Toronto, ON / ACCESSWIRE - July 7, 2021 - Strike Copper Corp. (“SCC” or the “Company”) is pleased to announce that it has closed two strategic, non-brokered private placement financings (the “Financings”) with Crescat Capital LLC (“Crescat”). The first investment closed on or about June 14, 2021 at $.10 per share and the second closed on or about July 2, 2021 at $.20 per share. Altogether, Crescat has invested $300,000 representing a 12.3% ownership position (post-investment) in the Company. Crescat also has the option to participate in future financings to maintain their interest level in the Company for three (3) years from the date of closing.
Each private placement financing consisted of 1,000,000 Units (the “Units”) of the Company for gross proceeds of $300,000. Each Unit consists of one common share and one share purchase warrant (the “Warrant”). Each of the first placement Unit Warrants entitles Crescat to purchase one additional common share, up to a total of 1,000,000 at an exercise price of $.15 per share. Each of the second placement Unit Warrants entitles Crescat to purchase one additional common share, up to a total of 1,000,000 at an exercise price of $.25 per share. All warrants will expire three years from the date of issue and are subject to an acceleration clause. The net proceeds of the financing will be used to advance exploration on SCC’s Sungold property project in Northwestern Ontario and for general working capital.
Charles Elbourne, Director, President and CEO of SCC, stated, “We are excited to welcome Crescat Capital as a strategic investor. Being selected by Crescat as a significant investor in SCC validates management's belief in the potential of the Company’s Sungold property and our shared confidence in the long-term upward direction of the copper market. Crescat is known as an active investor with a proven track record of financial and technical strength. We are confident that their assistance will help unlock the full potential of our property assets and in the process build value for all our shareholders. The Company is now well-positioned from a capital perspective to move forward with our 43-101 recommended Phase I exploration and drilling program.”
Kevin Smith, founder and CIO of Crescat Capital, remarked. “We are excited about the opportunity to help unlock substantial value at Strike Copper by providing capital for exploration at its Sungold project. The company has acquired a large property package – 5,800 hectares – with potential for a sizable and economic copper and gold system. We are eager to see the team focus its efforts on the IOCG mineralization at Hamlin Lake which is open to depth.”
Quinton Hennigh, Crescat’s Geologic and Technical Advisor, commented, “I am excited about the opportunity of working with SCC’s exploration team to develop its Phase I drill program at the Sungold property. Although right in the heart of a classic Abitibi greenstone belt, this project shows indications it is host to a somewhat unusual gold-copper system for this region, perhaps one of IOCG affinity. Historic drilling in an area immediately adjacent to the project yielded long intercepts of Au-Cu mineralization. Crescat is delighted to hold a significant stake in an early stage, exciting opportunity such as this.”
About Crescat Capital LLC
Crescat is a global macro asset management firm founded in 1994 by Kevin Smith, CFA, headquartered in Denver, Colorado. Crescat's mission is to grow and protect wealth over the long term by deploying tactical investment themes based on proprietary value-driven equity and macro models. Crescat's goal is industry-leading absolute and risk-adjusted returns over complete business cycles with low correlation to standard benchmarks. The Company's investment process involves a mix of asset classes and strategies to assist with each client's unique needs and objectives and includes Global Macro, Long/Short, Large Cap and Precious Metals funds. Crescat is advised by its technical consultant, Dr. Quinton Hennigh, on investments in gold and silver resource companies. Dr. Hennigh obtained his Ph.D. in Geology/Geochemistry from the Colorado School of Mines and has more than 30 years of exploration experience with major gold mining firms.
About Strike Copper Corp.
Strike Copper Corp. (“SCC”) is a junior mineral exploration company currently focused on defining and monetizing the resource potential of its Sungold property in the historic Shebandowan Greenstone Belt just 85 km west of Thunder Bay in Northwestern Ontario. The 15,000-plus acre Sungold property is adjacent to a 43-101 proven 3.2 million Au resource held by Goldshore Resources Inc. (“Goldshore”). The property also includes the massive sulphide Wye Lake occurrence and the southeast extension of Goldshore’s Hamlin IOCG (iron oxide-copper-gold-uranium) deposit, which has the potential for Ni-Cu-PGE and Porphyry Cu mineralization. SCC is a related party to Interbanc Capital Corp., Tashota Resources Inc. and Trojan Gold Inc. due to having directors-in-common. For further information on the Company, visit www.strikecoppercorp.com
ON BEHALF OF THE BOARD,
Charles J. Elbourne,
President & CEO
For further information, please contact:
Charles J. Elbourne, President & CEO,
Strike Copper Corp.
82 Richmond St. E. Suite 401
Toronto, ON M5C 1P1
Cautionary Note Regarding Forward-Looking Statements and Information
This release contains "forward-looking statements" within the meaning of applicable Canadian securities legislation. Forward-looking statements include, but are not limited to, statements regarding the impact and implications of drill results of the Company; the timing and amount of estimated future exploration and success of such exploration activities; and the anticipated results of the Company's plan to develop and implement a drill program at its Sungold project. Generally, forward-looking statements can be identified by the use of forward-looking terminology such as "plans", "expects" or "does not expect", "is expected", "budget", "schedule", "estimates", "forecasts", "intends", "continue", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or statements that certain actions, events or results "may", "could", "would", "will", "might" or "will be taken", "occur" or "be achieved". Forward-looking statements are made based upon certain assumptions and other important facts that, if untrue, could cause the actual results, performance or achievements of the Company to be materially different from future results, performances or achievements expressed or implied by such statements. Such statements and information are based on numerous assumptions regarding present and future business strategies and the environment in which the Company will operate in the future. Certain important factors that could cause actual results, performances or achievements to differ materially from those in the forward-looking statements include, amongst others, currency fluctuations, the global economic climate, dilution, share price volatility and competition. Forward-looking statements are subject to known and unknown risks, uncertainties and other important factors that may cause the actual results, level of activity, performance or achievements of the Company to be materially different from those expressed or implied by such forward-looking statements, including but not limited to: the impact the COVID 19 pandemic may have on the Company's activities and the economy in general; the impact of the recovery post COVID 19 pandemic and its impact on precious metals; there being no assurance that the exploration program will result in expanded mineral resources; risks and uncertainties inherent to any mineral resource estimates; receipt of necessary approvals; general business, economic, competitive, political and social uncertainties; future gold and other metal prices; accidents, labour disputes and shortages; environmental and other risks of the mining industry. Although the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements. The Company does not undertake to update any forward-looking statements, except in accordance with applicable securities laws.
In presenting this information, SCC is not making an offer to sell nor soliciting an offer to buy any securities, certifying the completeness or accuracy of this information, or assuming that the recipient is qualified to consider this opportunity. Accordingly, this document does not and is not intended to comply in any manner with any United States or Canadian securities or disclosure laws or requirements. Prior to making or soliciting any such offer, the Company will provide access to such information and will comply with the requirements of applicable securities laws.
SOURCE: Strike Capital Corp.