CANEX Metals Inc. (TSXV:CANX) has unveiled a C$2.5 million private placement where Michael Gentile, CFA, will acquire a 10.5% interest in the outstanding common shares of the company.
Highlights
- Michael Gentile, CFA makes strategic investment in CANEX Metals and will own 10.5% (partially diluted) of the company upon closing of the financing.
- Blair Schultz is joining the board of Directors. Mr. Schultz will be adding to his existing investment in the company and upon closing of the transaction Mr. Schultz will own 5.3% (partially diluted) of CANEX.
- Altius Minerals (ALS-T) have recently exercised their remaining 500,000 warrants for proceeds of $40,000. Upon closing of the financing Altius Minerals will own 7.4% of CANEX and remains a key supportive and founding shareholder of the company.
- The company will use the proceeds of the financing to drill test the potential for bulk tonnage oxide gold along a recently expanded mineralised corridor that is now 3.2 kilometres long by up to 500 metres wide at the Gold Range property.
- Upon closing the company will be in a very strong financial position and will have the ability to advance exploration at Gold Range at an expedited pace.
- Assay results for 28 RC drill holes are pending.
Mr Gentile is considered one of the leading strategic investors in the junior mining sector, owning significant positions in over 15 small-cap mining companies. He is currently a strategic advisor to Arizona Metals (AMC-V) and a director of Northern Superior Resources (SUP-V), Roscan Gold (ROS-V), Radisson Mining Resources (RDS-V) and Solstice Gold (SGC-V). Mr Gentile recently co-founded Bastion Asset Management, an investment management firm based out of Montreal, Quebec and was previously a Senior Portfolio Manager with Formula Growth Limited.
“I was quite attracted to CANEX as it has the potential for a higher-grade oxide gold deposit with scale in the great jurisdiction of Arizona,” Mr Gentile said.
“It also has many of the other attributes I look for in a junior exploration company; CANEX Metals has a solid geological team led by Dr. Shane Ebert, a strong capital markets advisor in Gordon Fernandes and augmented today by the addition of Blair Shultz to the board of directors and is complimented by a highly concentrated and supportive shareholder base.
Finally, CANEX trades currently at a very modest valuation, this financing announced today will allow them to aggressively advance their Gold Range discovery and highlight its potential to the market.”
Mrs Schultz will be participating in the current financing and will own 5.3% of CANEX shares upon closing. He has over 25 years of capital markets and financial experience including senior executive roles and brings significant merger and acquisition experience to the board. Among his successes includes time spent at Klondex Mines where he played an active role with the Board and Management orchestrating a recapitalisation from an insolvent explorer into a producer, concluding with the sale of Klondex to Hecla Mining Company.
Mr Schultz currently serves on the board of Solstice Gold with previous board memberships which include Ring the Bell Capital Corp which was successful with an RTO transaction for Arizona Metals Corp., Klondex Mines Ltd., Eastmain Resources, 1911 Gold, OK2 Minerals, and VMS Ventures Inc. Mr Schultz began his career with K2 and Associates Investment Management Inc., one of Canada’s top hedge funds. Mr. Schultz holds an Honours Bachelor of Mathematics degree from the University of Waterloo with a Business Administration option from Wilfred Laurier University.
“I’m really excited to be joining the CANEX Metals team. I have been a shareholder for some time and the prospects of the Gold Range in Arizona really excite me. I look forward to lending my experience to the Board of Directors and I’m pleased that my appointment will add a third independent director,” Mr Schultz said.
Dr. Shane Ebert, President of CANEX Metals, said Mr Gentile’s involvement in CANEX and his support is a strong endorsement of the potential of our new gold discovery at the Gold Range Project in Northern Arizona.
“We welcome Blair Schultz to our Board of Directors, his extensive knowledge of capital markets, mergers and acquisitions, and junior exploration company management will be a great addition for the company. Blair has worked on projects throughout Arizona and Nevada and his knowledge of operating in the Western USA and strong networks will be a tremendous asset in moving the company forward.”
With this financing completed, CANEX will be fully funded and will look to commence a large drill program that will seek to test the continuity of the 3.2 kilometer long by up to 500 m wide oxide gold mineralised corridor at Gold Range.
To date results from 68 drill holes have been received from the Gold Range project confirming oxide gold mineralisation at 3 zones along the corridor. Recent soil and rock sampling has further expanded the target zones and has identified several parallel zones that remain to be drill tested. CANEX is waiting on the results of 28 reverse circulation drill holes.
For further information please visit: https://canexmetals.ca/
