/NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR
DISSEMINATION IN THE UNITED STATES/
VANCOUVER, Nov. 29, 2011 /CNW/ - Elgin Mining Inc. ("Elgin Mining") (TSX-V: ELG) is pleased to advise the completion of the previously announced
flow-through private placement (see News Release No . 2011-12 dated
November 7, 2011). The Company has issued 6,428,571 flow-through
common shares (the "Flow-Through Shares") at a price of $1.40 per
Flow-Through Share for aggregate gross proceeds of $9 million (the
Dundee Securities Ltd., Primary Capital Inc. and Raymond James Ltd.
acted as agents for and on behalf of Elgin Mining, with respect to the
Offering, pursuant to which they received a cash commission and 385,713
broker warrants, each of which is exercisable to acquire one common
share at a price of $1.40 until November 29, 2013.
"We plan to aggressively explore both the Ulu property and several
identified regional targets on our Lupin holdings", said Patrick
Downey, President and CEO. "With our existing treasury and this
financing we are now well funded to execute on our exploration plans."
The securities issued are subject to a hold period expiring March 30,
2012. The total gross proceeds from the sale of the Flow-Through
Shares must be used to incur Canadian exploration expenses (CEE) as
defined under the Income Tax Act (Canada) by December 31st 2012.
The Offering remains subject to the final approval of the TSX Venture
Elgin Mining Inc.
Elgin Mining is a Canadian based company focused on the exploration and
development of the Lupin gold mine and Ulu gold project, both located
in Nunavut Territory, Canada. In addition, Elgin's portfolio includes a
35% interest in Auracle Resources, which is exploring the Mexican Hat
property in Arizona and an exclusive right and option to earn a 60%
interest in Lincoln Mining's Oro Cruz (California) and La Bufa (Mexico)
gold projects. Elgin Mining will also selectively review opportunities
to add advanced stage development projects to its portfolio.
Certain information set forth in this press release contains
"forward-looking statements", and "forward-looking information" under
applicable securities laws. Except for statements of historical fact,
certain information contained herein constitutes forward-looking
statements which include management's assessment of Elgin's future
plans and operations and are based on Elgin's current internal
expectations, estimates, projections, assumptions and beliefs, which
may prove to be incorrect. Some of the forward-looking statements may
be identified by words such as "expects" "anticipates", "believes",
"projects", "plans", and similar expressions. These statements are not
guarantees of future performance and undue reliance should not be
placed on them. Such forward-looking statements necessarily involve
known and unknown risks and uncertainties, which may cause Elgin's
actual performance and financial results in future periods to differ
materially from any projections of future performance or results
expressed or implied by such forward-looking statements. There can be
no assurance that forward-looking statements will prove to be accurate,
as actual results and future events could differ materially from those
anticipated in such statements. Elgin undertakes no obligation to
update forward-looking statements if circumstances or management's
estimates or opinions should change except as required by applicable
securities laws. The reader is cautioned not to place undue reliance on
Neither TSX Venture Exchange nor its Regulation Services Provider (as
that term is defined in policies of the TSX Venture Exchange) accepts
responsibility for the adequacy or accuracy of this release.
SOURCE Elgin Mining Inc.
For further information:
For further information, please visit Elgin Mining's web site at www.elginmining.com.
Elgin Mining Inc.
President & Chief Executive Officer
Tel: (604) 682-3366
Fax: (604) 682-3363