VANCOUVER, B.C. August 10, 2022– Highbank Resources Ltd. (the “Company”) (TSX.V – “HBK”) announces that it has obtained TSX approval and has now closed a 1st tranche of its private placement and has issued 3,000,000 units at $0.05. Each Unit consists of one common share of the Company and one-half warrant exercisable at $0.075 in the first year and $0.10 in the second year.
The Company has paid a cash finders fee of $5,600 and issued 112,000 finder warrants exercisable at a price of $0.075 in the first year and $0.10 in the second year.
The securities have been issued having a hold period expiring December 11, 2022.
Two insiders of the Company subscribed for 1,600,000 units. As such, their participation constitutes a “related party transaction” as defined under Multilateral Instrument 61-101 Protection of Minority Security Holders in Special Transactions (“MI 61-101”). Such participation is exempt from the formal valuation and minority shareholder approval requirements of MI 61-101 as neither the fair market value of the units acquired by the insiders nor the consideration for the units paid by such insiders, exceed 25% of the Company’s market capitalization. The Company did not file a material change report 21 days prior to the closing date of the first tranche of the offering as details of the respective participation of such insiders in the offering was unknown at such time.
The Company intends to use the proceeds of the financing for working capital.
The Company anticipates closing a 2nd and final tranche on or before August 31, 2022 and will update shareholders as events occur.
About Highbank Resources Ltd.
Highbank Resources Ltd. is engaged in the business of acquiring and developing mineral projects located in North America.
ON BEHALF OF THE BOARD OF DIRECTORS
Gary Musil, CEO/President
This News Release may contain forward-looking statements based on assumptions and judgments of management regarding future events or results. Forward-looking statements are projections of events, revenues, income, future economic performance or management’s plan and objective for future operations and include, without limitation, statements with respect to the anticipated production, the realization of mineral estimates, success of mining operations, the timing and amount of estimated future production, title disputes or claims, environmental risks, limitations on insurance coverage, current and anticipated purchase negotiations and arrangements, requirements for additional capital; and government regulation of mining operations. In some cases, you can identify forward -looking statements by the use of terminology such as “may”, “should”, “expects”, “plans”, “anticipates”, “believes”, “estimates”, “predicts”, “potential” or “continue” or the negative of these terms or other comparable terminology. By their very nature forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. Such factors, including: fluctuations in worldwide prices and demand for aggregates; changes in project parameters as plans continue to be refined; possible variations in grade and or recovery rates; accidents, labour disputes as well as those factors detailed from time to time in the Company's interim and annual financial statements and management's discussion and analysis of those statements, are filed and available for review on SEDAR at www.sedar.com.
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