TORONTO, ONTARIO -- (Marketwired) -- 09/16/16 -- Newstrike Resources Ltd. (TSX VENTURE: NR) ("Newstrike" or the "Company") is pleased to announce that it has arranged and proposes to complete a non-brokered private placement (the "Offering") of 20,000,000 units ("Units") at a price of $0.05 per Unit to raise aggregate gross proceeds of $1,000,000. Each Unit will consist of one common share of the Company and one share purchase warrant (a "Warrant"). Each Warrant will entitle the holder thereof to acquire one additional common share of Newstrike at $0.075 for a period of five years following the closing date of the Offering (the "Closing Date"), provided that if at any time following the date which is four months and one day after the Closing Date, the volume weighted average price of the common shares of the Company on the TSX Venture Exchange or other stock exchange where the majority of trading volume occurs is equal to or exceeds $0.20 for 10 consecutive trading days, the Company may disseminate a press release accelerating such expiry date and the Warrants will thereafter expire on the 30th day following the dissemination of such press release. Insiders of the Company may subscribe for up to 25% of the Offering.
Statements in this release that are forward-looking statements are subject to various risks and uncertainties, certain of which are beyond the control of the Company including, but not limited to, dependence upon regulatory approvals, the uncertainty of obtaining financing and exploration risk. Readers should also refer to the specific factors disclosed under the heading "Risk Factors" in the Company's filings with Canadian securities regulators. Such information contained herein represents management's best judgment as of the date hereof based on information currently available. The Company does not assume any obligation to update any forward-looking statements, save and except as may be required by applicable securities laws.
Neither 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.
Contacts:
Newstrike Resources Ltd.
Scott Kelly
President and CEO
416 504-4173
skelly@newstrike.ca
