Strategic Metals Ltd. Announces Acquisition of Additional Securities of Precipitate Gold Corp.
November 27, 2015 – Strategic Metals Ltd. (TSX-V: SMD) ("Strategic") announces that on November 26, 2015 it purchased 10,000,000 units of Precipitate Gold Corp. ("Precipitate") at a price of $0.08 per unit pursuant to a private placement for total cash consideration of $800,000. Each unit consisted of one common share and one share purchase warrant, with each share purchase warrant entitling Strategic to purchase one additional common share of Precipitate at a price of $0.12 until November 26, 2016. As a result of the acquisition of these 10,000,000 units, Strategic currently holds the following securities of Precipitate:
- 15,068,827 common shares, representing 29.83% of the 50,515,141 common shares of Precipitate currently issued and outstanding; and
- 10,000,000 share purchase warrants, each entitling Strategic to purchase one common share of Precipitate at a price of $0.12 until November 26, 2016. In the event that Strategic exercises the 10,000,000 warrants, it will hold 25,068,827 Precipitate common shares, representing 41.43% of the then issued 60,515,141 Precipitate shares.
"Precipitate has identified promising gold showings and geophysical targets on its extensive land holdings within the Tireo Gold Trend in the Dominican Republic", stated Douglas Eaton, President and CEO of Strategic. "The Dominican Republic hosts important gold deposits, including Pueblo Viejo, owned by Barrick Gold and Goldcorp. We see this investment as a good complement to our many projects in northwestern Canada."
This news release is being issued pursuant to National Instrument 62-103, which also requires a report to be filed by Strategic with each of the British Columbia and Alberta Securities Commissions containing information with respect to its securityholdings in Precipitate (an Early Warning Report).
ON BEHALF OF THE BOARD
"W. Douglas Eaton"
President and Chief Executive Officer
For further information concerning Strategic or its various exploration projects please visit our website atwww.strategicmetalsltd.com or contact:
Strategic Metals Ltd.
W. Douglas Eaton
President and C.E.O.
Tel: (604) 688-2568
This news release may contain forward looking statements based on assumptions and judgments of management regarding future events or results that may prove to be inaccurate as a result of exploration and other risk factors beyond its control, and actual results may differ materially from the expected results.
Neither the 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.