TORONTO, April 11 /CNW/ - Anaconda Mining Inc. (TSX: ANX) ("Anaconda" or
the "Company") announces its intention to extend the expiry date of
unlisted common share purchase warrants ("Warrants") originally issued
under a non-brokered private placement in two tranches on April 23,
2009 and May 11, 2009 (the "2009 Warrants") and Warrants originally
issued under a non-brokered private placement on January 25, 2010 (the
At this time, the 2009 Warrants entitle the holders to purchase common
shares of Anaconda at an exercise price of $0.20 per common share until
5:00 p.m. (Toronto time) on April 23, 2011 and May 11, 2011, as
applicable. There are 10,690,723 2009 Warrants outstanding, of which
6,855,723 2009 Warrants are held by non-insiders and 3,835,000 2009
Warrants are held by insiders of the Company.
The 2010 Warrants entitle the holders to purchase common shares of
Anaconda at an exercise price of $0.22 until 5:00 p.m. (Toronto time)
on July 25, 2011. There are 3,984,069 2010 Warrants outstanding, of
which 3,576,705 2010 Warrants are held by non-insiders and 407,364 2010
Warrants are held by insiders of the Company.
The 2009 Warrants and the 2010 Warrants held by insiders of the Company
will not be extended, as consented to by such insiders. The 2009
Warrants held by non-insiders, as a result of the proposed amendment,
will entitle such holders to purchase common shares at an exercise
price of $0.20 per common share until 5:00 p.m. (Toronto time) on April
23, 2012 and May 11, 2012, as applicable. And the 2010 Warrants held by
non-insiders, as a result of the proposed amendment, will entitle such
holders to purchase common shares at an exercise price of $0.22 per
common share until 5:00 p.m. (Toronto time) on July 25, 2012. The
common shares underlying the 2009 Warrants and the 2010 Warrants held
by non-insiders which are subject to the proposed amendment represent
approximately 8.2% of the currently issued and outstanding common
shares of the Company.
The proposed amendment to the expiry date of the Warrants is expected to
be effective as of April 25, 2011. The proposed amendment is subject to
the approval of the Toronto Stock Exchange.
Anaconda is a Toronto, Canada based mining and exploration company
focused on operating the Pine Cove gold mine located near Baie Verte in
Newfoundland, Canada and, with its joint venture partner, Inversiones
SBX Limitada, advancing the development and exploration of its iron ore
portfolio in Chile.
FORWARD LOOKING STATEMENTS
This document contains or refers to forward-looking information. Such
forward-looking information includes, among other things, statements
regarding the proposed amendment to the expiry date of warrants,
targets, estimates and/or assumptions in respect of future production,
mine development costs, unit costs, capital costs, timing of
commencement of operations and future economic, market and other
conditions, and is based on current expectations that involve a number
of business risks and uncertainties. Factors that could cause actual
results to differ materially from any forward-looking statement
include, but are not limited to: the approval of the amendment to the
expiry date of warrants by the Toronto Stock Exchange; the grade and
recovery of ore which is mined varying from estimates; capital and
operating costs varying significantly from estimates; inflation;
changes in exchange rates; fluctuations in commodity prices; delays in
the development of the any project caused by unavailability of
equipment, labour or supplies, climatic conditions or otherwise;
termination or revision of any debt financing; failure to raise
additional funds required to finance the completion of a project; and
other factors. Additionally, forward-looking statements look into the
future and provide an opinion as to the effect of certain events and
trends on the business. Forward-looking statements may include words
such as "plans," "may," "estimates," "expects," "indicates,"
"targeting," "potential" and similar expressions. These forward-looking
statements, including statements regarding Anaconda's beliefs in the
potential mineralization, are based on current expectations and entail
various risks and uncertainties. Forward-looking statements are subject
to significant risks and uncertainties and other factors that could
cause actual results to differ materially from expected results.
Readers should not place undue reliance on forward-looking statements.
These forward-looking statements are made as of the date hereof and we
assume no responsibility to update them or revise them to reflect new
events or circumstances, except as required by law.
SOURCE Anaconda Mining Inc.
For further information:
Company website: www.anacondamining.com