TORONTO, April 4 /CNW/ - Guyana Goldfields Inc. (TSX:GUY) ("GGI" or the Company") confirms that IFC, the member of the World Bank Group focused on private
sector investments in developing countries, has completed the exercise
of all 1,730,000 warrants to acquire 1,730,000 common shares of the
Company for a total subscription cost of $7,612,000. These warrants
were acquired by the IFC in March 2006 in connection with a private
placement (see press release dated March 9, 2006).
Guyana Goldfields now has approximately $59 million in cash and
short-term bank guaranteed investment certificates, no remaining
warrants, and no debt. There are currently 83 million shares issued and
The IFC currently holds approximately 6.3% of the outstanding common
shares of the Company and has been a shareholder since 2006.
Claude Lemasson, President and COO, commented, "We appreciate the
support that the IFC is providing as a significant shareholder in the
Company which demonstrates their continued commitment to our
exploration and development programs. The funds received from this
warrant exercise will enable the Company to continue aggressively
proceeding with exploration drill programs at both Aurora and Aranka,
while maintaining a solid balance sheet with minimal share dilution".
About the IFC
IFC, a member of the World Bank Group, is the largest global development
institution focused on the private sector in developing countries. IFC
creates opportunity for people to escape poverty and improve their
lives. IFC does so by providing financing to help businesses employ
more people and supply essential services, by mobilizing capital from
others, and by delivering advisory services to ensure sustainable
development. In a time of global economic uncertainty, IFC's new
investments climbed to a record $18 billion in fiscal 2010. For more
information, visit www.ifc.org.
About Guyana Goldfields Inc.
Guyana Goldfields Inc. is a Canadian based mineral exploration Company
primarily focused on the exploration and development of gold deposits
in Guyana, South America where the Company has operated since 1996.
The Company is currently undertaking drilling and studies to advance
and develop the Aurora Gold Project in Guyana with a current total
resource of 6.7 million ounces gold (5.34 million oz Measured &
Indicated; 1.33 million oz Inferred). An updated resource estimate will
be released in August 2011 followed by a Feasibility Study in the
fourth quarter of 2011.
At the Aranka Properties, currently in advanced staged exploration,
drilling of highly prospective targets is ongoing. The Company
discovered a gold deposit at Sulphur Rose containing an initial
inferred resource of 460,400 oz and plans to release an updated
resource estimate in August 2011.
Forward Looking Statements - Certain information set forth in this news
release may contain forward-looking statements that involve substantial
known and unknown risks and uncertainties. These forward-looking
statements are subject to numerous risks and uncertainties, certain of
which are beyond the control of Guyana, including, but not limited to
the impact of general economic conditions, industry conditions,
volatility of commodity prices, risks associated with the uncertainty
of resource and reserve estimates, currency fluctuations, dependence
upon regulatory approvals, the availability of future financing and
exploration risk. Readers are cautioned that the assumptions used in
the preparation of such information, although considered reasonable at
the time of preparation, may prove to be imprecise and, as such, undue
reliance should not be placed on forward-looking statements.
SOURCE Guyana Goldfields Inc.
For further information:
Guyana Goldfields Inc.,
President & COO,
Vice President, Corporate Communications
Tel: (416) 628-5936 Ext. 2295,
Fax: (416) 628-5935,