VANCOUVER, BRITISH COLUMBIA--(Marketwired - July 20, 2015) -
NOT FOR DISSEMINATION IN THE UNITED STATES OR TO U.S. PERSONS OR FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES. THIS PRESS RELEASE DOES NOT CONSTITUTE AN OFFER TO SELL OR AN INVITATION TO PURCHASE THE SECURITIES DESCRIBED IN IT
Ardonblue Ventures Inc. (the "Company") (TSX VENTURE:ARB) is pleased to announce a planned non-brokered private placement (the "Private Placement") of up to 8,000,000 units (each a "Unit") of the Company at the price of $0.05 per Unit to raise gross proceeds of up to $400,000. Each Unit consists of one common share of the Company (a "Share") and one common share purchase warrant (a "Warrant"). Each Warrant will be exercisable to purchase one additional Share at the price of $0.20 for a period of 24 months after closing, subject to acceleration at the Company's option if its shares close at $0.30 or higher for ten (10) consecutive trading days at any time after four months after closing.
The proceeds of the Private Placement will be used to make the initial option payment in respect of the El Tacon property and to fund the Phase I work program on that property, including up to 1,000 meters of diamond drilling (see News Release June 26, 2015), as well as to reduce payables and for general working capital. Finder's fees in accordance with TSX Venture Exchange ("TSXV") policies are anticipated to be payable on a portion of the financing. The proposed Private Placement and any finder's fees are subject to receipt of all necessary regulatory approvals, including acceptance by the TSXV. All Shares issued pursuant to the Private Placement, and any Shares issued pursuant to the exercise of Warrants, will be subject to a four-month hold period from the closing date.
The Company also advises it has received notice from the TXV to transfer to NEX if the Company does not take steps to satisfy the listing maintenance requirements for a Tier 2 company within such time as may be permitted by the TSXV, including completion of such financing as is required to satisfy TSXV working capital requirements not later than September 15, 2015. The Company understands that the proposed Private Placement will satisfy those requirements and that the option on the El Tacon property will satisfy the remaining listing maintenance requirements. The Company's filing in respect of the El Tacon option has been conditionally accepted by the TSXV, but the Company cannot proceed with that option until it has satisfied certain filing requirements and conditions as noted in the TSXV Bulletin issued on July 14, 2015.
The El Tacon project: Minera La Antigua SA de CV, a Mexican subsidiary of the Company, has been granted an option to purchase a 100% interest in two contiguous mining concessions covering about 6,187 hectares that constitute the El Tacon project, subject in each case to a 2% NSR. The option is described in detail in the Company's news release issued on June 26, 2015.
The El Tacon property is considered prospective for both porphyry copper and high grade silver mineralization. It lies to the northeast of and borders the active Piedras Verdes porphyry copper mine, and is adjacent to the historic Alamos mining district in Sonora, Mexico. Exploration to date has included reconnaissance mapping and sampling carried out in 2011, with further reconnaissance work done in 2013. In late 2014, the optionors conducted a program of rock and soil geochemical sampling, a ground magnetometer study, and geologic mapping in the northern part of the El Tacon concession block. The El Tacon project area is underlain by Late Cretaceous batholithic granite and granodiorite that has intruded Jurassic-Cretaceous metasedimentary rocks. Paleogene intrusions including granodiorite, monzonite, quartz-porphyry rhyolite, and aplite intrude the batholithic and metasedimentary rocks. These later intrusive rocks are commonly strongly silicified and seriticized, and are spatially related to copper, gold and silver +/- lead, zinc and molybdenum mineralization at El Tacon. Six target areas, interpreted to form parts of a buried porphyry copper system, have been identified at El Tacon. A 2-phase exploration program has been recommended for the El Tacon project by Stephen R. Maynard, M.S., C.P.G., in a National Instrument 43-101 geological report prepared for the Company. A US$164,000 budget is proposed to complete a Phase 1 program consisting of up to 1,000 metres of diamond drilling at three of the six priority target areas.
Stephen R. Maynard, M.S., C.P.G., Consulting Geologist, Albuquerque, New Mexico, a Qualified Person as defined by National Instrument 43-101, has read and approved the technical information contained in this news release.
On behalf of the Board of Directors
Clive Brookes, CEO, President and Director
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.
Certain disclosure in this release may constitute forward-looking statements that are subject to numerous risks, uncertainties and other factors relating to Ardonblue's operations as a mineral exploration company that may cause future results to differ materially from those expressed or implied by those forward-looking statements. Readers are cautioned not to place undue reliance on these statements. Such factors include, among others, the ability to complete the contemplated private placement and the timing and amount of expenditures. There can be no assurance that the Company's filing in respect of the El Tacon option will be finally accepted by the TSXV. Ardonblue disclaims any intentions or obligations to update or revise any forward looking statements whether as a result of new information, future events, or otherwise, except as required to disclose material information as required by law.