Nippon Dragon Resources announces short term financing
Brossard, Quebec, February 13th, 2017 Nippon Dragon Resources Inc. (the "Company" or "Nippon") (TSX-V Symbol: NIP) is pleased to announce that it has entered into a loan agreement for a short term financing of $100,000.00 with 9071-8776 Quebec inc.
The loan is in the form of a one-year unsecured and non-convertible loan, bearing interest at ten percent (10%) per annum. Interest totalling $10,000.00 is payable in advance upon signing the loan agreement. At any time during the term and at its sole option, the Company may proceed with early repayment of the principal and/or interest on the loan upon a 10-day minimum notice to the lender. As a loan bonus, the Company is granting 9071-8776 Quebec inc., 1,000,000 non-transferable common share purchase warrants, each warrant grants to its holder the right to purchase one common share of the Corporation at a price of $0.085 per share for a period of twelve months from the date of signing the loan agreement.
All securities issued in connection with the loan are subject to a four month and one-day hold period from the date of issuance. The Loan Bonus remains subject to the final approval of the TSX Venture Exchange.
The Corporation intends to use the net proceeds of the loan for general corporate purposes and commercialisation of its thermal fragmentation technology.
Nippon is active in the exploration and the development of gold resources in Quebec. The Corporation holds a gold property with resources recognised in accordance with NI43-101, a modular treatment plant and also an exclusive license for the Thermal Fragmentation mining method.
The company’s growth strategy is based on:
• The development of its gold deposits with the objective of producing revenue from its operations;
• Increasing the value of its mining assets by prioritizing the exploration targets; and
• The commercialisation and employment of its thermal fragmentation technology.
For additional information:
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release. This press release includes certain statements that may be deemed "forward-looking statements". All statements in this release, other than statements of historical facts, that address future exploration drilling, exploration and production activities and events or developments that the Corporation expects, are forward looking statements. Although the Corporation believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in forward-looking statements. Factors that could cause actual results to differ materially from those in forward looking statements include market prices, exploitation and exploration successes, continued availability of capital and financing, and general economic, market or business conditions.
Ressources Nippon Dragon Resources Inc. 7055 Taschereau Blvd., suite 500, Brossard (Quebec) J4Z 1A7
Tel: (450) 510-4442 www.nippondragon.com