/NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES/
TORONTO, Sept. 18 /CNW/ - Canadian Arrow Mines Limited (CRO: TSX-V) (the "Company") is pleased to announce that it has closed the first tranche of its previously announced non-brokered private placement pursuant to which it issued 5,700,000 units at a price of $0.05 per unit for gross proceeds of $285,000 and 30,900,00 flow-through shares at a price of $0.05 per share for gross proceeds of $1,545,000 (together, the "Offering").
Each Unit is comprised of one common share of the Company and one-half of one common share purchase warrant (each whole such warrant being referred to herein as a "Warrant"). Each Warrant entitles the holder thereof to purchase one common share of the Company (a "Warrant Share") for a period of 18 months following the closing at an exercise price of $0.10.
The investors acquiring securities in the Offering included the MineralFields Group. "We are very pleased to have completed this phase of the offering and to have the involvement of the MineralFields Group", said Kim Tyler, the Company's President. "This is an important milestone in the growth of the Company and we look forward to working with MineralFields Group and our other investors as we develop our properties."
In connection with the Offering the Company paid a commission to certain registered dealers in the amount of 5% of the gross proceeds. It is anticipated that the closing of the remainder of the private placement will take place on or before September 30th, 2009.
The proceeds from the private placement will be used to advance exploration on its Kenbridge nickel project, its other regional projects and to provide the Company with additional working capital.
The Company has 116,938,950 shares outstanding following the completion of the Offering.
The securities issued in connection with the Offering are subject to a four month hold period.
This press release may contain "forward-looking statements" within the meaning of the Canadian securities legislation and the United States Private Securities Litigation Reform Act of 1995. These forward-looking statements are made as of the date of this press release and the Company does not intend, and does not assume, any obligation to update these forward-looking statements.
Neither TSX Venture Exchange nor its Regulation Services Provider (as
that term is defined in the policies of the TSX Venture Exchange) accepts
responsibility for the adequacy or accuracy of this release.
About Canadian Arrow Mines
Canadian Arrow Mines Limited is an experienced exploration and mine operating team that is focused on acquiring and developing economically viable nickel sulphide deposits near existing infrastructure. The Company's main priority is the Kenbridge Nickel Project a nickel-copper sulphide deposit containing over 44,000 tonnes of nickel in the measured & indicated classes located near Kenora, Ontario,, (Sedar, Aug. 19, 2008), as follows:
- Measured Resource: 3,546,000 tonnes grading 0.45% nickel, 0.24%
copper, 0.015% cobalt,
- Indicated Resource: 3,593,000 tonnes grading 0.79% nickel, 0.42%
copper, 0.018% cobalt.
The deposit remains open in three directions, is equipped with a 620 m shaft and has never been mined.
* National Instrument 43-101: Mr. E. Puritch, P. Eng., Ms. Tracy Armstrong, P.Geo., and Antoine Yassa, P.Geo. of P&E Mining Consultants Inc. are the independent qualified persons for the Kenbridge resource estimates. Mineral resources which are not mineral reserves do not have demonstrated economic viability. The estimate of mineral resources may be materially affected by environmental, permitting, legal, title, socio-political, marketing, or other relevant issues.
About MineralFields, Pathway and First Canadian Securities(R)
MineralFields Group (a division of Pathway Asset Management), based in Toronto and Vancouver, is a mining fund with significant assets under administration that offers its tax-advantaged super flow-through limited partnerships to investors throughout Canada as well as hard-dollar resource limited partnerships to investors throughout the world. Pathway Asset Management also specializes in the manufacturing and distribution of structured products and mutual funds (including the Pathway Multi Series Funds Inc. corporate-class mutual fund series). Information about MineralFields Group is available at www.mineralfields.com. First Canadian Securities(R) is active in leading resource financings (both flow-through and hard dollar PIPE financings) on competitive, effective and service-friendly terms, and offers investment banking, mergers and acquisitions, and mining industry consulting, services to resource companies. MineralFields and Pathway have financed several hundred mining and oil and gas exploration companies to date through First Canadian Securities (R).
SOURCE Canadian Arrow Mines Limited
For further information: For further information: visit the website at www.canadianarrowmines.ca, or call toll free, 1-877-262-6354