Metals Creek Resources Corp. Closes Flow-Through Private Placement Financing

Rhea-AI Summary

Metals Creek Resources Corp has successfully closed its non-brokered private placement financing, raising total gross proceeds of $425,750. The company issued 11,650,000 flow-through units at $0.035 per unit and 600,000 non flow-through units at $0.03 per unit.

Each flow-through unit includes one flow-through common share and half a warrant, with full warrants exercisable at $0.07 for 24 months. Non flow-through units comprise one common share and one warrant, exercisable at $0.05 for 24 months. The company paid $27,195 in finders' fees and issued 777,000 broker warrants.

Proceeds will fund drilling at the Tillex Copper Project and Shabaqua Corners Gold Property.

Positive

• Successful fundraising of $425,750 through private placement
• Flow-through shares structure provides tax benefits to investors
• Secured funding for exploration of two mineral properties

Negative

• Dilution of existing shareholders through issuance of 12,250,000 new units
• Additional potential dilution from warrants if exercised

Thunder Bay, Ontario--(Newsfile Corp. - December 4, 2024) - Metals Creek Resources Corp. (TSXV: MEK) (FSE: M1C1) (the "Company" or Metals Creek) further to its November 5 and November 15, 2024 news releases, the Company announces that it has closed its non-brokered private placement financing (the "Financing") for aggregate gross proceeds of $425,750.

The Company has issued 11,650,000 flow-through units (the "FT Units") at a price of $0.035 per FT Unit, each FT Unit consisting of one flow-through common share (the "FT Shares") and one half of a non-flow-through common share purchase warrant (the "FT Warrants"), each full FT Warrant entitling the holder to purchase one additional non-flow-through common share of the Company at an exercise price of $0.07 per common share for a period of 24 months from the date of issue. The FT 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 has also issued 600,000 non flow-through units (the "NFT Units") at a price of $0.03 per NFT Unit, each NFT Unit consisting of one common share and one common share purchase warrant ("NFT Warrant"), each NFT Warrant entitling the holder to purchase one additional common share of the Company at an exercise price of $0.05 per common share for a period of 24 months from the date of issue.

In connection with the Financing the company has paid cash finders' fees totaling $27,195 and issued 777,000 non-transferable broker warrants.

All securities issued pursuant to the Financing will be subject to a four-month and one-day hold period.

The Financing is subject to final approval by the TSX Venture Exchange.

The proceeds raised from the FT Units will be used for drilling on the companies Tillex Copper Project and the Shabaqua Corners Gold Property and will ensure that such Canadian Exploration Expenses qualify as a "flow-through mining expenditure" for purposes of the Income Tax Act (Canada), related to the exploration of the Company's exploration projects.

About Metals Creek Resources Corp.

Metals Creek Resources Corp. is a junior exploration company incorporated under the laws of the Province of Ontario, is a reporting issuer in Alberta, British Columbia and Ontario, and has its common shares listed for trading on the Exchange under the symbol "MEK". Metals Creek has earned a 50% interest in the Ogden Gold Property from Newmont Corporation, including the former Naybob Gold mine, located 6 km south of Timmins, Ontario and has an 8 km strike length of the prolific Porcupine-Destor Fault (P-DF).

Metals Creek also has multiple quality projects available for option which can be viewed on the Company's website. Parties interested in seeking more information about properties available for option can contact the Company at the number below.

Additional information concerning the Company is contained in documents filed by the Company with securities regulators, available under its profile at www.sedarplus.ca.

Neither the 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.

Alexander (Sandy) Stares, President and CEO
Metals Creek Resources Corp
telephone: (709)-256-6060
fax: (709)-256-6061
MetalsCreek.com
Twitter.com/MetalsCreekRes
Facebook.com/MetalsCreek

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/232564

FAQ

How much did Metals Creek Resources (TSXV: MEK) raise in its December 2024 private placement?

Metals Creek Resources raised $425,750 through its private placement financing.

What are the terms of the flow-through units in Metals Creek's December 2024 financing?

The flow-through units were priced at $0.035 each, consisting of one flow-through share and half a warrant exercisable at $0.07 for 24 months.

What will Metals Creek use the proceeds from the December 2024 financing for?

The proceeds will be used for drilling on the Tillex Copper Project and the Shabaqua Corners Gold Property.