April 25, 2016 – Toronto, Ontario: Further to its press releases dated March 15, 2016 and April 15, 2016, Royal Road Minerals Limited (TSXV:RYR) (the “Company”), a gold focused mineral exploration and development company, is pleased to announce that the Company has closed the second and final tranche of its previously announced non-brokered private placement offering (the “Offering”) with the issuance of 5,845,000 units (each, a "Unit") of the Company at a price of C$0.05 per Unit for gross proceeds of C$292,250.
In total, the Company issued and sold an aggregate of 26,559,000 Units at a price of C$0.05 per Unit for aggregate gross proceeds of C$1,327,950 pursuant to the Offering. Each Unit is comprised of one ordinary share of the Company and one-half of one ordinary share purchase warrant (each whole warrant a "Warrant"). Each Warrant entitles the holder thereof to acquire one ordinary share of the Company at a price of C$0.10 for a period of 24 months from the date of issuance.
The Company agreed to pay a cash commission to certain parties in an amount equal to 6% of the aggregate proceeds received from investors sourced by such parties. All securities issued under the Offering are subject to resale restrictions under applicable securities laws.
“We are most grateful for the support evident in the demand and oversubscription of this financing” said Dr Tim Coughlin, President and CEO of Royal Road Minerals “this additional capital, in combination with the operational measures we have implemented over the previous seven-months, will allow us to advance our La Golondrina and La Redención gold projects in the La Llanada gold field of southern Colombia, whilst remaining opportunistic and retaining a relevant capital structure”
The securities to be issued under the Offering 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 accordingly, may not be offered or sold within the United States except in compliance with the registration requirements of the U.S. Securities Act and applicable state securities requirements or pursuant to exemptions therefrom. This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the Company's securities in the United States.
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.
This news release may contain certain information that constitutes forward-looking statements. Forward-looking statements are frequently characterized by words such as “plan,” “expect,” “project,” “intend,” “believe,” “anticipate” and other similar words, or statements that certain events or conditions “may” or “will” occur and include statements regarding the Offering and the use of proceeds therefrom. Forward-looking statements are based on the opinions and estimates of management at the date the statements are made, and are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking statements. These factors include the inherent risks involved in the hiring and retention of directors and officers, exploration and development of mineral properties, mine site planning and development, the uncertainties involved in interpreting drilling results and other geological data, fluctuating metal prices, permitting and licensing and other factors described above and in the Company’s most recent annual information form under the heading “Risk Factors”, which has been filed electronically by means of the Canadian Securities Administrators’ website located at www.sedar.com. The Company disclaims any obligation to update or revise any forward-looking statements if circumstances or management’s estimates or opinions should change. The reader is cautioned not to place undue reliance on forward-looking statements.
For further information please contact:
Dr. Tim Coughlin President and Chief Executive Officer USA-Canada toll free 1800 6389205 +44 (0)1534 887166 +44 (0)7797 742800 firstname.lastname@example.org