with mineral exploration; fluctuations in commodity prices; title matters; and the additional risks identified in the annual information form of the Company or other reports and filings with the TSXV and applicable Canadian securities regulators. Forward-looking statements are made based on management's beliefs, estimates and opinions on the date that statements are made and the Company undertakes no obligation to update forward-looking statements if these beliefs, estimates and opinions or other circumstances should change, except as required by applicable securities laws. Investors are cautioned against attributing undue certainty to forward-looking statements.
Mr. Gary R. Thompson
Chairman and CEO
For Investor Relations: