MTB Metals Corp., a mining company based in Vancouver, British Columbia, has successfully raised $1.1 million for its exploration activities on the Telegraph Copper-Gold Project in the Golden Triangle of British Columbia. The funds were obtained through non-brokered private placements for both Flow Through and Non-Flow Through Units.
The company raised a total of $992,502 from the sale of 5,513,900 Flow Through Units. Each Flow Through Unit consists of one common share of the company and one-half of one common share purchase warrant. The price of each Flow Through Unit was set at $0.18, and the accompanying warrant allows the holder to purchase one common share at a price of $0.25 within a 24-month period.
Meanwhile, MTB also closed a non-brokered private placement of 800,000 units at $0.16 per unit, generating gross proceeds of $128,000. Each unit comprises one common share and one common share purchase warrant. The warrant entitles the holder to purchase one common share of the company at a price of $0.18 within a 24-month period.
The proceeds from the issuance of the Flow Through Units will primarily be used for resource exploration expenses that qualify as Canadian exploration expenses and flow-through mining expenditures. The company will renounce these qualifying expenditures by December 31, 2023, ensuring that the purchasers of the Flow Through Units receive the tax benefits associated with their investment.
Lawrence Roulston, CEO of MTB Metals Corp., expressed his satisfaction with the financing, stating that it will enable the expansion of the drill program at the Telegraph Project. The focus of the program will remain on the Dok Trend, where initial drill results have been promising, with sulphide mineralization found in drill holes that are 2.5 kilometers apart. Additionally, further geological work will be carried out on the Strata Trend and the Yeti Trend, both of which have the potential for additional porphyry mineralized centers.
Insiders also participated in the private placements, with a total of $164,080 invested. These placements constitute related party transactions, but the company has followed the necessary regulations and obtained exemptions from the formal valuation and minority shareholder approval requirements.
It is worth noting that the securities offered in these placements have not been registered under the United States Securities Act of 1933, and are therefore not available for sale in the United States or to U.S. persons, except in cases of exemption.
MTB Metals Corp. currently has six active projects covering 670 square kilometers in the Golden Triangle of northern British Columbia. While the company is focusing its efforts on the Telegraph Project, discussions are underway regarding potential joint ventures and spinouts of its other projects.
This news release contains forward-looking statements that involve risks, uncertainties, and other factors, which may cause the actual results to differ materially from the future results expressed or implied by these statements. The company disclaims any intention or obligation to update these forward-looking statements, except as required by applicable securities laws.
