TORONTO, ONTARIO–(Marketwired – Dec. 23, 2015) – Augusta Industries Inc. (the “Corporation”) (TSX VENTURE:AAO) is pleased to announce that it has completed its non-brokered private placement.
The Corporation issued an aggregate of 19,880,000 units (the “Units”) of the Corporation at a price of $0.05 per Unit for gross proceeds of $994,000. Each Unit consists of one (1) common share and one half (1/2) of a common share purchase warrant (“Warrant”). Each whole Warrant entitles the holder to purchase one (1) common share at any time until close of business on December 18, 2018. Each whole warrant is exercisable at an exercise price of $0.10 per Warrant until December 18, 2016 and then is exercisable at an exercise price of $0.15 per Warrant until December 18, 2018.
The securities issued pursuant to the private placement are subject to resale restrictions expiring April 19, 2016. The Corporation intends to use the proceeds for general working capital.
About the Corporation:
Through its wholly owned subsidiaries, Marcon International Inc. (“Marcon”) and Fox-Tek Canada Inc. (“Fox-Tek”), the Corporation provides a variety of services and products to a number of clients.
Marcon is an industrial supply contractor servicing the energy sector and a number of US Government entities. Marcon’s principal business is the sale and distribution of industrial parts and equipment (Electrical, mechanical and Instrumentation.) In addition to departments and agencies of the U.S. Government, Marcon’s major clients include Saudi Arabia-Sabic Services (Refining and Petrochemical), Bahrain National Gas Co, Bahrain Petroleum, Qatar Petroleum, Qatar Gas, Qatar Petrochemical, Gulf of Suez Petroleum, Agiba Petroleum and Burullus Gas Co.
Fox Tek develops non-intrusive asset health monitoring sensor systems for the oil and gas market to help operators track the thinning of pipelines and refinery vessels due to corrosion/erosion, strain due to bending/buckling and process pressure and temperature. The Corporation’s FT fiber optic sensor and corrosion monitoring systems allow cost-effective, 24/7 remote monitoring capabilities to improve scheduled maintenance operations, avoid unnecessary shutdowns, and prevent accidents and leaks.
The TSX Venture Exchange has in no way passed upon the merits of the proposed transaction and has neither approved nor disapproved the contents of this press release.
This press release contains forward-looking statements based on assumptions, uncertainties and management’s best estimates of future events. Actual results may differ materially from those currently anticipated. Investors are cautioned that such forward-looking statements involve risks and uncertainties. Important factors that could cause actual results to differ materially from those expressed or implied by such forward-looking statements are detailed from time to time in the Corporation’s periodic reports filed with the Ontario Securities Commission and other regulatory authorities. The Corporation has no intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
Augusta Industries Inc.
Allen Lone
President, CEO
(905) 338 -2323 Ext 22
atlone@fox-tek.com