VVC Exploration Corporation ("VVC" or the "Company") (TSX-V:VVC) announces the following:
Private Placement Financing
VVC closed subscriptions for Tranche 1 of a non-brokered Private Placement financing, previously announced on February 5, 2020. To-date, VVC raised CA$951,560 (about US$722,000) and will issue to the placees an aggregate of 19,031,200 Units at a price of CA$0.05 per Unit. Each Unit consists of one common share ("Share") and one-half of one common share purchase warrant (Warrant"), each full Warrant entitling the holder to purchase one additional Share of the Company at an exercise price of CA$0.06 per Share for a period of three years.
The proceeds of the Financing are for development on the Kaity Property in Mexico, including costs associated with various permits, metallurgical bench testing of the copper mineralization, and investigation, evaluation and implementation of the Gloria Pilot Mining Project. In addition, the proceeds are being used for option payments in Mexico, current accounts payable, general administrative expenses, and working capital as needed.
The TSX Venture Exchange ("TSXV") conditionally accepted this Private Placement. The Company has requested an extension of 30 days in order to finalize and close a second tranche. The Company expects to raise an additional $200,000 to $500,000 within the next 30 days.
The Units for Tranche 1 will be issued later this week following the TSXV granting the extension. All securities issued pursuant to the Financing will be subject to the applicable statutory, exchange and regulatory hold period of four months and any other required resale restrictions. The Finder's Fee will be paid on Final Closing.
