NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES
August 14, 2015 – Vancouver, BC, Canada. – Select Sands Corp (TSXV: SNS, OTC: CLICF)(the “Company”) is pleased to announce a first tranche closing raising gross proceeds of $2,690,000 in its $5.0 million non-brokered private placement originally announced on July 15, 2015. The first tranche consisted of 6,725,000 Units at a price of $0.40 per Unit. Each Unit was comprised of one common share of the Company and one-half of a share purchase warrant, with a whole warrant exercisable to purchase a further common share of the Company at a price of $0.60 for a period of 3 years after closing. The Company has received subscription agreements for the remaining $2.34 million and anticipates closing the second tranche in the near future.
An aggregate of $91,875 in cash and 306,250 finder warrants were paid and issued as finder fees in connection with the first tranche. Each finder warrant is exercisable to purchase a common share of the Company at a price of $0.40 for a period of 3 years after closing. All securities issued in the first tranche will have a four-month statutory hold period, expiring on December 14, 2015. For further information, please see the Company’s news releases dated July 15 and August 5, 2014.
“Crews and equipment have now been mobilized to prepare our Sandtown project for production. Land clearing has already begun,” commented Select Sands CEO Rasool Mohammad. “All major US public sand producers have recently confirmed that demand has been increasing for the “Ottawa White” finer-mesh sand products which the Sandtown project will be producing.”
About Select Sands Corp.
Select Sands’ Sandtown property, located in Northeast Arkansas, USA, is underlain by the Ordovician St. Peter sandstone formation, which is a major source of ‘Ottawa White’ Tier-1 frac sand/industrial sand selling into major US oil and gas basins as well as industrial and speciality end markets. The Sandtown property is located 3.1 miles from Highway 167 near a natural gas pipeline. The property has an active power line on the property and is located approximately 14.7 miles away from the nearest rail system (See December 4, 2014 News Release). Compared to competitive sand mines located in Wisconsin owned by the largest U.S. frac sand producers, Sandtown has a competitive location advantage as it is approximately 650 rail miles closer to the Texas/Louisiana oil/gas plays as well as the Houston port and industrial hub.
As per Tetra Tech of Golden Colorado and Vancouver, BC, Canada, recently completed report, 40% of the Sandtown property contains 22 million tons of Indicated resources of silica sand with a pre-tax NPV valued at US $160 million (See June 10,2015 News Release).
The Company also owns high-grade gold deposits in the La Ronge Gold Belt, northern Saskatchewan.
Cameron Bartsch, M.Sc., P.Geo., of Tetra Tech, a Qualified Person as defined by National Instrument 43-101, has reviewed the scientific and technical information disclosed in this News Release.
For more information about Select Sands Corp., please visit www.selectsandscorp.com or contact Rasool Mohammad, B.Sc. (Mining), President & CEO.
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 News Release includes forward-looking information and statements, which may include, but are not limited to, information and statements regarding or inferring the future business, operations, financial performance, prospects, and other plans, intentions, expectations, estimates, and beliefs of the Company. Information and statements which are not purely historical fact are forward-looking statements. Forward-looking information and statements involve and are subject to assumptions and known and unknown risks, uncertainties, and other factors which may cause actual events, results, performance, or achievements of the Company to be materially different from future events, results, performance, and achievements expressed or implied by forward-looking information and statements herein. Although the Company believes that any forward-looking information and statements herein are reasonable, in light of the use of assumptions and the significant risks and uncertainties inherent in such information and statements, there can be no assurance that any such forward-looking information and statements will prove to be accurate, and accordingly readers are advised to rely on their own evaluation of such risks and uncertainties and should not place undue reliance upon such forward-looking information and statements. Any forward-looking information and statements herein are made as of the date hereof, and except as required by applicable laws, the Company assumes no obligation and disclaims any intention to update or revise any forward-looking information and statements herein or to update the reasons that actual events or results could or do differ from those projected in any forward looking information and statements herein, whether as a result of new information, future events or results, or otherwise, except as required by applicable laws.