Aguia Resources Limited

Aguia Resources Limited

July 06, 2017 15:12 ET

Aguia Resources Limited Announces Final Closing of Private Placement

TORONTO, ONTARIO--(Marketwired - July 6, 2017) -


Aguia Resources Limited (the "Company" or "Aguia") (ASX:AGR)(TSX VENTURE:AGRL) is pleased to announce that the Company has completed the final tranche of its previously announced brokered private placement offering. The private placement was closed in three tranches between June 30 and July 6, and consisted of the sale of an aggregate of 26,360,835 units of the Company at a price of $0.40 per unit for gross proceeds of $10,544,334. Each unit is comprised of one ordinary share of the Company and one-half of one share purchase warrant. Each whole warrant is exercisable at a price of $0.65 per ordinary share of the Company until June 30, 2020.

Paradigm Capital Inc. acted as lead agent for the offering, together with Jett Capital Advisors, LLC, and Canaccord Genuity Corp. The agents were paid an aggregate of $456,486.68 in commissions, and were reimbursed applicable expenses. No other compensation was paid to the agents in connection with the offering.

An aggregate of 6,335,000 of the units in the private placement were issued in Canada. The shares and warrants underlying these units will be subject to a statutory hold period of four months plus a day from the date of issuance in accordance with applicable securities legislation.

The Company intends to use the net proceeds of the private placement to fund exploration at its Três Estradas Project, advance a bankable feasibility study at the Três Estradas Project, and fund corporate expenses.

About the Company

Aguia Resources Limited is listed on the Australian Stock Exchange and the TSXV and is primarily focused on the exploration and development of phosphate projects in Brazil. Aguia has an established and highly experienced in-country team based in Belo Horizonte, Brazil with corporate offices in Sydney, Australia. Aguia's key projects are located in Rio Grande do Sul, a prime farming area which is 100% dependent on phosphate imports. The Rio Grande phosphate deposits are ideally located with proximity to road, rail, and port infrastructure. Aguia's experienced management team has a proven track record of advancing high quality mining assets to production in Brazil.

Other Information

Neither the TSXV nor its Regulation Services Provider (as that term is defined in the policies of the TSXV) accepts responsibility for the adequacy or accuracy of this release and has in no way passed upon the merits of the Transaction and has neither approved nor disapproved of the contents of this press release.

Cautionary Statements Regarding Forward Looking Information

This press release contains "forward-looking information" within the meaning of Canadian securities legislation. All information contained herein that is not clearly historical in nature may constitute forward-looking information. Generally, such forward-looking information can be identified by the use of forward-looking terminology such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or state that certain actions, events or results "may", "could", "would", "might" or "will be taken", "occur" or "be achieved". Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of the Company to be materially different from those expressed or implied by such forward-looking information, including but not limited to: (i) volatile stock price; (ii) the general global markets and economic conditions; (iii) the possibility of write-downs and impairments; (iv) the risk associated with exploration, development and operations of mineral deposits; (v) the risk associated with establishing title to mineral properties and assets; (vi) the risks associated with entering into joint ventures; (vii) fluctuations in commodity prices; (viii) the risks associated with uninsurable risks arising during the course of exploration, development and production; (ix) competition faced by the resulting issuer in securing experienced personnel and financing; (x) access to adequate infrastructure to support mining, processing, development and exploration activities; (xi) the risks associated with changes in the mining regulatory regime governing the resulting issuer; (xii) the risks associated with the various environmental regulations the resulting issuer is subject to; (xiii) risks related to regulatory and permitting delays; (xiv) risks related to potential conflicts of interest; (xv) the reliance on key personnel; (xvi) liquidity risks; (xvii) the risk of potential dilution through the issue of resulting issuer common shares; (xviii) the resulting issuer does not anticipate declaring dividends in the near term; (xix) the risk of litigation; and (xx) risk management.

Forward-looking information is based on assumptions management believes to be reasonable at the time such statements are made, including but not limited to, continued exploration activities, no material adverse change in metal prices, exploration and development plans proceeding in accordance with plans and such plans achieving their stated expected outcomes, receipt of required regulatory approvals, and such other assumptions and factors as set out herein. Although the Company have attempted to identify important factors that could cause actual results to differ materially from those contained in the forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such forward-looking information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such forward-looking information. Such forward-looking information has been provided for the purpose of assisting investors in understanding the Company and the resulting issuer's business, operations and exploration plans and may not be appropriate for other purposes. Accordingly, readers should not place undue reliance on forward-looking information. Forward-looking information is made as of the date of this news release, and the Company and the resulting issuer do not undertake to update such forward-looking information except in accordance with applicable securities laws.

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