Prairie Enterprises Inc.

November 30, 2015 11:32 ET

Prairie Enterprises Agrees to Acquire Units of Copper Lake Resources Ltd.

VANCOUVER, BRITISH COLUMBIA--(Marketwired - Nov. 30, 2015) - Mr. Edward Yurkowski ("Yurkowski") announced today that Prairie Enterprises (Alberta) Inc. ("Prairie"), a company controlled by him, has entered into a shares for debt settlement agreement (the "Agreement") with Copper Lake Resources Ltd. (the "Company") pursuant to which Prairie has agreed, subject to TSX Venture Exchange ("TSXV") approval, to accept 7,000,000 units of the Company (the "Units"), at a deemed issued price of $0.05 per Unit, in full settlement of $350,000 of indebtedness owing to Prairie by the Company and the forgiveness of an additional $46,692 of indebtedness (the "Transaction"). Each Unit will be comprised of one common share of the Company (each a "Common Share") and one-half of one common share purchase warrant of the Company (each whole warrant, a "Warrant"). Each Warrant will entitle the holder thereof to purchase, in accordance with the terms of the Warrant, one Common Share at a price of $0.10 per common shares for a period of 18 months from the issuance of the Warrant.

Prior to entering into the Agreement, Yurkowski beneficially owned and controlled 1,348,278 Common Shares, representing approximately 3.3% of the Common Shares then issued and outstanding. Upon closing the Transaction, Yurkowski will beneficially own and control an aggregate of 8,348,278 Common Shares, representing approximately 17.3% of the outstanding Common Shares. If the 3,500,000 Warrants are fully exercised, Yurkowski would beneficially own and control an aggregate of 11,848,278 Common Shares of the Company, representing approximately 22.9% of the Common Shares then issued and outstanding (assuming that no other Common Shares are issued before then).

If the Transaction is approved by the TSXV, the Units will be issued to Prairie pursuant to exemptions from the prospectus requirements set out in s. 2.14 of National Instrument 45-106 Prospectus Exemptions. Depending on his evaluation of the business prospects and financial condition of the Company, general economic and market conditions and other factors, Yurkowski may from time to time increase or decrease his beneficial ownership of shares of the Company by private agreement or otherwise.

Additional information will be provided in the early warning report to be filed by Yurkowski on under the Company's profile.

Contact Information

  • For further information or a
    copy of the early warning report, please contact:
    Edward Yurkowski