VANCOUVER, Dec. 23 /CNW/ - Kimber Resources Inc. (NYSE AMEX: KBX,
TSX:KBR) ("Kimber" or the "Company") is pleased to announce that it has today closed the overnight
marketed financing announced December 6, 2010 (the "Offering"). The Company has issued 9,085,000 units (the "Units") at a price of C$1.40 per Unit for gross proceeds of C$12,719,000.
Each Unit consists of one common share of the Company and one-half of
one common share purchase warrant. Each whole warrant (a "Warrant") will entitle the holder to purchase one common share of the Company
for a period of two years following the closing of the Offering at a
price of C$1.80.
The Offering was led by a syndicate of underwriters (the "Underwriters"). The Underwriters received a cash commission of 6.5% of the gross
proceeds raised through the Offering, except with respect to the sale
of 715,000 Units to certain purchasers introduced by the corporation
(the "President's List") in which a cash commission of 4% was paid to the Underwriters. The
Underwriters also received warrants ("Underwriter Warrants") equal to 6.5% of the Units issued through the Offering, excluding
Units deemed as part of the President's List. Each Underwriter Warrant shall be exercisable to acquire one common share of the Company
at an exercise price of C$1.40 for a period of 24 months from closing.
The Company intends to use the net proceeds of the Offering for
exploration and development of the Monterde property, including further
drilling and the completion of a Pre-feasibility study, and for working
The Units, common shares and Warrants offered have not been registered
under the U.S. Securities Act of 1933, as amended, (the "U.S. Securities Act"), or any applicable state securities laws of the United States and may
not be offered or sold in the United States or to, or for the account
or benefit of "U.S. persons" (as defined in Regulation S of the U.S.
Securities Act) absent such registration or an applicable exemption
from such registration requirements. This press release shall not
constitute an offer to sell or the solicitation of an offer to buy nor
shall there be any sale of the securities in any jurisdiction in which
such offer, solicitation or sale would be unlawful.
A copy of the short form prospectus in respect of the Offering may be
obtained by visiting SEDAR at www.sedar.com.
Kimber owns mineral concessions covering in excess of 39,000 hectares in
the prospective Sierra Madre gold-silver belt, including the Monterde
property, where three gold-silver mineral resources have already been
defined. The most advanced of these, the Carmen deposit, has been
extensively drilled and has undergone detailed geologic modeling. The
recent completion of the Preliminary Assessment for Monterde represents
a significant step forward for Kimber and is expected to lead to
further development and more advanced economic studies of the Monterde
Forward looking statements
Statements in this release may be viewed as forward-looking statements
under United States and Canadian securities laws, including statements
regarding the anticipated pricing and closing of the Offering,
estimates of mineral resources at Monterde, the Preliminary Assessment
of the Monterde project, the further development, expected results and
future economic assessments of the Monterde project. When used in this
press release, the words "expect", "expected", "lead", "intend",
"hopes", "believe", "may", "will", "if", "anticipates" and similar
expressions are intended to identify forward-looking statements. Such
statements involve risks and uncertainties that could cause actual
results to differ materially from those projected. Such risks and
uncertainties include, among others, mineral reserve and resource
estimates, risks relating to fluctuations in the price of gold, the
inherently hazardous nature of mining-related activities, potential
effects on Kimber's operations of environmental regulations in the
countries in which it operates, risks due to legal proceedings, risks
relating to political and economic instability in certain countries in
which it operates, and risks related to the use of inferred mineral
resources in the Preliminary Assessment, as well as those risk factors
discussed under the headings "Cautionary Note Regarding Forward-Looking
Statements" and "Risk Factors" in Kimber's latest Annual Report on Form
20-F as filed on SEDAR and EDGAR. There are no assurances the Company
can fulfil such forward-looking statements and the Company undertakes
no obligation to update such statements, except as required by law.
Such forward-looking statements are only predictions; actual events or
results may differ materially as a result of risks facing the Company,
some of which are beyond the Company's control.
Cautionary Note to U.S. Investors - The United States Securities and
Exchange Commission permits U.S. mining companies, in their filings
with the SEC, to disclose only those mineral deposits that a company
can economically and legally extract or produce. Kimber uses certain
terms on its website (and certain press releases), such as "measured,"
"indicated," and "inferred," "resources," which the SEC guidelines
strictly prohibit U.S. companies from including in their filings with
the SEC. U.S. Investors are urged to consider closely the disclosure
under the heading "Cautionary Note to U.S. Investors Regarding Mineral
Reserve and Resource Estimates" in our latest annual report on Form
20-F which may be secured from us, or from the SEC's website at http://www.sec.gov/edgar.shtml.
SOURCE Kimber Resources Inc.
For further information:
Manager of Investor Relations
Gordon Cummings, CA
President and CEO
North America Toll Free: 1-866-824-1100
Tel: (604) 669-2251
Fax: (604) 669-8577