Vancouver, B.C., February 24, 2014 - BIG NORTH GRAPHITE CORP. (TSX-V: NRT) (OTC: BNCIF) (the "Company" or "Big North"), announces that it has closed the first tranche of a private placement announced January 10, 2014. A total of 5,058,332 units (the "Units") at a price of 6 cents per Unit have been issued for gross proceeds of $303,500 (the "Offering").
Each Unit consists of a common share in the capital of the Company (a "Share") and one common share purchase warrant (a "Warrant"). Each Warrant entitles the holder to acquire one Share at a price of $0.075 per Share for two years following the closing of the Offering.
All securities issued in connection with the Offering will be subject to a four month hold period expiring on June 25, 2014, in accordance with applicable Canadian securities laws. Net proceeds from the Offering will be applied towards the acquisition of the El Tejon graphite mine in Oaxaca, Mexico (see December 19, 2013 press release) and for general working capital purposes. The Offering remains subject to final acceptance by the TSX Venture Exchange.
In connection with the Offering, the Company paid certain finders (the "Finders") a cash commission equal to 7% of the proceeds of the sale of Units by such Finder and issued finder's compensation warrants (the "Finder's Warrants") equal to 7% of the number of Units sold by such Finder.
None of the securities issued in connection with the Offering will be registered under the U.S. Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements. This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in any jurisdiction in which such offer, solicitation or sale would be unlawful.
About Big North Graphite Corp.
Big North is a graphite development and exploration company focused on select projects in Mexico and Canada. The Company acquired three past producing amorphous graphite mines in Sonora, Mexico and is working towards accelerating the restart of the Nuevo San Pedro amorphous graphite mine. Big North is currently in the Test Mining phase at Nuevo San Pedro and has completed sales of amorphous graphite totaling 760 tons to date.
Big North has started the assembly of a processing plant that will be used for crushing, screening, sizing and drying of amorphous graphite to the specifications of future customers. Further, the Company has commenced a strategy of buying unprocessed amorphous graphite from local miners who do not possess the ability to process or ship to end users.
Recently, Big North acquired the El Tejon Flake Graphite Mine and Mill in Oaxaca, Mexico.
Big North also owns high priority, large flake graphite exploration projects in Ontario and Quebec, Canada.
For further information please contact Spiro Kletas at (604) 629-8220.
ON BEHALF OF THE BOARD
(signed) "Spiro Kletas"
President and Chief Executive Officer
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.
Except for historical information contained herein, this news release contains forward-looking statements that involve risks and uncertainties. Actual results may differ materially. Except as required pursuant to applicable securities laws, the Company will not update these forward-looking statements to reflect events or circumstances after the date hereof. More detailed information about potential factors that could affect financial results is included in the documents filed from time to time with the Canadian securities regulatory authorities by the Company.
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