Montreal, Québec, Canada, March 16, 2022 – MONARCH MINING CORPORATION (“Monarch” or the “Corporation”) (TSX: GBAR) (OTCQX: GBARF) is pleased to announce that it has entered into an agreement with Stifel GMP and Sprott Capital Partners LP, as co-lead agents and joint bookrunners (the “Co-Lead Agents”) on behalf of a syndicate of Agents (together with the Co-Lead Agents, the “Agents”), in connection with a proposed best efforts private placement marketed offering of units of the Company (the “Units”) for aggregate gross proceeds to the Company of up to approximately C$10 million at a price C$0.60 per Unit (the “Offering”).
Each Unit will consist of one common share in the capital of the Company (a “Common Share”) and one transferable common share purchase warrant (a “Warrant”) of the Company. Each Warrant shall entitle the holder thereof to acquire one common share in the capital of the Company (each, a “Warrant Share”) at a price of C$0.95 per Warrant Share, until the date which is 5 years following the Closing Date.
The Company will grant the Agents an option (the “Agents’ Option”) to increase the size of the Offering by up to an additional 20% of the Units sold under the Offering, exercisable in whole or in part, at any time and from time to time up to 48 hours prior to the Closing Date.
The net proceeds of the Offering will used by the Company to fund development expenditures at the Beaufor Mine and Beacon Mill, and for general corporate purposes including working capital.
The Offering is scheduled to close on or about April 6, 2022 (the “Closing Date”) and is subject to certain conditions including, but not limited to, the receipt of all necessary regulatory and other approvals including the approval of the TSX.
This press 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 or for the account or benefit of a U.S. person (as defined in Regulation S under the U.S. Securities Act) unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.
Monarch Mining Corporation (TSX: GBAR) (OTCQX: GBARF) is a fully integrated mining company that owns four projects, including the Beaufor Mine, which has produced more than 1 million ounces of gold over the last 30 years. Other assets include the Croinor Gold, McKenzie Break and Swanson properties, all located near Monarch’s wholly owned 750 tpd Beacon Mill. Monarch owns 29,504 hectares (295 km2) of mining assets in the prolific Abitibi mining camp that host a combined measured and indicated gold resource of 478,982 ounces and a combined inferred resource of 383,393 ounces.
The forward-looking statements in this press release involve known and unknown risks, uncertainties and other factors that may cause Monarch’s actual results, performance and achievements to be materially different from the results, performance or achievements expressed or implied therein. Neither TSX nor its Regulation Services Provider (as that term is defined in the policies of the TSX) accepts responsibility for the adequacy or accuracy of this press release.