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VANCOUVER,
June 19,
2017 /CNW/ - Bonterra Resources
Inc. (TSX-V: BTR, US: BONXF, FSE: 9BR1)
(the "Company" or "Bonterra") is
pleased to announce that it has entered into an amended agreement
with Sprott Capital Partners to act as lead underwriter (the
"Lead Underwriter") and INFOR Financial Inc. (collectively,
the "Underwriters"), and has agreed to increase the offering
size of purchased securities from $12,910,200 to $19,999,880 in gross proceeds (the
"Offering").
The Offering will consist of a combination of (a)
17,857,000 flow-through common shares of the Company
("Flow-Through Shares") at a price of $0.84 per Flow-Through Share and (b) 10,000,000
common shares of the Company ("Common Shares") at a price of
$0.50 per Common Share.
In connection with the Offering, the Underwriters will be
entitled to a cash fee in an amount equal to 6.0% of the gross
proceeds of the Offering, to be paid out of the non flow through
portion of the Offering at closing.
The gross proceeds received by the Company from the sale
of the Flow-Through Shares will be used to incur Canadian
Exploration Expenses that are "flow-through mining expenditures"
(as such terms are defined in the Income Tax Act
(Canada)) on the Company's
properties, and also qualify for the two 10% enhancements under
section 726.4.9 and section 726.4.17.1 of the Quebec Taxation
Act, which expenses will be renounced to the subscribers with
an effective date no later than December 31,
2017, in the aggregate amount of not less than the total
amount of the gross proceeds raised from the issue of Flow-Through
Shares. The net proceeds from the sale of the Common Shares will be
used for general corporate and working capital purposes. All
securities issued under the Offering will be subject to a four
month hold period from the date of issue in accordance with
applicable securities laws. The Offering is subject to acceptance
of the TSX Venture Exchange.
The Offering is scheduled to close on June 30, 2017 or such other date or dates as the
Company and the Lead Underwriter may agree.
ON BEHALF OF THE BOARD OF DIRECTORS,
Nav Dhaliwal, President
& CEO
Bonterra Resources Inc.
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.
This news release does not constitute an offer to sell
or a solicitation of an offer to buy nor shall there be any sale of
any of the securities in any jurisdiction in which such offer,
solicitation or sale would be unlawful, including any of the
securities in the United States of
America. The securities have not been and will not be
registered under the United States Securities Act of 1933, as
amended (the "1933 Act") or any state securities laws and
may not be offered or sold within the
United States or to, or for account or benefit of, U.S.
Persons (as defined in Regulation S under the 1933 Act) unless
registered under the 1933 Act and applicable state securities laws,
or an exemption from such registration requirements is
available.
This news release includes certain forward-looking
statements concerning the use of proceeds of the Offering, the
future renunciation of Canadian Exploration Expenses that are
flow-through mining expenditures, the tax treatment of the
Flow-Through Shares, the future performance of our business, its
operations and its financial performance and condition, as well as
management's objectives, strategies, beliefs and intentions.
Forward-looking statements are frequently identified by such words
as "may", "will", "plan", "expect", "anticipate", "estimate",
"intend" and similar words referring to future events and results.
Forward-looking statements are based on the current opinions and
expectations of management. All forward-looking information is
inherently uncertain and subject to a variety of assumptions, risks
and uncertainties, including the speculative nature of mineral
exploration and development, fluctuating commodity prices, the
future tax treatment of the Flow-Through Shares, competitive risks
and the availability of financing, as described in more detail in
our recent securities filings available at www.sedar.com. Actual
events or results may differ materially from those projected in the
forward looking statements and we caution against placing undue
reliance thereon. We assume no obligation to revise or update these
forward looking statements except as required by applicable
law.
SOURCE BonTerra Resources Inc.