Toronto, ON / ACCESSWIRE - March 17, 2021 - Tashota Resources Inc. (the “Company” or “Tashota”) is pleased to announce that it has closed a strategic, non-brokered private placement financing (the “Financing”) with Crescat Capital LLC (“Crescat”). Crescat has invested $1.1 million representing a 13.0% ownership position (post-investment) in the Company. Crescat also has the option to participate in future financings to maintain their interest level in the Company for three (3) years from the date of closing.
The private placement financing consists of 11,000,000 units (the “Units”) of the Company at $0.10 per unit, for gross proceeds of $1,100,000. Each Unit consists of one common share and one share purchase warrant (the “Warrant”). Each Warrant entitles Crescat to purchase one additional common share, up to a total of 11,000,000 at an exercise price of $0.15. The warrants will expire on December 31, 2123 but are subject to an acceleration clause. The net proceeds of the Financing will be used to explore Tashota’s Hemlo West project in North-Western Ontario and for general working capital.
Charles Elbourne, Director, President and CEO of Tashota, stated, “We are pleased to welcome Crescat Capital as a strategic investor. Being selected by Crescat as a significant investor in Tashota substantiates management's vision of acquiring the right properties, in the right jurisdictions, at the right time. It also confirms our belief that the gold market is on a major upward cycle. We know Crescat is an active investor and we look forward to working with our new partners who bring a proven track record of financial and technical strength to help unlock the full potential of our assets over the long term, building value for all shareholders. Tashota is now well-positioned to move forward with exploration and drilling programs on our properties this summer”.
Kevin Smith, Crescat’s founder and Chief Investment Officer, commented that, “Tashota has an outstanding management and advisory team that has accumulated an impressive portfolio of properties across Western Ontario. We are particularly excited about the opportunity at Hemlo West. This sort of opportunity fits our friendly activist investment approach very well, and we look forward to working with the Company develop and implement a drill program at this highly prospective property.”
Quinton Hennigh, newly appointed technical advisor to Tashota, commented "Tashota has a large portfolio of quality holdings in several of the prolific gold belts across Western Ontario. One that caught our attention is their Hemlo West/Black River property (9,960 acres), strategically positioned approximately 2,500 metres west of Barrick’s open pit. Barrick has been drilling progressively westward along shear zones for the past several years with, according to the company, "encouraging" results. We see a critical window where those shear zones pass near Hemlo West and potentially dip onto our property. I plan to work with Tashota’s team to develop a better understanding of this target window, and more importantly, to drill test this concept. We are delighted to hold a large stake in an exciting opportunity such as this.”
Charles Elbourne, President and CEO, commented, "We are delighted to have Quinton join the Tashota team and that he shares our belief in the exceptional potential of the Hemlo project. His experience and global discovery record will significantly support us as we expand the Company's Hemlo West property, situated directly adjacent to Barrick Gold’s Hemlo operations. Dr. Hennigh is an internationally-renown economic geologist with over 30 years of exploration experience with major gold mining companies, including Homestake Mining Company, Newcrest Mining Limited, and Newmont Mining Corporation, where he last served as senior research geologist in 2007. He has since made several significant gold discoveries for Canadian exploration companies, such as the 5 million oz. Springpole alkaline gold deposit near Red Lake, Ontario, for First Mining Gold. He is currently Chairman and President of Novo Resources Corporation, which he helped start in 2010 and is an adviser to Eskay Mining Corp., Kirkland Lake Gold and Lion One Metals Ltd., along with several other companies.
About Crescat Capital LLC
Crescat is a global macro asset management firm founded in 1994 by Kevin Smith, CFA, headquartered in Denver, Colorado. Crescat's mission is to grow and protect wealth over the long term by deploying tactical investment themes based on proprietary value-driven equity and macro models. Crescat's goal is industry-leading absolute and risk-adjusted returns over complete business cycles with low correlation to standard benchmarks. The Company's investment process involves a mix of asset classes and strategies to assist with each client's unique needs and objectives and includes Global Macro, Long/Short, Large Cap and Precious Metals funds. Crescat is advised by its technical consultant, Dr. Quinton Hennigh, on investments in gold and silver resource companies. Dr. Hennigh obtained his Ph.D. in Geology/Geochemistry from the Colorado School of Mines and has more than 30 years of exploration experience with major gold mining firms.
About Tashota Resources Inc.
Tashota Resources Inc. (“TRI”) is a Prospect Generator junior resource Exploration Company currently focused on defining and monetizing the mineral deposits on its multiple properties that cover nearly 45,000 acres in historically prolific gold camps in Northern Ontario. TRI has a stellar management and advisory team with significant exploration, engineering, project financing and permitting experience, including decades-long experience in prospecting and mining operations in the Hemlo, Shebandowan, and Beardmore-Geraldton Gold Camps where TRI has significant property interests.
ON BEHALF OF THE BOARD,
Charles J. Elbourne, President & CEO
For further information, please contact:
Charles J. Elbourne, President & CEO
Tashota Resources Inc.
82 Richmond St. East, Suite 401
Toronto, Ontario M5C 1P1
Telephone: 416-315-6490
Email: This email address is being protected from spambots. You need JavaScript enabled to view it.
Website: www.tashotaresources.com
In presenting this information, TRI is not making an offer to sell nor soliciting an offer to buy any securities, certifying the completeness or accuracy of this information, or assuming that the recipient is qualified to consider this opportunity. Accordingly, this document does not and is not intended to comply in any manner with any United States or Canadian securities or disclosure laws or requirements. Prior to making or soliciting any such offer, the Company will provide access to such information and will comply with the requirements of applicable securities laws.
