TORONTO, Oct. 19, 2016 /CNW/ - Wallbridge Mining
Company Limited (TSX: WM, FWB: WC7) ("Wallbridge") is
pleased to announce that it has now completed the purchase of
Fenelon Gold Mine Property ("Fenelon") by making the final payment
of $2,500,000 towards the purchase
price of Fenelon and has initiated a prefeasibility study for
Fenelon.
Commenting on these developments Marz
Kord President and CEO of Wallbridge stated, "We are quite
excited to have completed the purchase and the initial financing of
the Fenelon Gold Mine Property. In the next few months, our focus
will be on completing the prefeasibility study and permitting of
the project. Upon confirming positive economics, we expect to
be in a position to make a production decision in the second
quarter of 2017, proceed with building the site infrastructure and
dewatering of the existing ramp and soon after with production from
the top 100 meters of the deposit. Additionally, we are planning an
exploration campaign focused on expanding resources around the
existing infrastructure, while also following up on a number of
gold intersections that show potential for further expansion of the
resource at depth and along strike."
For more information about the Fenelon Gold Mine Property please
refer to the Wallbridge Mining website
(www.wallbridgemining.com).
Acquisition Terms
Wallbridge has now completed the outright purchase of the
Fenelon Gold Mine Property, subject to a 1% NSR retained by
Balmoral Resources Ltd. on any future production from the Fenelon
Mine Property.
Fenelon Development
Wallbridge has engaged the services of InnovExplo and
SNC-Lavalin to complete the prefeasibility study of Fenelon. The
prefeasibility, focusing on the development and mining of the top
100 meters of the deposit, is expected to be completed by 2016
year-end. Permitting of the Fenelon project is ongoing. Wallbridge
expects the production permits to be received in the first quarter
of 2017.
Prospectus Financing
To finance the development of Fenelon Gold Mine Property and
provide Wallbridge with general working capital, Wallbridge
announced on September 21, 2016 that
it has filed a final short form prospectus in the Provinces of
Ontario and British Columbia and obtained a receipt
therefor from the Ontario Securities Commission, as principal
regulator, to qualify the distribution of units of Wallbridge (the
"Units") and flow-through shares of Wallbridge (the "FT
Shares") and the common shares and warrants underlying the
Units. If the maximum offering is completed, the Company will raise
aggregate gross proceeds of $4,500,000 (the "Offering").
The Units are to be issued at a price of $0.08 per Unit, with each such Unit consisting of
one common share and one common share purchase warrant (the
"Unit Warrants"), with each Unit Warrant entitling the
holder to purchase one common share at a price of $0.12 per share for a period of 36 months from
the closing date of the Offering.
The FT Shares are to be issued at a price of $0.10 per FT Share, whereby each such FT Share
will be a common share in the capital of the Company that qualifies
as a "flow-through share" within the meaning of the Income Tax Act
(Canada) and the regulations
thereunder.
The Offering is being conducted by a syndicate of agents led by
Secutor Capital Management Corporation and including Canaccord
Genuity Corp.
Wallbridge closed the first tranche of the Offering on
October 4, 2016 raising gross
proceeds of $1,720,760 through the
issuance of the Units and FT Shares.
Wallbridge expects to close the second and final tranche of the
Offering on or before November 7,
2016.
For further information please contact Arie Papernick of Secutor Capital Management
Corporation at 416-847-1220.
Marz Kord, P. Eng. is the
Qualified Person for the contents of this Press Release.
About Wallbridge Mining
Wallbridge creates value through the acquisition, discovery,
development, and production of metals. Wallbridge is working to
establish a portfolio of projects that will support sustainable
production and revenue as well as organic growth through
exploration and scalability.
Wallbridge is currently in discussions regarding several other
advanced stage projects which could become the Company's next
production platforms. These discussions benefit from the operating
capabilities Wallbridge demonstrated by safely and efficiently
mining the Broken Hammer deposit, which was completed in
October 2015. One of those advanced
discussions resulted in the purchase of the Fenelon Mine
Property.
Wallbridge is continuing active partner-funded exploration on
its large portfolio of nickel, copper, and PGM projects in
Sudbury, Ontario. Most of
this work is funded by joint venture partners and has led to the
discovery of numerous mineral occurrences including the Broken
Hammer deposit.
Wallbridge has further exposure to active exploration for copper
and gold in Jamaica and
British Columbia through its 15.5%
ownership of Carube Copper Corp. ("Carube Copper")
(CUC:TSX-V, formerly Miocene Resources Limited).
This press release may contain forward-looking statements
(including "forward-looking information" within the meaning of
applicable Canadian securities legislation and "forward-looking
statements" within the meaning of the US Private Securities
Litigation Reform Act of 1995) relating to, among other things, the
operations of Wallbridge and the environment in which it operates.
Generally, forward-looking statements can be identified by the use
of words such as "plans", "expects" or "does not expect", "is
expected", "budget", "scheduled", "estimates", "forecasts",
"intends", "anticipates" or "does not anticipate", or "believes",
or variations of such words and phrases or statements that certain
actions, events or results "may", "could", "would", "might" or
"will be taken", "occur" or "be achieved". Wallbridge has relied on
a number of assumptions and estimates in making such
forward-looking statements, including, without limitation, the
ability to acquire the necessary permits and approvals to advance
the Fenelon Mine Property toward production, the ability to safely
and successfully dewater the underground workings at Fenelon, the
ability to add to the existing resource base at Fenelon through
drilling, the costs associated with the development and operation
of its properties. Such assumptions and estimates are made in light
of the trends and conditions that are considered to be relevant and
reasonable based on information available and the circumstances
existing at this time. A number of risk factors may cause actual
results, level of activity, performance or outcomes of such
exploration and/or mine development to be materially different from
those expressed or implied by such forward-looking statements
including, without limitation, whether such discoveries will result
in commercially viable quantities of such mineralized materials,
the possibility of changes to project parameters as plans continue
to be refined, the ability to execute planned exploration and
future drilling programs, the need for additional funding to
continue exploration and development efforts, changes in general
economic, market and business conditions, and those other risks set
forth in Wallbridge's most recent annual information form under the
heading "Risk Factors" and in its other public filings.
Forward-looking statements are not guarantees of future performance
and such information is inherently subject to known and unknown
risks, uncertainties and other factors that are difficult to
predict and may be beyond the control of Wallbridge. Although
Wallbridge has attempted to identify important risks and factors
that could cause actual actions, events or results to differ
materially from those described in forward-looking statements,
there may be other factors and risks that cause actions, events or
results not to be as anticipated, estimated or intended.
Consequently, undue reliance should not be placed on such
forward-looking statements. In addition, all forward-looking
statements in this press release are given as of the date
hereof.
Wallbridge disclaims any intention or obligation to update
or revise any forward-looking statements, whether as a result of
new information, future events or otherwise, save and except as may
be required by applicable securities laws. The forward-looking
statements contained herein are expressly qualified by this
disclaimer.
SOURCE Wallbridge Mining Company Limited