Canada NewsWire

TORONTO, Dec. 1, 2020

/NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES/

Trading Symbol TSX(V): RMD
Boerse Frankfurt: WKN A1W98A: R52

TORONTO, Dec. 1, 2020 /CNW/ – Richmond Minerals Inc. (TSXV: RMD) (“Richmond” or the “Company“) is pleased to announce that further to its news releases of ¬†November 3, 2020 and November 27, 2020, it has completed the second and final tranche of a non-brokered private placement (the ” Second Tranche Offering“) consisting of the sale of 1,916,665 flow-through units (the “FT Units“) at a price of C$0.06 per FT Unit for aggregate gross proceeds of C$115,000. ¬†

Each FT Unit issued pursuant to the Second Tranche Offering consisted of one flow-through common share of the Company and one-half of one common share purchase warrant (each whole warrant, a “Warrant“). Each Warrant shall entitle the holder to purchase one additional common share at a price of C$0.10 at any time on or before the date which is 24 months after the closing date of the Second Tranche Offering.

Richmond intends to use the net proceeds from the Second Tranche Offering for exploration purposes. The proceeds from the sale of the flow-through shares comprising part of the FT Units will be used for “Canadian exploration expenses” and will qualify as “flow-through mining expenditures” (the “Qualifying Expenditures“), as defined in subsection 127(9) of the Income Tax Act (Canada). The Company intends to renounce the Qualifying Expenditures to subscribers of FT Units for the fiscal year ended December 31, 2020.

The securities issued and issuable pursuant to the Second Tranche Offering will be subject to a four month and one day statutory hold period.

The securities offered have not been registered under the U.S. Securities Act of 1933, as amended (the “U.S. Securities Act“), or applicable state securities laws, and may not be offered or sold to persons in the United States absent registration or an exemption from such registration requirements. This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in any jurisdiction in which such offer, solicitation or sale would be unlawful.

CAUTIONARY STATEMENT: This news release contains forward-looking information which is not comprised of historical facts. Forward-looking information involves risks, uncertainties and other factors that could cause actual events, results, performance, prospects and opportunities to differ materially from those expressed or implied by such forward-looking information. Forward looking information in this news release includes, but is not limited to, Richmond’s objectives, goals or future plans. Factors that could cause actual results to differ materially from such forward-looking information include, but are not limited to, changes in general economic conditions and conditions in the financial markets; the ability of Richmond to raise funds pursuant to future offerings; risks related to infectious diseases such as COVID-19; changes in demand and prices for minerals; litigation, legislative, environmental and other judicial, regulatory, political and competitive developments, and those risks set out in Richmond’s public documents filed on SEDAR. Although Richmond believes that the assumptions and factors used in preparing the forward-looking information in this news release are reasonable, undue reliance should not be placed on such information, which only applies as of the date of this news release, and no assurance can be given that such events will occur in the disclosed time frames or at all. Richmond disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, other than as required by law.

Neither the TSX-V nor its Regulation Services Provider (as that term is defined in the policies of the TSX-V) accepts responsibility for the adequacy or accuracy of this release.

SOURCE Richmond Minerals Inc.

For further information: Franz Kozich, President, Warren Hawkins, P. Eng., Exploration Manager, E: warren@richmondminerals.com, Tel: 416-603-2114

Related Links

www.richmondminerals.com

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