Leocor Mining closes $4-million private placement

Executive Summary

• Leocor Mining Inc. has closed a non-brokered private placement, issuing 80 million units for gross proceeds of $4 million.
• The proceeds are designated for exercising convertible securities held in Intrepid Metals Corp. and for general working capital.
• An insider holding over 10% of shares purchased 20 million units, constituting a related party transaction exempt from formal valuation requirements under MI 61-101.

Key Details

• Transaction Structure: Non-brokered private placement of units.
• Units Issued: 80,000,000 units.
• Price Per Unit: $0.05 CAD.
• Gross Proceeds: $4,000,000 CAD.
• Warrant Terms: Each unit includes one common share purchase warrant. Warrants are exercisable for one additional common share at an exercise price of $0.10 CAD. Warrants have a term of three years from the date of closing.
• Use of Proceeds: Exercise of convertible securities of Intrepid Metals Corp. held by Leocor and general working capital purposes.
• Insider Participation: An insider (holding >10% of common shares) purchased 20,000,000 units.
• Regulatory Context: The insider's purchase is a related party transaction under Multilateral Instrument 61-101. It is exempt from formal valuation and minority shareholder approval because the fair market value of securities issued to the insider does not exceed 25% of the company's market capitalization.
• Disclosure Timing: No material change report was filed 21 days prior to closing because insider participation details were not settled until shortly before closing. A material change report will be filed subsequently.
• Finders' Fees: None paid.
• Resale Restrictions: All securities are subject to a hold period of four months and one day.

Notable Quotes

• None provided in the text.