Symbol: KCR: TSX
MONTREAL, June 20 /CNW Telbec/ - Cancor Mines Inc. (the "Company") is
pleased to announce that it has entered into an agreement with IBK Capital
Corp. (the "Agent") to raise up to $4,000,000 by way of a private placement of
16 million Units at a price of $0.25 per Unit. Each Unit consists of one
Common Share and one half of one Purchase Warrant. Each full Purchase Warrant
will entitle the holder thereof to purchase one Common Share at a price of
$0.40 for a period of 24 months after the closing of the private placement.
The Agent will receive a cash fee equal to 8% of the gross proceeds
raised from the placement, as well as broker's warrants, exercisable for a
period of 24 months, to purchase that number of Common Shares which is equal
to 10% of the number of Units sold under the offering.
Completion of the private placement is subject to receipt of all
necessary regulatory approvals. A portion of the proceeds of the financing
will be used to fund a $2,500,000 exploration and drilling program on the
Kistabiche property and a $1,000,000 exploration and drilling program on the
Gemini Turgeon and Allard properties. The balance of the proceeds will be used
for general corporate purposes.
The securities offered have not been registered under the United States
Securities Act of 1933, as amended, and may not be offered or sold in the
United States or to, or for the benefit of U.S. persons except in certain
transactions exempt from the registration requirements of such Act. This news
release shall not constitute an offer to sell nor the solicitation of an offer
to buy nor shall there be any sale of the securities in any state in which
such offer, solicitation or sale would be unlawful.
Cancor Mines Inc. is a Canadian mining company engaged in the exploration
and development of properties with gold and base metal potential in
established mining camps.
All Cancor Mines Inc. press releases are available at the Company's
Caution concerning forward-looking statements
This press release contains certain "forward-looking statements",
including, but not limited to, the statement regarding exploration work and
the emphasis on looking for a certain type of deposit. Forward-looking
statements involve a number of risks and uncertainties. There can be no
assurance that such statements will prove to be accurate. Actual results and
future events could differ materially from those anticipated in such
statements. Risks and uncertainties that could cause results or future events
to differ materially from current expectations expressed or implied by the
forward-looking statements include, among other things, those set forth in
Cancor's 2006 Annual Information Form, a copy of which can be obtained on the
SEDAR website at www.sedar.com.
For further information:
For further information: Mr. Kamil Khobzi, President, (514) 849-3013