2 May 2017
North Arrow Minerals Inc. (TSXV-NAR) (the "Company") is pleased to announce that the Company has arranged to complete a non-brokered private placement of up to 20,000,000 units at a price of C$0.25 per unit (the "Units") for gross proceeds of C$5,000,000. Each Unit to be issued in the private placement will consist of one common share in the capital of the Company and one common share purchase warrant (a "Warrant"). Each Warrant will entitle the holder thereof to purchase one additional common share of the Company at a price of C$0.40 for a period of three years following the closing of the private placement.
As part of the private placement, Electrum Strategic Opportunities Fund L.P. and Ross Beaty (collectively, the "Purchasers") have each agreed to make an investment of $2,000,000, together $4,000,000, towards the private placement. Upon closing of the private placement, each of the Purchasers will own 19.01% of North Arrow's outstanding shares on a partially diluted basis assuming the exercise of all Warrants acquired by such Purchaser.
Ken Armstrong, North Arrow's President & CEO, commented, "North Arrow is very pleased that today's announced private placement will significantly build upon the support of our existing strong shareholder base. These funds will allow North Arrow to complete a summer 2017 drilling and sampling program of the Q1-4 kimberlite at our 100% owned Naujaat Diamond Project, Nunavut. The program is designed to improve our understanding of the size and grade potential of Q1-4 as well as the size distribution and value characteristics of its unique diamond population."