Business
Red Metal Resources Closes First Tranche of Private Placement
Vancouver, British Columbia--(Newsfile Corp. - May 17, 2022) - Red Metal Resources Ltd. (CSE: RMES) ("Red Metal" or the "Company") is pleased to announce that o
About this update from Red Metal Resources Ltd.
[{"type":"text","content":" Vancouver, British Columbia--(Newsfile Corp. - May 17, 2022) - Red Metal Resources Ltd. (CSE: RMES) (\"Red Metal\" or the \"Company\") is pleased to announce that on May 16, 2022, the Company closed the first tranche of the non-brokered private placement (the \"Offering\") described in its news release of March 25, 2022. In connection with the closing of the first tranche of the Offering, the Company issued an aggregate of 3,308,666 units (the \"Units\") at a price of CDN$0.15 per Unit for gross proceeds of CDN$496,300. Each Unit consists of one common share in the capital of the Company (a \"Share\") and one whole transferable common share purchase warrant (a \"Warrant\"). Each whole Warrant is exercisable to acquire one Share at an exercise price of CDN$0.30 per Share until May 16, 2023, and at CDN$0.60 from May 16, 2023 and until May 16, 2024. Red Metal intends to use the net proceeds of the Offering to advance Red Metal's flagship Carrizal copper-gold-cobalt property in Atacama, Chile and for working capital purposes. The Company paid aggregate finder's fees of CDN$30,314 and issued 202,090 Share purchase warrants (the \"Finder's Warrants\") in connection with subscriptions from subscribers introduced to the Offering by R.F. Lafferty & Co., Inc., PI Financial Corp., Haywood Securities Inc. and Canaccord Genuity. Each Finder's Warrant is exercisable to acquire one Share in the capital of the Company at an exercise price of CDN$0.30 per Share until May 16, 2023, and at CDN$0.60 from May 16, 2023 and until May 16, 2024. The securities issued under the Offering, and any Shares that may be issuable on exercise of any such securities, will be subject to a statutory hold period expiring on September 17, 2022. This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the \"U.S. Securities Act\"), or any state securities laws and may not be offered or sold within the United States or to U.S. Persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available. About Red Metal Resources Ltd. Red Metal Resources is a mineral exploration company focused on growth thr...