West High Yield closes $274,749 tranche of financing

Jul 6, 2018

2018-07-05 17:01 ET – News Release

Mr. Frank Marasco reports

WEST HIGH YIELD COMPLETES FIRST TRANCHE OF PRIVATE PLACEMENT

West High Yield (W.H.Y.) Resources Ltd. has completed the first tranche of its previously announced non-brokered private placement of units. The company issued an aggregate of 784,999 units at a price of 35 cents per unit for gross proceeds of $274,749.65. Each unit consists of one common share in the capital of the company and one-third of one common share purchase warrant. Each whole warrant entitles the holder to purchase one additional common share at an exercise price of 55 cents for a period of one year from the date of issuance of the warrant.

In connection with the private placement, the company paid a cash finder’s fee of $4,777.50 and issued 13,650 finder warrants to an eligible arm’s-length party. Each finder fee warrant is exercisable to acquire a common share at a price of 55 cents per share for a period of 12 months from the date of issuance.

All of the securities issued under the private placement are subject to a four-month resale restriction. The private placement is subject to receipt of all necessary regulatory approvals, including final approval of the TSX Venture Exchange.

As previously disclosed, assuming the maximum offering is completed, approximately $500,000 of the net proceeds are expected to be used for the continuation of the environmental baseline study, environmental assessment study and mine plan, and permit application and industrial mineral mine permit application for the company’s Record Ridge deposit near Rossland, B.C., and the balance of the net proceeds will be used for general corporate purposes. If the offering is not fully subscribed, the company will apply the proceeds to the aforementioned uses in priority and in such proportions as the board of directors and management of the company determine is in the best interests of the company. Although the company intends to use the proceeds of the offering as described herein, the actual allocation of proceeds may vary from the uses set out herein, depending upon future operations, events or opportunities.

The industrial quarry permit sought under the Mines Act (British Columbia) will allow for the extraction and sale of up to 249,000 tonnes of industrial rock per year. The company is also in the process of developing potential customers with processing facilities and the ability to process the industrial rock. It is anticipated that industrial rock sales will provide cash flows from operations while continued mine plan and permit application efforts are being made.

About West High Yield (W.H.Y.) Resources Ltd.

West High Yield is a publicly traded junior mining exploration company focused on the acquisition, exploration and development of mineral resource properties in Canada with a primary objective to locate and develop economic gold, nickel and magnesium properties.

We seek Safe Harbor.

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