Confederation Closes $50,000 Convertible Debenture Financing
Vancouver, British Columbia, Canada, / TheNewswire / April 14, 2016, Confederation Minerals Ltd. (TSX-V: CFM) ("Confederation" or the "Company") is pleased to announce that it has completed a non-brokered private placement (the "Offering") of $50,000 aggregate principal amount of unsecured convertible debentures (the "Debentures"). The Debentures will bear nil interest, mature on October 15, 2017 (the "Maturity Date") and are convertible, at the election of the holder, at any time between issuance and the Maturity Date. Each Debenture is convertible into units of the company (the "Units") at the market price on the date of conversion. If the conversion occurs one year after the date of issuance, then the conversion price will be based on the higher of: 1) $0.10 or 2) market price at the date of conversion.
Each Unit consists of one common share of the Company (the "Shares") and one common share purchase warrant (the "Warrants"). Each Warrant entitles the holder thereof to acquire an additional Share at a 50% premium to the conversion price. If the conversion occurs one year after the date of issuance, then the warrant conversion price will be set at a 50% premium to the conversion price which is based on the on the higher of: 1) $0.10 or 2) market price at the date of conversion. The Warrants are exercisable until April 15, 2019.
All securities issued in connection with the Offering are subject to a hold period expiring on August 15, 2016 in accordance with applicable securities legislation.
The proceeds from the Offering will be used for general working capital and corporate purposes.
On behalf of the Board of Directors,
"Lawrence Dick"
Lawrence A.Dick, Ph.D., P.Geo
President, CEO, and Director
CORPORATE INQUIRIES
Suite 1980, 1075 West Georgia Street
Vancouver, B.C.
604.688.9588
lawrence.dick@barongroupintl.com
www.confederationmineralsltd.com$M)
About CFM
Confederation Minerals Ltd. is a British Columbia based company engaged in the business of acquisition, exploration and development of mineral properties. Its objective is to locate and develop economic precious and base metals properties of merit. Confederation Minerals Ltd. owns 70% of the Newman Todd project in the Red Lake Mining District of Northern Ontario, as well as 100% ownership in another property in the Red Lake Mining District of Ontario.
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