April 09, 2019
Stock Symbol: TSX-V: RMK
Red Moon Resources Inc. – Closes $255,000.00 Financing
St. John’s, Newfoundland and Labrador – Red Moon Resources Inc. (“the Company” – “Red Moon” TSX-V: RMK), announces that it has closed its non-brokered private placement announced on February 27, 2019 for total proceeds of $255,000.00. Under the terms of the offering, the company placed 2,550,000 units. The units were placed at a price of $0.10 and consist of one common share and one-half of a common share purchase warrant, with each full warrant exercisable at a price of $0.25 per common share for a period of two years.
Insiders of the Company have subscribed for 400,000 units. The insider participation is exempt from the valuation and minority shareholder approval requirements of Multilateral Instrument 61-101 by virtue of the exemptions contained in sections 5.5(a) and 5.7(1) (a) in that the fair market value of the consideration for the securities of the company issued to the insiders does not exceed 25 per cent of the company’s market capitalization.
The proceeds of the offering will be used to fund ongoing advancement of its industrial mineral projects including the solicitation of feasibility financing for the Captain Cook salt project and working capital. The shares issued will have a four month hold period as per applicable securities law. The financing is subject to TSX Venture Exchange approval. There will be no finder’s fees or commissions payable.
Red Moon is an industrial minerals company. It commenced production at the Ace gypsum mine in late 2018. The company’s Captain Cook salt deposit is at the feasibility analysis stage and the Black Bay nepheline deposit is at the resource and metallurgical evaluation stage. All the projects are strategically located in Newfoundland and Labrador. Vulcan Minerals Inc. (TSX-V: VUL) owns approximately 63% of the common shares of Red Moon.
We seek Safe Harbor.
The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release. This release may contain certain forward-looking statements. Actual events or results may differ from the Company’s expectations. Certain risk factors beyond the Company’s control may affect the actual results achieved. Accordingly, readers are advised not to place undue reliance on forward-looking information. Except by law, the Company undertakes no obligation to publicly update or revise forward-looking information.
For information please contact:
Patrick J. Laracy, President