TSX-V: CXO
VANCOUVER, March 18, 2020 /CNW/ - Colorado Resources Ltd.
(TSXV: CXO) ("Colorado", or the "Company") announces today that
it has commitments for its financing which was announced on
February 28, 2020 under the following
revised terms. The non-brokered private placement offering,
announced on February 28, 2020, (the
"Offering") will consist of 6,929,667 Units at a price of
$0.06 per Unit, and 15,793,000
flow-through common shares at a price of $0.075 per flow-through common share, for
aggregate gross proceeds of approximately C$1,600,255. 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 $0.09. The Offering is expected to close on
or around March 31, 2020. Directors
of the Company will be subscribing for 1,666,667 Units in the
financing, and are also expected to make additional open market
purchases of shares in the coming weeks.
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.
Colorado's Chief Financial
Officer (CFO) Eric Casey has
resigned effective March 31, 2020, to
pursue other opportunities. Mr. Casey has agreed to assist in a
smooth transition to a new CFO upon appointment.
Joseph Mullin, Colorado CEO
comments "on behalf of Colorado
and the Board, I would like to thank Eric for his contributions to
the Company, in particular during the Colorado transaction with Buckingham Copper
Corp. We wish Eric well in his future endeavors."
The Company has begun a search for a new Chief Financial
Officer.
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
The TSX Venture Exchange has not reviewed and does not accept
responsibility for the adequacy or accuracy of this
release.
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.
