American CuMo Mining Updates Shareholders

American CuMo Mining Corporation (TSXV:MLY) (OTC Pink:MLYCF) (“CuMoCo” or the “Company”) announces that it is closing the first tranche of a non-brokered private placement (the “Private Placement”) of Units (the “Units”). The Company intends to raise up to two million dollars through the sale of up to 20 million Units at a price of $0.10 per Unit. Each Unit consists of one common share of the Company (a “Share”) and one common share purchase warrant (a “Warrant”) exercisable to purchase an additional common share of the Company (a “Warrant Share”) at a price of $0.15 per Warrant Share for a period of two years from the date of issue, subject to an acceleration provision whereby the term of the Warrants may be accelerated if the Company’s common shares trade at or above a price of $0.175 per share for a period of 10 consecutive trading days. In such case, the Company may give notice to the holders of Warrants that the Warrants will expire 20 days from the date of providing such notice. The Private Placement is subject to TSX Venture Exchange (“TSXV”) approval. In connection with the Private Placement and in accordance with TSXV policy, the Company may pay to certain eligible finders, a finder’s fee for Units sold in the Private Placement.

The first tranche consists of a total of 6,510,000 Units for gross proceeds of $651,000. The Private Placement is being kept open as several parties are still determining their level of participation. A price reservation was previously filed with the TSXV.

The funds received will be allocated to ongoing permitting work at the CuMo Project and for general working capital.

The securities offered pursuant to the Private Placement have not been, and will not be, registered under the United States Securities Act of 1933, as amended (the “U.S. Securities Act”) or any United States state securities laws, and may not be offered or sold in the United States or to, or for the account or benefit of, U.S. persons absent registration or any applicable exemption from the registration requirements of the U.S. Securities Act and applicable U.S. state securities laws. This press release shall not constitute an offer to sell or the solicitation of an offer to buy securities in the United States, nor shall there be any sale of these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful.

In other news, the United States Forest Service and its third-party contractor, Stantec, continue to work on finalizing the Supplemental Redline Environmental Assessment (SREA) draft for the CuMo Project, having completed studies on the effects of two fires that burned through the area in 2014 and 2016. The draft is scheduled to be released to the public during the fourth quarter of 2018.

President Trump signed into law Bill H.R. 5515 National Defense Authorization Act for 2019. Included in the act is section 871 Prohibition on Acquisition of Sensitive Materials from Non-Allied Foreign Nations, which includes tungsten. With China the primary supplier of tungsten and on the prohibition list, the USA will be actively looking for domestic sources which is highly advantageous to the CuMo Project, given it is one of the largest tungsten deposits in North America.

Regarding the Calida Gold project, the Company has received the results of the detailed sample study completed by Process Mineralogical Consulting Ltd. The Company is currently reviewing the results and will report the results in a separate news release.

Finally, the Company continues to work with several parties on both its financing efforts and its projects.

Mr. Shaun M. Dykes, M.Sc. (Eng), P.Geo., President and CEO of the Company, is the designated qualified person for the CuMo Project and the Calida Gold project and has prepared the technical information contained in this news release.

About CuMoCo

CuMoCo is focused on advancing its CuMo Project towards feasibility. CuMoCo is also advancing its recently acquired Calida Gold project.  Management is continuing to build an even stronger foundation from which to move the Company and its projects forward. For more information, please visit www.cumoco.com, www.idahocumo.com and www.cumoproject.com.

For further information, please contact:

American CuMo Mining Corporation
Shaun Dykes, President and Chief Executive Officer
Tel: (604) 689-7902
Email: info@cumoco.com

Neither the TSX Venture Exchange nor its Regulation Service Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this new release.

Cautionary statement regarding forward-looking information

Forward-looking information

This news release contains “forward-looking information” within the meaning of applicable Canadian securities legislation including, but not limited to, statements that address activities, events or developments that the Company expects or anticipates will or may occur in the future, such the Company’s ability to move its CuMo Project to feasibility and production, and to become one of the largest and lowest-cost molybdenum producers in the world as well as a significant producer of copper and silver.Forward-looking information is based on a number of material factors and assumptions, including the result of exploration activities, the ability of the Company to raise the financing for a feasibility study and to put the CuMo project into production, that no labour shortages or delays are experienced, that plant and equipment function as specified that the Court will not intervene with the Company’s proposed exploration activities at the CuMo Project, and the ability of the Company to obtain all requisite permits and licenses to advance the CuMo Project and eventually bring it into production. Forward-looking information involves known and unknown risks, future events, conditions, uncertainties and other factors which may cause the actual results, performance or achievements to be materially different from any future prediction, projection or forecast expressed or implied by the forward-looking information. Such factors include, among others, the interpretation and actual results of current exploration activities; changes in project parameters as plans continue to be refined; future prices of molybdenum, silver and copper; possible variations in grade or recovery rates; labour disputes and other risks of the mining industry; delays in obtaining governmental approvals or financing, as well as those factors disclosed in the Company’s publicly filed documents, including the Company’s Management’s Discussion and Analysis for the period ended March 31, 2018. There may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that forward-looking information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking information. Except as required under applicable securities legislation, the Company undertakes no obligation to publicly update or revise forward-looking information.

Click here to connect with American CuMo Mining Corporation (TSXV:MLY) (OTC Pink:MLYCF) for an Investor Presentation.

Source: www.newsfilecorp.com