Business
Medallion Resources Closes Private Placement Total of $634,425
VANCOUVER, British Columbia, April 09, 2019 (GLOBE NEWSWIRE) -- Medallion Resources Ltd. (TSX-V: MDL; OTCPK: MLLOF; Frankfurt: MRDN) (“Medallion” or the “Compan
About this update from Gamma Resources Ltd.
[{"type":"text","content":" VANCOUVER, British Columbia, April 09, 2019 (GLOBE NEWSWIRE) -- Medallion Resources Ltd. (TSX-V: MDL; OTCPK: MLLOF; Frankfurt: MRDN) (“Medallion” or the “Company”), pursuing smart production of NdPr magnet metals, today announced that it has closed the second and final tranche of its non-brokered private placement (the “Offering”), as announced in the Company’s news release dated March 15, 2019, for gross proceeds to the Company of $36,915. In aggregate this Offering, including both tranches, was for total proceeds of $634,425. “It’s great to complete this private placement. It allows us to get on with building out our extraction process and business development,” said Don Lay, President & CEO. “And the market is paying considerably more attention to the importance of the NdPr magnet material given Wesfarmers recent all-cash bid for Lynas Corp., the largest rare earth producer outside of China. Importantly, Wesfarmers is Australia’s largest company by revenues, with significant interest in retail as well as chemicals, energy and fertilisers, and industrial products. Bigger players are now getting involved in the sector.” The proceeds of the Private Placement will be used to further metallurgical test programs, for customer and feedstock supply development work and for general working capital. Medallion is pursuing production of rare earth elements (REE) by sourcing and processing the by-product mineral monazite, which is rich in the REE elements neodymium and praseodymium, collectively also known as “NdPr”. NdPr is the core input material for lightweight, powerful rare earth permanent magnets, which are facing increased demand for their use in vehicle electrification, wind power generation and robotics. Medallion has issued 410,167 units (each, a “Unit”) pursuant to the second tranche of the Offering at a price of $0.09 per Unit. Each Unit consists of one common share of the Company (a “Common Share”) and one-half of a transferable Common Share purchase warrant (each whole warrant, a “Warrant”). Each Warrant is exercisable to acquire one additional Common Share at an exercise price of $0.15 until April 9, 2022. Medallion now has 38,265,639 common shares issued and outstanding, with a total of 57,301,870 common shares on a fully diluted basis, including exercise of all outstanding options and warrants. In connection with thi...