Commerce Resources Corp. announces private placements and appointment to board of directors
Commerce Resources Corp. announces the appointment of Mr. Christopher Grove to the board of directors.
Commerce Resources Corp. (TSXv: CCE, FSE: D7H, OTCQX: CMRZF) is pleased to announce that it has engaged Marquest Capital Markets and Casimir Capital Ltd. to act as lead agent in connection with a private placement of up 11,111,112 flow-through eligible units at a price of $0.18 per unit for gross proceeds of $2,000,000 and up to 3,333,334 common share units at a price of $0.15 per unit for gross proceeds of $500,000.
In addition the Company announces a non-brokered flow-through eligible private placement of up to 6,666,667 units at $0.18 per unit for gross proceeds of $1,200,000.
The flow-through units will consist of one flow-through common share and one half of one non-transferable share purchase warrant. Each whole share purchase warrant will entitle the holder to purchase one additional common share of the company at a price of $0.25 per share for a period of 18 months from the date of issuance.
The common share units will consist of one common share and one half of a non-transferable share purchase warrant. Each whole share purchase warrant will entitle the holder to purchase one additional common share of the company at a price of $0.25 per share for a period of 18 months from the date of issuance.
The company will pay to the agent a commission of 8% of the gross sales of units and issue to the agent 8% of the number of units sold in compensation options, with each compensation option being exercisable for 18 months at a price of $0.25 per share. Other finder's fees may be payable in accordance with the policies of the TSX Venture Exchange ("TSXv").
The securities issued will be subject to a four-month hold period from the date of closing. The private placement is subject to the approval of the TSXv.
The proceeds from the unit offering will be utilized for qualified exploration expenditures on the Company's Blue River Tantalum and Niobium, and Eldor Rare Earth Element Projects.
In addition, the company is pleased to announce the appointment of Mr. Christopher Grove to the board of directors. Mr. Grove has worked as corporate communications for the company since 2004, and has significant contacts within the financial communities in North America and Europe. Mr. Grove currently sits on the board of two TSX Venture Exchange companies.
About Commerce Resources Corp.
Commerce Resources Corp. is an exploration and development company with a particular focus on rare metal and rare earth element deposits with the potential for economic grades and large tonnages. The company is focused on the development of its Upper Fir Tantalum and Niobium Deposit in British Columbia and the Ashram Rare Earth Element Deposit in northern Quebec.
