/NOT FOR DISTRIBUTION TO UNITED STATES NEWS WIRE SERVICES OR FOR
DISSEMINATION IN THE UNITED
STATES/
VANCOUVER, Oct. 5, 2018 /CNW/ - IDM Mining Ltd. (TSX-V:IDM)
(OTCQB:IDMMF) ("IDM" or the "Company") announces a
non-brokered private placement financing (the "Offering") to sell
flow-through shares ("Flow-Through Shares") at a price of
$0.07 per Flow-Through Share and
non-flow-through units ("Common Units") at a price of $0.06 per Common Unit, for aggregate gross
proceeds of up to $4.1
million.
Each Common Unit will consist of one common share of the Company
(a "Common Share") and one-half of one non-transferable share
purchase warrant, with each whole warrant entitling the holder
thereof to acquire one Common Share at a price of $0.085 per Common Share for a period of
twenty-four (24) months following the closing of the
Offering.
The warrants issued in the Offering will not be listed for
trading.
A maximum of 68,333,333 Common Units are issuable under the
Offering, which assumes that the maximum gross proceeds are raised
through the issuance of Common Units.
The net proceeds of the Offering will go towards exploration and
development activities on the Company's Red Mountain Gold Project
(the "Project" or "Red Mountain") located near Stewart, BC and for working capital
purposes.
Closing of the Offering is subject to receipt of applicable
regulatory approvals including approval of the TSX Venture
Exchange. The securities issued will be subject to a standard four
month hold period.
This press release does not constitute an offer to sell or the
solicitation of an offer to buy nor shall there be sale of the
securities in any jurisdiction in which such offer, solicitation or
sale would be unlawful, including 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 "1933 Act") or any applicable securities laws of any
state of the United States and may
not be offered or sold in the United
States, or to, or for the account or benefit of a U.S.
person (as defined in Regulation S 2 under the 1933 Act) unless
registered or pursuant to an available exemption from such
registration requirements.
ABOUT IDM MINING LTD.
IDM Mining Ltd. is an exploration and development company based
in Vancouver, BC, Canada focused on advancing the Red Mountain
Gold Project towards production. The 17,125 hectare Red
Mountain Gold Project is located in northwestern BC, 15 km
northeast of the mining town of Stewart. IDM recently
announced increased high-grade, near-surface measured and indicated
resources. Located near a paved highway and grid power, IDM
envisions bulk underground mining methods at the Project, with
gold-silver doré produced on site.
Additional information, including the Company's NI 43-101
Technical Report for the Red Mountain Gold Project, are available
at www.idmmining.com and at www.sedar.com.
ON BEHALF OF THE BOARD
of IDM Mining Ltd.
"Robert McLeod"
President, CEO and Director
"Neither the TSX Venture Exchange nor its
Regulation Services Provider (as that term is defined in policies
of the TSX Venture Exchange) accepts responsibility for the
adequacy or accuracy of this release."
Forward-Looking Statements: Some statements in
this news release contain forward-looking information or
forward-looking statements for the purposes of applicable
securities laws. These statements include, among others,
statements with respect to the Offering and the use of proceeds
from the Offering, proposed exploration and development activities
and their timing, and other plans and objectives of IDM. These
statements address future events and conditions and, as such,
involve known and unknown risks, uncertainties and other factors,
which may cause the actual results, performance or achievements to
be materially different from any future results, performance or
achievements expressed or implied by the statements. Such
factors include, among others and in addition to those described
elsewhere in this release, receipt of regulatory approvals of the
Offering, inability to complete the financing on the proposed terms
or at all, delays in obtaining or inability to obtain required
government or other regulatory approvals, permits or financing, the
risk of unexpected variations in mineral resources, grade or
recovery rates, of failure of plant, equipment or processes to
operate as anticipated, of accidents, labor disputes, and
unanticipated delays in completing other development activities,
the risk that estimated costs will be higher than anticipated and
the risk that the proposed mine plan and recoveries will not be
achieved, equipment breakdowns and bad weather, the timing and
success of future exploration and development activities,
exploration and development risks, mineral resources are not as
estimated, title matters, third party consents, operating hazards,
metal prices, political and economic factors, competitive factors
and general economic conditions. In making the forward-looking
statements, the Company has applied several material assumptions
including, but not limited to, the assumptions that: the Offering
will proceed and be completed as planned; required regulatory
approval will be obtained; the proposed exploration and development
will proceed as planned; with respect to mineral resource
estimates, the key assumptions and parameters on which such
estimates are based; that the proposed mine plan and
recoveries will be achieved, that capital costs and sustaining
costs will be as estimated, and that no unforeseen accident, fire,
ground instability, flooding, labor disruption, equipment failure,
metallurgical, environmental or other events that could delay or
increase the cost of development will occur, and market
fundamentals will result in sustained metals and minerals
prices. The Company expressly disclaims any intention or
obligation to update or revise any forward-looking statements
whether as a result of new information, future events or otherwise
except as otherwise required by applicable securities
legislation.
SOURCE IDM Mining Ltd.