OTTAWA, ONTARIO--(Marketwired - Feb. 25, 2016) - Melkior Resources Inc. ("Melkior") (TSX VENTURE:MKR)(OTC PINK:MKRIF)(FRANKFURT:MEK) is pleased to announce a non-brokered private placement of up to 5,400,000 units at a price of $0.05 per unit for gross proceeds of $270,000 (the "Offering"). Each unit is comprised of one common share and one common share purchase warrant. Each whole warrant entitles its holder to purchase one additional common share at a price of $0.07 for a period of 24 months following the closing.
The funds raised will be used for a drill program will on the Carscallen Gold Project in Timmins, Ontario that adjoins Lakeshore Gold as well as general working capital requirements for the Company. The drill program will concentrate and extend on a zone that requires winter drilling, which was identified in the previous drilling (NR2016-21-01). Holes to be followed up including 95.8 g/t gold 2.0 metres (NR 2012-04-12 and 3.19 g/t 12.4 metres (NR 2010-12-20).
In connection with the Offering, Melkior may pay a finders' fee of up to 8% of Gross Proceeds payable in cash and 8% in warrants. Each whole warrant entitles the holder to purchase a common share at a price of $0.07 CAD per share for a period of 24 months following the Closing.
In accordance with securities legislation currently in effect in Canada, the Shares, the Warrants and the Warrant Shares will be subject to a "hold period" of four months plus one day from the date of closing of the private placement.
The Offering is subject to regulatory approval.
Melkior is a junior company with active exploration projects in Timmins and holds other exploration properties of which the most important is the 90% owned Launay gold property in West Quebec. Melkior also holds a 49% of the Kenty Lake copper/nickel/platinum property with Glencore Xstrata holding the remaining 51%.
Neither 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.