/NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN
THE UNITED STATES/
TORONTO, Jan. 5 /CNW/ - Further to Chieftain Metals Inc.'s ("Chieftain" or the "Company") (TSX: "CFB") recent initial public offering, Chieftain is pleased to report the
Agents (as defined below) have exercised in full the over-allotment
option previously granted to them, resulting in the issue of an
additional 511,500 common shares of the Company at a price of $5.00 per
common share for gross proceeds of $2,557,500. The Agents received a 6%
cash commission and 30,690 broker warrants pursuant to the exercise of
the over-allotment option. Each broker warrant entitles the holder to
acquire one common share at a price of $5.00 per common share until
expiry on December 22, 2011.
The over-allotment was previously granted to a syndicate of agents led
by Wellington West Capital Markets Inc. and included Raymond James Ltd.
and Haywood Securities Inc. (collectively, the "Agents").
This press release does not constitute an offer to sell or a
solicitation of an offer to buy any securities of the Company in any
jurisdiction in which such offer, solicitation of sale would be
unlawful. These securities have not been and will not be registered
under the United States Securities Act of 1933, as amended (the "U.S. Securities Act") or any U.S. state securities laws and may not be offered or sold in
the United States except in compliance with the registration
requirements of the U.S. Securities Act and applicable U.S. state
securities laws or pursuant to an exemption therefrom. Any public
offering of the securities in the United States may only be made by
means of a prospectus containing detailed information about the Company
and its management as well as financial statements.
About Chieftain Metals Inc.
Chieftain Metals Inc.'s principal business is the acquisition,
exploration and development of mineral properties. Since incorporation,
the Company's business has focused entirely on the acquisition, and
thereafter the development, of the Tulsequah Polymetallic Project, in
northwestern British Columbia, Canada. The Tulsequah Project consists
of 38 mineral claims and Crown-grants covering approximately 14,220
hectares and covers two previously producing mines. For more
information on the Tulsequah Project, please refer to the Company's NI
43-101 compliant technical reports, "Tulsequah Chief Deposit, Tulsequah
Chief Property, Northern British Columbia" and "Big Bull Project,
Tulsequah Chief Property, Technical Report, Northern British Columbia",
each dated as of November 8, 2010 and available under the Company's
profile on SEDAR (www.sedar.com).
This press release includes forward-looking information within the
meaning of Canadian securities legislation, concerning the business,
operations and financial performance and condition of the Company. The
words 'expect', 'believe', 'will', 'intend', 'estimate' and similar
expressions identify forward-looking statements. Forward-looking
statements are based on the opinions and estimates of management as of
the date such statements are made, and they are subject to known and
unknown risks, uncertainties, assumptions and other factors that may
cause the actual results, level of activity, performance or
achievements of the Company to vary or to be materially different from
those expressed or implied by such forward looking statements,
including but not limited to the factors described in greater detail in
the "Risk Factors" section of the Company's final prospectus dated
December 16, 2010. Forward-looking statements are based on a number of
assumptions, including assumptions regarding general market conditions,
the availability of financing for proposed transactions and programs on
reasonable terms and the availability of outside service providers to
deliver services in a satisfactory and timely manner. These factors and
assumptions are not intended to represent a complete list of the
factors and assumptions that could affect the Company; however, these
factors and assumptions should be considered carefully by readers.
Although management of the Company has attempted to identify important
factors that could cause actual results to differ materially from those
contained in forward-looking statements, there may be other factors
that cause results not to be as anticipated, estimated or intended.
There can be no assurance that such statements will prove to be
accurate, as actual results and future events could differ materially
from those anticipated in such statements. Readers are cautioned not to
place undue reliance on forward-looking statements. The Company
disclaims any obligation to update or revise any forward-looking
statements, whether as a result of new information, events or
otherwise, except as expressly required by law.
SOURCE Chieftain Metals Inc.
For further information:
President & CEO
Telephone: (416) 644-6000 ext. 650