Steele Resources Corporation (OTC:SELR) announced today that it has signed a $10.0 million drawdown equity financing agreement with Auctus Private Equity Fund, a Boston-based institutional investor.Company CEO Scott Dockter commented on the financing saying, "Completing this funding agreement with Auctus is an excellent step for the continued development of our precious metals exploration properties. With this in place, we have committed financing for future development that we will be able to take advantage at the appropriate time."
Mr. Dockter continued, "This financing does not address the short term capital needs of the Company, nor is it intended to do so. We are currently reviewing offers for short term financing that, if accepted, will enable the Company to complete its acquisition of the Mineral Hill Exploration project in Pony, Montana, as well as provide for the first major development of that property."
Pursuant to a Registration Rights Agreement, the Company intends to register up to 20 million shares of its common stock with the Securities and Exchange Commission. Upon such registration being declared effective the Drawdown Agreement allows the Company, at its discretion, to sell to Auctus up to $10 million of its common stock from time to time over a 36-month period. The Company will have the right, but no obligation, to sell stock to Auctus in amounts up to $500,000 per week depending on certain conditions as set forth in the Drawdown Agreement.
Steele Resources Corporation is a precious metals exploration and development company operated by professionals with extensive exploration, mining, and public market experience.
No comments:
Post a Comment