Vancouver, British Columbia--(Newsfile Corp. - July 22, 2022) - Prime Meridian Resources Corp. (TSXV: PMR) ("PMR'' or the "Company") announces a non-brokered private placement offering of units at 5 cents per unit for gross proceeds of up to $1.5 million, consisting of:
- Up to 30,000,000 units priced at $0.05 per unit
- Each unit includes one common share and one common share purchase warrant
- Each common share purchase warrant is exercisable @ $0.10 for a period of 3 years
- The Company may pay finders fees on the proceeds of the Private Placement
- All securities issued will be subject to a statutory four-month hold period
The Company has the right to accelerate the exercise period on the warrants if, after the expiry of the 4-month hold, the common shares of the Company close at or above $0.50 for a period of 10 consecutive trading days.
The net proceeds from the Private Placement will be used as follows:
- $265,000 for phase 1 exploration and drilling of the copper skarns at the La Verde Copper Project
- $210,000 for phase 2 exploration and drilling of the copper porphyry target at the La Verde Copper Project
- Option and property payments on the La Verde Copper Project and general working capital
La Verde Copper Project
The La Verde Copper Project comprises nine mineral concessions covering 2,493 hectares and includes the previously producing La Verde Grande Mine which was the subject of historical copper and silver production between 1903 and 1981. The Project also contains multiple skarn-style targets identified within an area of 12 square kilometres surrounding the La Verde Grande Mine.
The La Verde Project also has the potential to host a copper porphyry system based on historical drilling and surface exploration work. The most recent porphyry drilling was conducted in 2000, when 8 diamond drillholes tested several coincident geochemical and geophysical anomalies. The drilling encountered weak sericite and silica alteration which was pyrite dominant and contained anomalous values of copper and molybdenum northeast of the La Verde Grande Mine. The Company intends to advance the copper porphyry exploration toward the La Verde Grande Mine area to test if the copper core of the porphyry system is proximal to the skarn-style copper mineralization in that area of the Project.
The company's plan is to fast-track the exploration and development of the known Cu-Zn-Ag-Au skarn zones, while evaluating, in parallel, the significant opportunity for the discovery of copper porphyry mineralization proximal to those skarn zones.
The Company has also granted 6.5 million stock options to directors, officers, consultants and advisors of the company. The options have an exercise price of 15 cents per share, expire five years from the date of grant and are subject to TSX Venture Exchange approval.
Qualified person
The technical contents of this release were approved by Case Lewis, PGeo, a qualified person as defined by National Instrument 43-101.
On behalf of the Board of Directors of
Prime Meridian Resources Corp.
"Brian Leeners"
Brian Leeners, CEO & Director
ir@primemeridianresources.com
The TSX Venture Exchange has in no way passed upon the merits of the proposed transaction and has neither approved or disapproved the contents of this press release.
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