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Trading Symbol: ELR (TSX); EPS (JSE)
VANCOUVER, BC, June 29, 2020 /CNW/ - Eastern Platinum
Limited ("Eastplats" or the "Company") is pleased to
announce the closing of the Company's previously announced
settlement transaction with AlphaGlobal Capital Inc.
("AlphaGlobal") (Press Release of June 26, 2020) pursuant to which AlphaGlobal has
discontinued all claims by AlphaGlobal against the Company
and its subsidiaries and released the Company from any and all
claims that AlphaGlobal may have against the Company or its
subsidiaries, in exchange for which the Company has: (a) issued
8,000,000 common shares of the Company (the "Common Shares")
at a deemed subscription price of $0.235
CDN (CDN$1,880,000), and
6,000,000 common share purchase warrants to a nominee of
AlphaGlobal (the "Warrants"), with each such Warrant
entitling the holder to acquire one Common Share of the Company
(each a "Warrant Share") for a period of two years upon
payment of the exercise price of $0.24
CDN; (b) made a payment of 5,000,000 South African Rand
("ZAR"); and (c) has issued a promissory note in favour of
AlphaGlobal for the payment of ZAR4,000,000 in four equal
installments, each payable on September 30, 2020, December 31,
2020, March 31, 2021 and June 30, 2021.
The Common Shares, the Warrants and the Warrant Shares issuable
upon exercise of the Warrants will be subject to a hold period
until October 27, 2020 in accordance
with applicable securities laws.
About Eastern Platinum Limited
Eastplats owns directly and indirectly a number of platinum
group metals ("PGM") and chrome assets in the Republic of
South Africa. All of the Company's
properties are situated on the western and eastern limbs of the
Bushveld Complex, the geological environment that hosts
approximately 80% of the world's PGM-bearing ore.
Operations at the Crocodile River mine currently include
re-mining and processing its tailings resource, with an offtake of
the chrome concentrate from the Barplats Zandfontein UG2 tailings
facility ("Retreatment Project").
Cautionary Statement Regarding Forward-Looking
Information
This press release contains "forward-looking statements" or
"forward-looking information" (collectively referred to herein as
"forward-looking statements") within the meaning of
applicable securities legislation. Such forward-looking
statements include, without limitation, forecasts, estimates,
expectations and objectives for future operations that are subject
to a number of assumptions, risks and uncertainties, many of which
are beyond the control of the Company. Forward-looking
statements are statements that are not historical facts and are
generally, but not always, identified by the words "will", "plan",
"intends", "may", "will", "could", "expects", "anticipates" and
similar expressions. Further disclosure of the risks and
uncertainties facing the Company and other forward-looking
statements are discussed in the Company's most recent Annual
Information Form available under the Company's profile on
www.sedar.com.
In particular, this press release contains forward-looking
statements pertaining to: timing of the issuance of the Warrant
Shares issuable upon exercise of the Warrants. These
forward-looking statements are based on assumptions made by and
information currently available to the Company. Although
management considers these assumptions to be reasonable based on
information currently available to it, they may prove to be
incorrect. By their very nature, forward-looking statements
involve inherent risks and uncertainties and readers are cautioned
not to place undue reliance on these statements as a number of
factors could cause actual results to differ materially from the
beliefs, plans, objectives, expectations, estimates and intentions
expressed in such forward-looking statements. These factors
include, but are not limited to, unanticipated problems that may
arise in our production processes, commodity prices, lower than
expected grades and quantities of resources, need for additional
funding and availability of such additional funding on acceptable
terms, economic conditions, currency fluctuations, competition and
regulations, legal proceedings and risks related to operations in
foreign countries.
All forward-looking statements in this press release are
expressly qualified in their entirety by this cautionary statement,
the "Cautionary Statement on Forward-Looking Information"
section contained in the Company's most recent Management's
Discussion and Analysis available under the Company's profile on
www.sedar.com. The forward-looking statements in this press
release are made as of the date they are given and, except as
required by applicable securities laws, the Company disclaims any
intention or obligation, and does not undertake, to update or
revise any forward-looking statements, whether as a result of new
information, future events or otherwise.
No stock exchange, securities commission or other
regulatory authority has approved or disapproved the information
contained herein.
SOURCE Eastern Platinum Limited
