VANCOUVER, BC /ACCESSWIRE/June 15, 2022/ Amarc Resources Ltd. (“Amarc” or the “Company”) (TSXV: AHR); (OTCQB: AXREF) announces that following the press release dated May 26, 2022, it has now been funded under a second loan modification agreement dated May 25, 2022, as amended, pursuant to which it has borrowed 100 another $000 to manager Robert Dickinson (the “lender”), bringing the total amount owed to him to $1.1 million. The loan is unsecured, will bear interest at 10% per annum and is repayable no later than November 26, 2024, upon the occurrence of default or the achievement of financing milestones. A separate 6-month facility for 12% interest is included in the loan modification, which the borrower can access after determining the borrower’s entitlement to short-term receipt of certain tax credit refunds cash related to the fact that the borrower has incurred exploration expenditures in Canada. In connection with the loan, Amarc will issue to the lender a loan premium in the form of 1,176,470 warrants (the “Bonus Warrants”), each entitling the holder to acquire one common share of Amarc for approximately 29 months (until November 26, 2024) at a price of $0.085 per share, subject to a prorated reduction in the term to expiration of the warrants if the loan is repaid prior to the maturity date. The bonus warrants will be subject to a four-month hold period commencing June 14, 2022. The transaction is exempt from the valuation and minority approval requirements of NI 61-101 due to the fact that it is This is a transaction involving less than 25% of Amarc’s market capitalization.
The proceeds of the loan are used to pay the initial option requirement of $100,000 for a group option of five mineral claims in British Columbia dated May 16, 2022, from an arm’s length option maker. Total additional option payments are an additional $900,000 to $100,000 per year, payable no later than May 31 of each year (total option payments are $1,000,000). The property is subject to a 2% NSR royalty, of which 1.5% is capped at $10 million. Amarc is planning immediate geophysical work on the five BC mining claims to keep them in good standing.
About Amarc Resources Ltd.
Amarc is a mining exploration and development company with an experienced and successful management team focused on developing a next generation of high-value, long-lived porphyry copper-gold mines in Colombia. -British. By combining high-demand projects with dynamic management, Amarc has created a solid platform to create value from its exploration and development-stage assets.
Amarc is advancing its 100% owned IKE, DUKE and JOY porphyry copper ± gold districts located in different prolific porphyry regions of southern, central and northern British Columbia, respectively. Each district represents significant potential for the development of multiple and significant porphyry copper ± gold deposits. It is important to note that each of the three districts is located close to industrial infrastructure – including electricity, highways and railways.
For further details of Amarc Resources Ltd., please visit the company’s website at www.amarcresources.com or contact Dr. Diane Nicolson, President and CEO, at (604) 684-6365 or in North America at 1-800-667-2114.
ON BEHALF OF COUNCIL
Dr. Diane Nicolson
President and CEO
Neither the TSX Venture Exchange nor any other regulatory authority accepts responsibility for the adequacy or accuracy of this release.
THE SOURCE: Amarc Resources Ltd.
See the source version on accesswire.com: