VANCOUVER, March 1, 2013 /CNW/ - Cliffmont Resources Ltd. (TSX-V - CMO) (the "Company") is pleased to announce that further to its news release of February 19, 2013, the Company has completed an initial closing of its non-brokered private placement (the "Private Placement") by issuing a total of 3,094,783 units (a "Unit"), at a price of $0.35 per Unit, for gross proceeds of $1,083,174. Each Unit comprises one common share and one-half of one transferable share purchase warrant. Each whole warrant (a "Warrant") entitles the holder to purchase one common share of the Company, at a price of $0.50 per share, for a period of 18 months from closing, with a forced conversion which comes into effect once the shares trade at a price above $0.75 per common share for a period of 15 consecutive days
The Company paid a finder's fee of $15,954.74 cash and issued 45,585 non-transferable finder's warrants, being 7% cash and 7% warrants, on a portion of this financing. The finder's warrants are exercisable into 45,585 common shares, at a price of $0.50 per share, for a period of 18 months from closing.
All securities issued pursuant to the Private Placement are subject to a four month hold period expiring on June 29, 2013.
The net proceeds from this private placement will be used for the continued exploration of the San Luis Project and for general working capital purposes.
ON BEHALF OF THE BOARD
Jeff Tindale, President and CEO
About Cliffmont Resources:
Cliffmont Resources Ltd. (TSX-V:CMO) is a Vancouver-based company focused on the exploration of precious and base metals in Colombia's prolific San Luis mining district. The Company has a 100% option in the San Luis Project, comprising 2,701 hectares, including an exploitation concession located on the Eastern flank of the Central Cordillera of Colombia within the Department of Huila. As a well-funded first mover in one of Colombia's most prolific under-developed gold districts, the Company is conducting an aggressive and focused exploration program. The San Luis Project consists of a 7km x 3km mineralized area that spans hosting epithermal gold and silver targets, including multiple past producing gold mines.
Forward Looking Statements. This Company news release contains certain "forward-looking" statements and information relating to the Company that are based on the beliefs of the Company's management as well as assumptions made by and information currently available to the Company's management. Such statements reflect the current risks, uncertainties and assumptions related to certain factors including, without limitations, competitive factors, general economic conditions, customer relations, relationships with vendors and strategic partners, the interest rate environment, governmental regulation and supervision, seasonality, technological change, changes in industry practices, and one-time events. Should any one or more of these risks or uncertainties materialize, or should any underlying assumptions prove incorrect, actual results may vary materially from those described herein.
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.
SOURCE: Cliffmont Resources Ltd.
For further information: