TORONTO, Dec. 4, 2013 /CNW/ - Treasury Metals ("Treasury Metals" or the
"Company") is pleased to announce that it has entered into an agreement
with Secutor Capital Management Corp. ("Secutor"), pursuant to which a
syndicate of agents led by Secutor and including Canaccord Genuity
Corp. (the "Agents") will raise aggregate gross proceeds of up to $2.5
million in flow-through common shares of the Company ("Flow-Through
Shares") at a price of $0.40 per Flow-Through Share (the "Offering").
In addition, the Company will grant the Agents an option to sell
additional Flow-Through Shares to raise additional gross proceeds of up
to $450,000 exercisable at any time before the closing of the
Offering. The net proceeds of the Offering will be used for the
advancement of the Company's Goliath Gold Project and general working
Closing of the Offering is anticipated to occur on or about December 19,
2013. Closing of the Offering is subject to receipt of regulatory
approvals, including the acceptance of the Offering by the Toronto
Stock Exchange. The Flow-through Shares issued pursuant to the Offering
will be subject to a four-month hold period under applicable securities
laws in Canada.
In consideration of the Agents' services, the Company has agreed to pay
the Agents a cash commission of 7.0% of the gross proceeds raised under
Treasury Metals is also pleased to announce it has been notified by RMB
Resources Inc. ("RMB") that RMB has issued final approval of its
mandate to arrange for and provide to the Company a $6,000,000
Feasibility Finance Facility by the lender, RMB Australia Holdings
Limited (see News Release November 15, 2013).
This news release does not constitute an offer to sell or a solicitation
of an offer to buy the securities described herein in the United
States. The securities described herein have not been and will not be
registered under the United States Securities Act of 1933, as amended,
and may not be offered or sold in the United States or to the account
or benefit of a U.S. person absent an exemption from the registration
requirements of such Act.
About Treasury Metals Inc.:
Treasury Metals Inc. is a Toronto-based, TSX-listed mining exploration
and development company developing and permitting the Goliath Gold
Project located in Northwestern Ontario. The Company's flagship Goliath
Gold Project is a high-grade gold resource that demonstrates strong
market fundamentals, access to excellent infrastructure and a skilled
local workforce. Treasury Metals has commenced the mine permitting
process at its solely owned project with the vision of a combination of
surface and underground mining methods and one of four projects
advanced to the permitting stage in the province. Established in 2008,
Treasury Metals operates corporate headquarters in Toronto and a
project office at the Goliath Gold Project.
To view further details about the Goliath Gold Project, please visit the
Company's website at www.treasurymetals.com.
This press release contains forward-looking statements such as the
expected use of the net proceeds from the private placement, our future
financial condition, business plans and objectives, results of
operations and business. Such statements are based on operations,
estimates, forecasts and projections. They are not guarantees of future
performance or events and involve risks and uncertainties that are
difficult to predict and may be beyond Treasury Metals' control. A
number of important factors could cause actual outcomes and results to
differ materially from those expressed in forward-looking statements,
including those set forth herein and in other public filings. In
addition, such statements relate to the date on which they are made.
Consequently, undue reliance should not be placed on such
forward-looking statements. Treasury Metals disclaims any intention or
obligation to update or revise any forward-looking statements, whether
as a result of new information, future events or otherwise, save and
except as may be required by applicable securities laws.
SOURCE: Treasury Metals Inc.
For further information:
Vice President, Corporate Development
President and Chief Executive Officer