TSX-V: CXO
VANCOUVER, Feb. 28, 2020 /CNW/ - Colorado Resources Ltd.
(TSXV: CXO) ("Colorado", or the "Company") is pleased to announce a
non-brokered private placement offering (the "Offering") of up to
8,333,333 Units at a price of $0.06
per Unit, and up to 20,000,000 flow-through common shares at a
price of $0.075 per flow-through
common share, for aggregate gross proceeds of approximately
C$2 million. Each Unit will consist
of one common share and one half of a common share purchase
warrant, with each whole warrant exercisable for 3 years at a price
of $0.12.
The net proceeds of the Offering will be used to fund
exploration activities as per Colorado's press release dated February 19, 2020, as well as for working capital
purposes. The closing of the Offering is anticipated to occur on or
before March 31, 2020 (the "Closing
Date") and is subject to certain conditions including, but not
limited to, the receipt of all necessary regulatory approvals,
including the acceptance of the TSX Venture Exchange. The
securities issued under the Offering will be subject to a statutory
hold period in Canada expiring
four months and one day from the Closing Date.
This news 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 U.S.
Persons unless registered under the U.S. Securities Act and
applicable state securities laws or an exemption from such
registration is available.
About Colorado
Colorado Resources Ltd. is
exploring high-grade gold and copper in the Golden Triangle and the
Toodoggone area of British
Columbia. The portfolio includes the flagship Castle
property, a porphyry copper-gold project located in the Red Chris
mining district of the Golden Triangle neighbouring GT Gold's
Tatogga property. Other properties include the KSP, North ROK,
Kingpin, Heart Peaks and Sofia
properties in British Columbia.
These assets are being advanced by a newly assembled technical and
management team with experience in exploration, permitting and
discovery.
On behalf of the Board of Directors of Colorado Resources
Ltd.
"Joseph Mullin"
Joseph
Mullin
Chief Executive Officer and Director
Cautionary Statement Regarding Forward-Looking
Information
All statements, trend analysis and other
information contained in this press release about anticipated
future events or results constitute forward-looking statements.
Forward-looking statements are often, but not always, identified by
the use of words such as "seek", "anticipate", "believe", "plan",
"estimate", "expect" and "intend" and statements that an event or
result "may", "will", "should", "could" or "might" occur or be
achieved and other similar expressions. All statements, other than
statements of historical fact, included herein, including, without
limitation, are forward-looking statements. Although Colorado (the "Company") believe that the
expectations reflected in such forward-looking statements and/or
information are reasonable, undue reliance should not be placed on
forward-looking statements since the Company can give no assurance
that such expectations will prove to be correct. These statements
involve known and unknown risks, uncertainties and other factors
that may cause actual results or events to differ materially from
those anticipated in such forward-looking statements, including the
risks, uncertainties and other factors identified in the Companies'
periodic filings with Canadian securities regulators. Important
factors that could cause actual results to differ materially from
Colorado expectations include
risks associated with the business of Colorado; risks related to exploration and
potential development of Colorado's projects; business and economic
conditions in the mining industry generally; fluctuations in
commodity prices and currency exchange rates; uncertainties
relating to interpretation of drill results and the geology,
continuity and grade of mineral deposits; the need for cooperation
of government agencies and native groups in the exploration and
development of properties and the issuance of required permits; the
need to obtain additional financing to develop properties and
uncertainty as to the availability and terms of future financing;
the possibility of delay in exploration or development programs and
uncertainty of meeting anticipated program milestones; uncertainty
as to timely availability of permits and other governmental
approvals; and other risk factors as detailed from time to time and
additional risks identified in Colorado's filings with Canadian securities
regulators on SEDAR in Canada
(available at www.sedar.com). Forward-looking statements are based
on estimates and opinions of management at the date the statements
are made. Colorado does not
undertake any obligation to update forward-looking statements
except as required by applicable securities laws. Investors should
not place undue reliance on forward-looking statements.
SOURCE Colorado Resources Ltd.