Vancouver, B.C. / TheNewswire / December 9, 2016 - Mag One Products Inc. (OTCQB: MGPRF/CSE:MVT/FF:M1N) announces that it will

enter into a Convertible Debenture Agreement, to secure interim funds, from an unrelated party, having a principal amount of CAD$600,000 at a 10% per annum interest rate.  A bonus will be paid which will be comprised of 100,000 common shares of the Company and 100,000 common share warrants, exercisable at $0.75 each for six months from the close, which is set to occur within the next five business days.  

 

The Company also takes this opportunity to announce that it will conduct a non-brokered private placement of up to 5 million units at a price of $0.70 CAD per unit (the “Unit”) to raise up to an aggregate total of 3.5 million dollars (the “Financing”).  

 

Each Unit will consist of one common share in the equity of the Company and one share purchase warrant (the “Warrant”).  Each Warrant entitles the holder to purchase one additional common share of the Company at a price of $1.40 CAD per share for a period of one year from the closing of this Financing, subject to an acceleration clause whereby Warrants will expire in 30 days, upon announcement by the Company that its shares have traded at $2.00 or more for ten consecutive trading days.

 

The proceeds of the Financing will be used for working capital purposes.  There may be a finder’s fee payable for the Financing.  Securities issued as a result of the Financing will be subject to a statutory hold period. The Financing is subject to Canadian Securities Exchange, approval as required.

 

The principal amount of the Debenture shall be repaid out of the proceeds of the Financing.

  

s/"Nelson Skalbania"

Chairman

 

About Mag One Products, Inc.:

Mag One Products is a technology, processing and production company that aims to be the diamond standard in the Magnesium (Mg) market by concentrating on three initial projects: I. Magnesium-based structural insulated sheathing panels; II. production of MgO, Mg(OH)2 and other saleable co-products, byproducts and compounds; and III. production of 99.9% pure magnesium metal at the Company’s ore and manufacturing plant site in southern Quebec, Canada. Mag One’s advantages are its proprietary patent(s) pending technology, modular processing plant expansion concept and the fact that it has secured 50 Million tonnes of already mined, ongrade tailings which on average, contain 22% Mg (or 11 Million tonnes of Mg Metal) and pays only $1.00/tonne, as it is used. This is sufficient ore for over 100 years of production at the targeted production levels of the Mg products.

Mag One listed on the CSE with symbol, “MDD”, the Börse Frankfurt stock exchange (“Frankfurt”) and the Xetra, both with the ticker symbol “304” and the OTCQB with ticker symbol "MgPRF". The listings on the Frankfurt and OTCQB exchanges provide the company exposure to the European and U.S. markets and investors. .Certain statements contained in this release may constitute "forward–looking statements" or "forward-looking information" (collectively "forward-looking information") as those terms are used in the Private Securities Litigation Reform Act of 1995 and similar Canadian laws. These statements relate to future events or future performance. The use of any of the words “could”, “intend”, “expect”, “believe”, “will”, “projected”, “estimated”, “anticipates” and similar expressions and statements relating to matters that are not historical facts are intended to identify forward-looking information and are based on the Company’s current belief or assumptions as to the outcome and timing of such future events. Actual future results may differ materially. In particular, this release contains forward-looking information relating to the business of the Company, the Property, financing and certain corporate changes. The forward-looking information contained in this release is made as of the date hereof and the Company is not obligated to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, except as required by applicable securities laws. Because of the risks, uncertainties and assumptions contained herein, investors should not place undue reliance on forward-looking information. The foregoing statements expressly qualify any forward-looking information contained herein. This news release does not constitute an offer of securities for sale in the United States. CSE has not reviewed this news release and does not accept responsibility for the adequacy or accuracy of the content of this news release. The above news release has been provided by the above company via the OTC Disclosure and News Service and The Newswire. Issuers of news releases and not OTC Markets Group Inc. are solely responsible for the accuracy of such news releases