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Thunder Bay ON, June 2, 2020 – Benton Resources Inc. (‘Benton’ or ‘the Company’) (TSX-V: BEX) is pleased to announce that, subject to all regulatory approvals, the Company intends to complete a non-brokered private placement of flow-through shares and non flow-through units (the "Private Placement"). The Private Placement is expected to close on or before June 15, 2020.
The Company intends to issue up to 5,000,000 flow-through shares at a price of $0.15 per flow-through share for gross proceeds of up to $750,000. The flow-through shares will entitle the holder to receive the tax benefits applicable to flow-through shares, in accordance with provisions of the Income Tax Act (Canada).
The Company also intends to issue up to 3,461,538 non flow-through units at a price of $0.13 per unit for aggregate proceeds of up to $450,000. Each unit will consist of one common share and one common share purchase warrant. Each warrant will entitle the holder thereof to purchase one additional common share of the Company at an exercise price of $0.25 per common share for a period of 24 months from the date of issue.
In connection with the private placement, the Company may pay finders' fees in cash or securities or a combination of both, as permitted by the policies of the TSX Venture Exchange. All securities issued pursuant to the private placement will be subject to a four month hold period. The Private Placement is subject to approval by the TSX Venture Exchange.
The proceeds of the financing will be used to advance Benton's various early-stage Ontario-based exploration projects, including the recently optioned Far Lake project (see Company news release dated May 20, 2020) and for working capital purposes.
In addition, the Company is also pleased to report that it has signed a contract to fly a 1642 line-kilometer Heliborne, High-Resolution Magnetic and Time-Domain Electromagnetic Survey over the entire Far Lake project. The survey will commence next week and will be essential in locating sulphide occurrences similar to the massive sulphide occurrence in trenches on the property that graded 22% Cu. The Company hopes that the survey will also assist in extending known zones of mineralization where overburden and swamps mask outcrop.
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Nathan Sims (P.Geo.), Senior Exploration Manager for Benton Resources Inc., the 'Qualified Person' under National Instrument 43-101, has approved the scientific and technical disclosure in this news release and prepared or supervised its preparation.
On behalf of the Board of Directors of BentonResources Inc.,
"Stephen Stares"
StephenStares, President
AboutBenton Resources Inc.
BentonResources is a well-funded Canadian-based project generator with a diversifiedproperty portfolio in Gold, Silver, Nickel, Copper, and Platinum groupelements. Benton holds multiple high-grade projects available for option,details of which can be viewed on the Company's website. Most projects have anup-to-date NI 43-101 technical report available.
Partiesinterested in seeking more information about properties available for optioncan contact Mr. Stares at the number below.
For further information, please contact:
Stephen Stares, President & CEO
Phone: 807-475-7474
Email: sstares@bentonresources.ca
Cathy Hume, CHF Capital Markets
Phone: 416-868-1079 x251
Email: cathy@chfir.com
Website: www.bentonresources.ca
Twitter: @BentonResources
Facebook: @BentonResourcesBEX
THE TSX VENTURE EXCHANGE HAS NOT REVIEWED AND DOES NOT ACCEPTRESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.
The informationcontained herein contains "forward-looking statements" within themeaning of applicable securities legislation. Forward-looking statements relateto information that is based on assumptions of management, forecasts of futureresults, and estimates of amounts not yet determinable. Any statements thatexpress predictions, expectations, beliefs, plans, projections, objectives,assumptions or future events or performance are not statements of historicalfact and may be "forward-looking statements."
Forward-looking statements are subjectto a variety of risks and uncertainties which could cause actual events orresults to differ from those reflected in the forward-looking statements,including, without limitation: risks related to failure to obtain adequatefinancing on a timely basis and on acceptable terms; risks related to theoutcome of legal proceedings; political and regulatory risks associated withmining and exploration; risks related to the maintenance of stock exchangelistings; risks related to environmental regulation and liability; thepotential for delays in exploration or development activities or the completionof feasibility studies; the uncertainty of profitability; risks anduncertainties relating to the interpretation of drill results, the geology,grade and continuity of mineral deposits; risks related to the inherentuncertainty of production and cost estimates and the potential for unexpectedcosts and expenses; results of prefeasibility and feasibility studies, and thepossibility that future exploration, development or mining results will not beconsistent with the Company's expectations; risks related to gold price andother commodity price fluctuations; and other risks and uncertainties relatedto the Company's prospects, properties and business detailed elsewhere in theCompany's disclosure record. Should one or more of these risks anduncertainties materialize, or should underlying assumptions prove incorrect,actual results may vary materially from those described in forward-lookingstatements. Investors are cautioned against attributing undue certainty toforward-looking statements. These forward looking statements are made as of thedate hereof and the Company does not assume any obligation to update or revisethem to reflect new events or circumstances. Actual events or results coulddiffer materially from the Company's expectations or projections.
On behalf of the Board of Directors of Benton Resources Inc.,
"Stephen Stares"
Stephen Stares, President