VANCOUVER,
April 8, 2013 /CNW/ - Copper Fox
Metals Inc. ("Copper Fox" or the "Company") (TSX-V: CUU) is
pleased to announce the closing of a previously announced
non-brokered private placement financing for proceeds of
$2,653,000 (the "Financing").
The Financing consisted of the issuance of
3,358,228 units at a purchase price of $0.79 per unit, for aggregate net proceeds of
$2,653,000. 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
PM April 8, 2014.
Monies raised from the Offering will be used to
fund costs associated with Copper Fox's Environmental Assessment
Application, development expenses of Copper Fox's Schaft Creek and
Arizona projects, 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 (TSX-V: 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
www.copperfoxmetals.com.
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
www.copperfoxmetals.com .
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.
SOURCE Copper Fox Metals Inc.