TORONTO, Nov. 20 /CNW/ - Medoro Resources Ltd. (TSX-V: MRS/AIM: MRL)
announced today results for the three and nine-month periods ended
September 30, 2007. For the quarter, Medoro reported a net loss of
$0.6 million or $0.01 per share as compared to a loss of $0.2 million or $0.00
per share in the third quarter of last year. For the nine months ended
September 30, 2007 the company reported a loss of $2.6 million or $0.05 per
share as compared to a loss of $1.2 million or $0.04 per share in the same
period last year.
The 2007 loss in the quarter largely reflects general and administrative
costs of $0.9 million to support the increased exploration activities compared
to the previous year. At September 30, 2007 the company had cash and
short-term investments of $2.4 million and no debt. Included at page 4 of the
management's discussion and analysis for the third quarter ended September 30,
2007 is disclosure with respect to the company's 2006 acquisition of Panwest
Seas Corporation Ltd. pursuant to which the company acquired rights to the
Lo Increible 4A and 4B properties and information regarding the historical
exploration done on the properties prior to their acquisition by the company.
The company is continuing its diamond drilling program at the La Cruz, La
Sofia and El Tapon prospects in Venezuela, which will provide the basis for
reclassifying the existing historical resources and identifying additional
resources. The company has also completed a geochemical sampling program that
allowed it to start drilling new target areas within the properties using a
recently contracted third drilling rig. As previously announced on
September 17, 2007, the company has acquired nine properties in Mali and plans
to commence a drill program there in the fourth quarter of this year.
The company also announced that it intends to raise approximately
$2.3 million through the sale of up to 3.5 million units on a private
placement basis, and is continuing to look at additional options to raise
Each unit will be offered at a price of $0.68 per unit and will consist
of one common share of the company and one common share purchase warrant, with
each whole warrant being exercisable for a period of 24 months from the
closing date at an exercise price of $1.00.
The funds will be used for general corporate and working capital
purposes, which may include costs associated with the identification of
The financing is subject to regulatory approval. The Company intends to
apply to have the common shares issuable as part of the units and the common
shares issuable upon exercise of the warrants forming part of the units listed
on the TSX Venture Exchange and admitted to trading on the Alternative
Investment Market (AIM) of the London Stock Exchange plc.
The complete financial statements and management's discussion and
analysis for the third quarter ended September 30, 2007 are available on the
Company's website at www.medororesources.com and on SEDAR at www.sedar.com.
Medoro Resources is a gold exploration and development company focused on
acquiring properties of merit for potential joint ventures with senior
producers. The company holds a 100% interest in the Lo Increible 4A and 4B
concessions in Venezuela and interests in nine gold exploration areas in the
Republic of Mali. Additional information on the company can be found by
visiting the company's website at www.medororesources.com. Medoro's Nominated
Adviser for the purposes of AIM is Canaccord Adams Ltd. (Ryan Gaffney/Robin
Birchall), +44 (0) 20 7050 6500.
THE TSX VENTURE EXCHANGE HAS NOT REVIEWED AND DOES NOT ACCEPT
RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS NEWS RELEASE
For further information:
For further information: Nelson Lee, Chief Financial Officer, (416)