CMC Metals Ltd.: Rollback and Corporate Update
Vancouver, B.C. / TheNewswire / February 10, 2016 - CMC Metals Ltd. (the "Company") wishes to announce that it will be proceeding with a rollback of its issued and outstanding common shares on a seven (7) old for one (1) new basis subject to TSX Venture Exchange (the "Exchange") approval, with an effective date of February 11, 2016. The Company received Shareholder approval to a consolidation at its Annual General Meeting held June 18, 2015, where, at that time, Shareholders granted authorization to the Board of Directors of the Company, at their discretion, the right to consolidate the Company's shares as they deemed fit and upon acceptancy of the Exchange.
Upon completion of the rollback, the Company will be conducting a private placement of up to 10,000,000 Units at $0.10 per Unit, each unit consisting of one common share and one transferable share purchase warrant. Two warrants will be exercisable for one additional common share at $0.12 per share for a two year period. The proceeds derived from the total 10,000,000 Unit placement will be used towards our ongoing costs associated with the further development of the Company's Bishop Mill and Radcliff Property projects held in the US. In excess of 50% of funds raised will come from insiders of the Company. A finder's fee may payable in relation to this private placement and the same is subject to Exchange approval.
The Company also wishes to announce an update on the Bishop Mill and Radcliff Mine projects. The Radcliff Mine is a fully permitted mine with ore stockpiled and waiting processing. The Company's initial plan was to ship ore to a local smelter but agreeable terms have not been achieved. The Company's plan is to make the Bishop Mill operational within the next 90 days and commence processing material from the Radcliff Mine.
To date, the Company has upgraded the mill to MSHA standards, installed an assay lab and a new lined tailings pond. To complete the mill, bird netting will be installed and a vadose zone well drilled. In addition, the Company has engaged Donald Wedman, P.Eng. to complete the remaining tasks and make the Bishop Mill operational to accept ore from the Radcliff Mine.
On behalf of the Board:
"Jack Bal"
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Jack Bal, President & CEO
For further information on the Company, please contact Mr. Jack Bal, CEO, Telephone: 604-306-5285 jackbalyvr@gmail.com.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
"This news release includes certain statements that constitute "forward-looking information" within the meaning of applicable securities law, including without limitation, statements that address the timing and content of upcoming work programs, geological interpretations, receipt of property titles and exploitation activities and developments. Forward-looking statements address future events and conditions and are necessarily based upon a number of estimates and assumptions. While such estimates and assumptions are considered reasonable by the management of the Company, they are inherently subject to significant business, economic, competitive and regulatory uncertainties and risks, including the ability of the Company to raise the funds necessary to fund its projects and, accordingly, may not occur as described herein or at all. Actual results may differ materially from those currently anticipated in such statements. Factors that could cause actual results to differ materially from those in forward looking statements include market prices, exploitation and exploration successes, the timing and receipt of government and regulatory approvals, and continued availability of capital and financing and general economic, market or business conditions. Readers are referred to the Company's filings with the Canadian securities regulators for information on these and other risk factors, available at www.sedar.com. Investors are cautioned that forward-looking statements are not guarantees of future performance or events and, accordingly are cautioned not to put undue reliance on forward-looking statements due to the inherent uncertainty of such statements. The forward-looking statements included in this news release are made as of the date hereof and the Company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as expressly required by applicable securities legislation."
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