VANCOUVER, BC / ACCESSWIRE / June 19, 2020 / Condor Resources Inc. ("Condor" or the "Company") (TSXV:CN) is pleased to announce that it has closed the non brokered private placement to raise gross proceeds of $990,000, as announced in our June 2, 2020 news release.
The private placement consisted of 13.2 million units priced at $0.075 per unit, with each unit consisting of one common share and one share purchase warrant. Each warrant will be exercisable into one common share for a period of three years, at an exercise price of $0.115 per share during the first year, and thereafter at an exercise price of $0.15. No commissions or finder's fees are payable on the private placement. All the securities issued pursuant to this private placement will be subject to a four month hold period. Insiders of the Company purchased 600,000 units of the private placement. Proceeds will be used to drill the Company's Pucamayo gold-silver-copper project in Peru, and for working capital.
Crescat Capital LLC subscribed for 12 million units of the placement, and upon closing became a significant shareholder of the Company. Crescat is a global macro asset management firm headquartered in Denver, Colorado, deploying tactical investment themes based on proprietary value-driven equity and macro models. Crescat's investment goals are to provide industry leading absolute and risk-adjusted returns over complete business cycles.
Regarding Crescat's investment in Condor, Chief Investment Officer, Kevin Smith explained: "We are taking friendly activist positions in a select portfolio of precious metals exploration companies around the globe today. It is one of Crescat's most timely and important macro themes. Each of our portfolio companies has been carefully vetted and controls a potentially large and highly economic discovery. We are bringing capital and expertise to the table to advance these world class deposits."
As a condition of Crescat's participation, Crescat and Condor have agreed to the appointment of Dr. Quinton Hennigh to Condor's board of directors, and Quinton's participation in the private placement.
Dr. Hennigh is an internationally known economic geologist, with over 25 years of exploration experience and expertise with major gold mining companies such as Homestake Mining Company, Newcrest Mining Limited, and Newmont Mining Corporation. He is currently Chairman of Novo Resources Corp. which is actively exploring for gold in Western Australia. Dr. Hennigh is credited with the discovery of the Springpole alkaline gold deposit near Red Lake, Ontario, for Gold Canyon Resources, and the Rattlesnake Hills gold project in Wyoming for Evolving Gold. He holds a Bachelor of Science from the University of Missouri, and an M.Sc. and a Ph.D. in geology and geochemistry from the Colorado School of Mines.
"I am delighted to join Condor as director," commented Dr. Hennigh. "I have worked with Ever Marquez, Condor's Vice President of Exploration, on two occasions, at Newcrest Mining during the 1990's and at Newmont Mining during the 2000's, and find him to be an exceptional explorer credited with discovering the Breapampa high sulfidation gold deposit in southern Peru and the Rio Blanco copper porphyry deposit in northern Peru. Mr. Marquez is particularly knowledgeable about high sulfidation gold systems. When Ever and I recently visited Pucamayo, I instantly recognized he has discovered what is arguably one of the best untested high sulfidation systems left in Peru. High level, vapour-phase alteration underlies an area of at least six square kilometers indicating presence of a very large hydrothermal system. Within a small erosional window through this high level alteration, Ever and his team discovered outcropping vuggy silica and silica breccias carrying appreciable gold and silver that appears to conform to the level of the paleo-water table, a common control on formation of such mineralization in high sulfidation systems. Electrical resistivity data clearly indicates the presence of a blanket like resistive zone thought to be a layer of such silicified rock with a thickness of approximately 120 meters and extending continuously under an area of at least one square kilometer. This feature is open to the east, northeast and southeast. Indications of an underlying porphyry are also present. In short, the target is clear, very extensive and ready to drill. I am very happy to see this project move toward what will hopefully prove to be a significant new discovery in Peru."
"I am delighted to welcome both Crescat Capital and Dr. Hennigh as value added shareholders, and Dr. Hennigh to the board of directors" said Lyle Davis, Condor's President and CEO. "Quinton's knowledge and experience will be of great benefit to the Company and its shareholders, especially as we prepare to drill Pucamayo".
Subject to regulatory approval and vesting provisions, and pursuant to its Stock Option Plan, Condor has granted stock options to certain directors, employees and consultants to purchase an aggregate of 3,475,000 common shares of the Company at the price of $0.10 per share.
Condor is an active explorer focused exclusively on Peru, supplemented by a project generator and royalty model designed to generate exploration capital whilst minimizing shareholder dilution. Our objective in advancing our portfolio of projects is the discovery of a major new precious metals or base metals deposit in Peru. Project acquisition and exploration activities are managed by the Company's Lima based exploration team.
ON BEHALF OF THE BOARD
Lyle Davis,
President & Chief Executive Officer
For further information please contact the Company at 1-866-642-5707, or by email at info@condorresources.com
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 news release.
SOURCE: Condor Resources Inc.
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