Scottie announces closing of $ 7 million private placement

THIS PRESS RELEASE IS INTENDED FOR DISTRIBUTION IN CANADA ONLY AND IS NOT INTENDED FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR BROADCAST IN THE UNITED STATES

All monetary amounts are expressed in Canadian dollars, unless otherwise indicated.

VANCOUVER, British Columbia, June 01, 2021 (GLOBE NEWSWIRE) – Scottie Resources Corp. (TSX.V: SCOT) (“Scottie“or the”Company“) is pleased to announce that it has completed its previously announced bought deal private placement financing under a bought deal agreement dated June 1, 2021 (the”Subscription contract“) With Stifel GMP, which raised an aggregate gross proceeds of CAN $ 5,643,000 (the”Negotiated offer”). Stifel GMP acted as sole underwriter under the terms of the offering, pursuant to which the Company issued 20,900,000 flow-through common shares of the Company (the “FT actions“) At a price of CA $ 0.27 per FT Share (the”Issue price“). The Company is also pleased to announce that it has completed a simultaneous broker-less private placement (the “Offer without intermediary“, and with the Brokerage Offer, the”Offers”) 5,100,000 FT shares at the issue price for total gross proceeds of $ 1,377,000. Under the offers, the company raised total gross proceeds of $ 7,020,000.

Pursuant to the bought deal agreement, Stifel GMP received a cash commission of $ 338,580 and issued 1,254,000 warrants (“Compensation mandates”). Stifel GMP also acted as financial advisor to the Company in connection with the broker-less offering, pursuant to which it received financial advisory fees of $ 52,020 and received 153,000 indemnification warrants. In connection with the broker-less offering, the Company also paid a cash finder’s fee of $ 30,600 and issued 153,000 arm’s length warrants. Each indemnification warrant gives its holder the right to purchase one common share (a “Share of compensation vouchers) Of the Company at a price of Cdn $ 0.25 per common share for a period of 24 months from the date of issue.

The gross proceeds received by the Company from the sale of FT shares will be used to incur exploration expenses in Canada which are “flow-through mining expenses” (as these terms are defined in the Income Tax Act (Canada)) on the Company’s properties in British Columbia (the “Eligible expenses”). The Eligible Expenses will be waived by subscribers with an effective date no later than December 31, 2021.

All FT shares, compensation warrants and compensation warrants shares issued and that may be issued within the framework of the offers are subject to a statutory holding period and cannot be traded before October 2, 2021, except in to the extent permitted by applicable securities legislation. Offers are subject to final approval by the TSX Venture Exchange.

This press release does not constitute an offer to sell or the solicitation of an offer to buy and there will be no sale of the securities in a condition in which such an offer, solicitation or sale would be illegal. The securities offered have not been, and will not be, registered under the United States Securities Act of 1933, as amended (the “1933 Act”) and may not be offered or sold in the United States absent ‘registration or applicable exemption from the registration requirements of the Act of 1933, as amended, and the application of state securities laws.

ABOUT SCOTTIE RESOURCES CORP.

Scottie owns a 100% interest in the high grade and legacy Scottie Gold Mine and Bow properties and has the option to purchase a 100% interest in the Summit Lake claims which are contiguous to the Scottie Gold Mine property. Scottie also owns a 100% interest in the Cambria Project properties and the Sulu property. Scottie owns over 25,000 hectares of mining claims in the Golden Triangle.

Scottie is focused on expanding the known mineralization around the formerly producing mine while advancing near the mine’s high-grade gold targets, with the goal of providing a potential resource. All of Scottie’s properties are located in the area known as the Golden Triangle of British Columbia, which is among the most prolific mineralized districts in the world.

For more information please contact:

Scottie Resources Corp.
Brad Rourke, Managing Director
+1 250 877 9902

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.

Forward-looking statements

This press release contains forward-looking statements subject to risks and uncertainties. All statements contained, except statements of historical fact, should be considered forward-looking, including, but not limited to, statements relating to obtaining all required regulatory approvals. Although Scottie believes that the expectations expressed in these forward-looking statements are based on reasonable assumptions, these statements are not guarantees of future performance and actual results or developments may differ materially from those of forward-looking statements. Factors that could cause actual results to differ materially from those of forward-looking statements include market prices, operating and exploration successes, continued availability of capital and financing, changes in Income Tax Act (Canada) or administrative changes to its application with respect to flow-through mining expenditures and general economic, market or business conditions and regulatory, shareholder and administrative approvals, processes and requirements. There can be no assurance that such statements will prove to be correct and, therefore, readers are urged to rely on their own assessment of these uncertainties. We assume no obligation to update any forward-looking statements, except as required by applicable law.


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