TORONTO, ONTARIO–(Marketwired – April 15, 2016) – Potash Ridge Corporation (“Potash Ridge”) (TSX:PRK), a near term producer of premium fertilizer in North America, is pleased to announce that due to strong market demand, the Company is increasing its non-brokered private placement originally announced on April 5, 2016 to $1,750,000. The issuance has been increased by an additional $750,000 to accommodate demand from investors. Each Unit will be comprised of one common share in the capital of Potash Ridge (a “Common Share”) and one half Common Share purchase warrant that entitles the holder to purchase one Common Share at $0.30 for a period of three years from the date of closing.
The Company has closed on $1.1 million of the $1.75 million private placement. The remainder of the private placement is expected to close on or before April 20, 2016, subject to receipt of all applicable regulatory approvals. All securities issued in connection with the private placement will be subject to a restricted period that expires four months plus one day following the date of issuance.
In connection with the offering, the Company is paying finders’ fees to arm’s-length parties.
The proceeds from the private placement will be used to advance the Company’s wholly-owned Valleyfield Fertilizer and Blawn Mountain projects and for general corporate purposes.
Potash Ridge is also pleased to announce that it has nominated Mr. Chris Reid to the Board of Directors to serve as Chair of the Audit Committee. His appointment to the Board of Directors will be voted upon through the annual proxy form mailed to shareholders in advance of the Company’s annual meeting of shareholders.
Chris Reid is a Chartered Account whose career includes 11 years of experience in industry and international business. He is President and CEO of Petrodorado Energy Ltd (“Petrodorado”), a publicly listed Canadian international oil exploration company with oil operations in South America. Prior to his appointment as President and CEO, Mr. Reid served as CFO of Petrodorado for four years. Mr. Reid holds a Bachelor of Business Administration from Saint Francis Xavier University and is a member of the Institute of Chartered Accountants of Alberta.
About Potash Ridge
Potash Ridge’s strategy is to become a premier producer of sulphate of potash or SOP in North America. The Corporation owns two SOP projects: the Valleyfield Project that plans to produce SOP through the Mannheim Process; and the Blawn Mountain Project in Utah that plans to produce SOP by processing an alunite material. Potash Ridge has a highly qualified and proven management team in place with significant financial, project management and operational experience and the ability to take projects into production.
This press release contains forward-looking statements, which reflect the Corporation’s expectations regarding future growth, results of operations, performance and business prospects. These forward-looking statements may include statements that are predictive in nature, or that depend upon or refer to future events or conditions, and can generally be identified by words such as “may”, “will”, “expects”, “anticipates”, “intends”, “plans”, “believes”, “estimates”, “guidance” or similar expressions. In addition, any statements that refer to expectations, projections or other characterizations of future events or circumstances are forward-looking statements. These statements are not historical facts but instead represent the Corporation’s expectations, estimates and projections regarding future events. Forward-looking statements are necessarily based upon a number of estimates and assumptions that, while considered reasonable by the Corporation, are inherently subject to significant business, economic and competitive uncertainties and contingencies. Known and unknown factors could cause actual results to differ materially from those projected in the forward-looking statements. Such factors include, but are not limited to: the future financial or operating performance of the Corporation and its subsidiaries and its mineral projects; the anticipated results of exploration activities; the estimation of mineral resources; the realization of mineral resource estimates; capital, development, operating and exploration expenditures; costs and timing of the development of the Corporation’s mineral projects; timing of future exploration; requirements for additional capital; climate conditions; government regulation of mining operations; anticipated results of economic and technical studies; environmental matters; receipt of the necessary permits, approvals and licenses in connection with exploration and development activities; appropriation of the necessary water rights and water sources; changes in commodity prices; recruiting and retaining key employees; construction delays; litigation; competition in the mining industry; reclamation expenses; reliability of historical exploration work; reliance on historical information acquired by the Corporation; optimization of technology to be employed by the Corporation; title disputes or claims and other similar matters.
If any of the assumptions or estimates made by management prove to be incorrect, actual results and developments are likely to differ, and may differ materially, from those expressed or implied by the forward-looking statements contained herein. Such assumptions include, but are not limited to, the following: that general business, economic, competitive, political and social uncertainties remain favorable; that agriculture fertilizers are expected to be a major driver in increasing yields to address demand for premium produce, such as fruits and vegetables, as well as diversified protein rich diets necessitating grains and other animal feed; that actual results of exploration activities justify further studies and development of the Corporation’s mineral projects; that the future prices of minerals remain at levels that justify the exploration and future development and operation of the Corporation’s mineral projects; that there is no failure of plant, equipment or processes to operate as anticipated; that accidents, labour disputes and other risks of the mining industry do not occur; that there are no unanticipated delays in obtaining governmental approvals or financing or in the completion of future studies, development or construction activities; that the actual costs of exploration and studies remain within budgeted amounts; that regulatory and legal requirements required for exploration or development activities do not change in any adverse manner; that input cost assumptions do not change in any adverse manner, as well as those factors discussed in the section entitled “Risk Factors” in the Corporation’s Annual Information Form (AIF) for the year-ended December 31, 2014 found on sedar.com. The Corporation disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except as required by applicable law.