Mr. Brett Richards reports
MIDNIGHT SUN MINING CORP. COMPLETES FIRST TRANCHE OF PRIVATE PLACEMENT
Midnight Sun Mining Corp. has completed the first tranche of its previously announced non-brokered private placement by issuing 4,458,000 units at a price of 12 cents per unit for gross proceeds of $534,960. Each unit consists of one common share in the capital of the company and one common share purchase warrant. Each warrant entitles the holder to purchase one common share of the company for a period of 12 months from closing at an exercise price of 20 cents.
The Company has agreed to pay finder’s fees of $26,236.80 in cash and 218,640 finder’s warrants in connection with this tranche of the Private Placement. Each finder’s warrant will entitle the holder to purchase one common share at a price of $0.20 for a period of twelve months, expiring on October 31, 2019.
The net proceeds of the Offering will be used by the Company to fund exploration work on its Zambian mineral properties as well as general working capital.
All securities issued pursuant to this tranche, including the Common Shares underlying the Warrants, are subject to a statutory hold period which expires on March 1, 2019.
The completion of this private placement and the issuance of all Common Shares and Warrants is subject to final acceptance by the TSX Venture Exchange.
Stock Options
The Company has extended the previously announced investor relations agreement with Kaye Wynn Consulting Inc. ("Kaye Wynn") for an additional 12 months. Kaye Wynn has been extended for a period of twelve months at a rate of $1,500 (plus GST) per month. The Company will also grant Kaye Wynn stock options to purchase 350,000 Common Shares at $0.25 for a period of one year. The stock options shall vest in accordance with TSX Venture Exchange policies relating to the granting and vesting of Investor Relations Stock Options. The options are granted pursuant to the Company’s Stock Option Plan and the contract may be cancelled by either party with 30 days’ notice.
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