COPPER FOX ANNOUNCES the Closing of a $1,500,000 Financing by an Insider
VANCOUVER, Jan. 22, 2013 /CNW/ - Copper Fox Metals Inc. ("Copper Fox" or the
"Company") (TSXV: CUU) is pleased to announce the closing of a financing by an
insider for proceeds of $1,500,000 (the "Financing").
The Financing consisted of the issuance of 1,764,706 units at a purchase price
of $0.85 per unit, for aggregate net proceeds of $1,500,000. Each unit
consists of one common share of Copper Fox and one common share purchase
warrant of Copper Fox. Each warrant entitles the holder thereof to acquire one
common share of Copper Fox at an exercise price of CDN $1.00 prior to 5:00
PMJanuary 22, 2014.
Monies raised from the Offering will be used to fund costs associated with the
Environmental Assessment Application and general operating expenses.
In accordance with applicable securities legislation, securities issued
pursuant to the Financing are subject to a hold period of four months plus one
day from the date of completing the Financing.
No fees or commissions were paid as part of this transaction.
About Copper Fox
Copper Fox is a Canadian-based resource development company listed on the TSX
Venture Exchange (TSXV: CUU) with a corporate office in Calgary, AB and an
operations office in Vancouver, BC. Its major asset is the Schaft Creek
copper, gold, molybdenum and silver deposit located in northwestern British
Columbia, Canada for which a positive Feasibility Study was recently completed.
Copper Fox holds title and a 100% working interest in the Schaft Creek project
consisting of 55,779.56 hectares (137,834 acres). Included in this total are
the "Schedule A" mineral tenures originally conveyed to Copper Fox pursuant to
the Teck Option Agreement, which consist of 8,334.34 hectares (20,594 acres).
The "Schedule A" mineral tenures are subject to a 3.5% Net Profits Interest
held by Royal Gold, Inc., a 30% carried Net Proceeds Interest held by Liard
and, together with the additional mineral tenures obtained by Copper Fox
within the "Area of Interest" provided for in the Teck Option Agreement, an
earn back option held by Teck. On completion of the Feasibility Study, Copper
Fox earns Teck's 78% interest in Liard. Teck's earn back option to acquire
either, 20%, 40% or 75%, of Copper Fox's interest in the Schaft Creek Project
is triggered upon delivery of a "Positive Bankable Feasibility Study" (as
defined) to Teck after which they have 120 days to make a decision. Should
Teck elect to exercise its option for 75%, Teck is required to fund subsequent
property expenditures up to a total of 400% of those incurred by Copper Fox
($84.3 million to July 31, 2012) and use its best efforts to arrange for
project financing, including the Copper Fox portion. For full details of the
Teck earn back option please refer to the Company's website
The remainder of Copper Fox's registered interests in mineral tenures in
British Columbia total 47,445.22 hectares (117,240 acres). These interests
have been acquired by Copper Fox through mineral tenure acquisitions and
mineral tenure purchase agreements subsequent to Copper Fox entering into the
Teck Option Agreement. Certain portions of these registered mineral tenures
are subject to inclusion within the Schaft Creek Project pursuant to the terms
of the "Area of Interest" provision of the Teck Option Agreement.
Additionally the Company holds, through wholly-owned subsidiaries, mineral
tenures located in Pinal County, Arizona (the 'Sombrero Butte Copper Project')
and in Miami, Arizona (the 'Van Dyke BLM Claims'). For further information on
these mining projects please refer to the Company's web site at
On behalf of the Board of Directors
Elmer B. Stewart
President and Chief Executive Officer
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.
Cautionary Note Regarding Forward-Looking Information
This news release contains "forward-looking information" within the meaning of
the Canadian securities laws. Forward-looking information is generally
identifiable by use of the words "believes," "may," "plans," "will,"
"anticipates," "intends," "budgets", "could", "estimates", "expects",
"forecasts", "projects" and similar expressions, and the negative of such
expressions. Forward-looking information in this news release includes
statements about statements about the use of proceeds for the recently
completed Private Placement; potential existence and size of mineralization
within the Schaft Creek project; estimated timing and amounts of future
expenditures and "earn-back" options; geological interpretations and potential
mineral recovery processes.
In connection with the forward-looking information contained in this news
release, Copper Fox has made numerous assumptions, regarding, among other
things: the potential mineralization in the Schaft Creek deposit; the
geological, metallurgical, engineering, financial and economic advice that
Copper Fox has received is reliable, and is based upon practices and
methodologies which are consistent with industry standards. While Copper Fox
considers these assumptions to be reasonable, these assumptions are inherently
subject to significant uncertainties and contingencies. Additionally, there
are known and unknown risk factors which could cause Copper Fox's actual
results, performance or achievements to be materially different from any
future results, performance or achievements expressed or implied by the
forward-looking information contained herein. Known risk factors include,
among others: Copper Fox may not use the proceeds from the recently closed
Private Placement as disclosed herein; the actual mineralization in the Schaft
Creek deposit may not be as favourable as suggested; another deposit may never
be discovered on Copper Fox's property, or contain anticipated mineralization,
or mineralization of any significance at all; a detailed mine plan may not be
completed in a timely manner, or at all; the possibility that future drilling
on the Schaft Creek project may not occur on a timely basis, or at all;
fluctuations in copper, the completed drill holes for which analytical results
are not available may not return significant concentrations of either copper,
gold, molybdenum or silver; commodity prices and currency exchange rates;
conditions in the financial markets and overall economy may continue to
deteriorate; uncertainties relating to interpretation of drill results and the
geology, continuity and grade of mineral deposits; uncertainty of the
metallurgical testwork, the uncertainty of the estimates of capital and
operating costs, recovery rates, and estimated economic return; the need to
obtain additional financing to develop properties and uncertainty as to the
availability and terms of future financing; the possibility of delay in
exploration or development programs or in construction projects and
uncertainty of meeting anticipated program milestones; uncertainty as to
timely availability of permits and other governmental approvals.
A more complete discussion of the risks and uncertainties facing Copper Fox is
disclosed in Copper Fox's continuous disclosure filings with Canadian
securities regulatory authorities at www.sedar.com. All forward-looking
information herein is qualified in its entirety by this cautionary statement,
and Copper Fox disclaims any obligation to revise or update any such
forward-looking information or to publicly announce the result of any
revisions to any of the forward-looking information contained herein to
reflect future results, events or developments, except as required by law.
Investor line 1-866-913-1910 or J. Michael Smith, EVP, at 1-604-689-5080.
SOURCE: Copper Fox Metals Inc.
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CO: Copper Fox Metals Inc.
ST: British Columbia
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-0- Jan/22/2013 17:58 GMT
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