/THIS NEWS RELEASE IS NOT FOR DISTRIBUTION IN THE UNITED STATES OR TO
U.S. NEWS AGENCIES/
CALGARY, June 21, 2011 /CNW/ - Coalspur Mines Limited ("Coalspur" or "Company") (ASX: CPL) (TSX: CPT) is pleased to announce that it has successfully completed its previously
announced private placement of 6,000,000 ordinary shares at C$1.85 each
to raise a further C$11.1 million, before costs ("Private Placement").
The Private Placement was made to the Highland Park Group, a strategic
shareholder, and was completed following shareholder approval.
The Private Placement formed part of a capital raising for a total of
C$55.5 million, and also included a public offering of 24,000,000
ordinary shares (the "Ordinary Shares") of the Company at an issue price of C$1.85 per Ordinary Share for
gross proceeds to the Company of C$44.4 million ("Public Offering"). The Public Offering was announced to the market on April 13, 2011
and completed on May 3, 2011.
The Public Offering was managed by a syndicate of agents led by Haywood
Securities Inc., BMO Capital Markets and RBC Capital Markets and
included Salman Partners Inc.
Commenting on the completion of the capital raising, Mr Gene Wusaty,
Managing Director and CEO said, "The capital raising has placed
Coalspur in a very strong position financially and has further expanded
its investor base. With over A$60 million in cash reserves Coalspur is
sufficiently funded to complete the Bankable Feasibility Study ("BFS"), pursue exploration and development activities and finalize all
permitting required to begin construction of the Vista Coal Project ("Vista")."
"We are now firmly focused on the progression of the BFS and will
provide updates as we reach key milestones on the mine design and other
key parameters in the development of Vista."
This press release shall not constitute an offer to sell or the
solicitation of an offer to buy securities in any jurisdiction in which
such offer, solicitation or sale would be unlawful. The securities to
be offered have not been and will not be registered under the U.S.
Securities Act of 1933, as amended, or any state securities laws and
may not be offered or sold in the United States absent registration or
in accordance with an applicable exemption from the registration
The full version of this news release is available on the Company's
website at www.coalspur.com and SEDAR at www.sedar.com.
For further information regarding the Vista Coal Project and Vista South
Project, including a description of Coalspur's quality assurance
program, quality control measures, the geology, samples collected and
testing procedures in respect of the projects, please refer to the
technical report on the Vista Coal Project titled "Vista Coal Project
Prefeasibility Study" dated January 25, 2011 and the technical report
on the Vista South Project titled "Resource Estimate for the Vista
South Coal Property" dated December 15, 2010 , which are compliant with
National Instrument 43-101 - "Standards of Disclosure for Mineral
Projects" ("NI 43-101") and are available for review on SEDAR at sedar.com.
Competent Person / Qualified Person Statements
All scientific and technical information in this news release is based
on information compiled by Mr. Eugene Wusaty, who is a Member of the
Association of Professional Engineers and Geoscientists of Alberta. Mr.
Wusaty is a full-time employee of Coalspur. Mr. Wusaty has sufficient
experience which is relevant to the style of mineralisation and type of
deposit under consideration and to the activity which he is undertaking
to qualify as a "Competent Person" as defined in the JORC Code, and a
"Qualified Person" under NI 43-101. Mr. Wusaty consents to the
inclusion of such information in this news release in the form and
context in which it appears.
Forward Looking Statements
This news release contains 'forward-looking information' that is based
on the Company's expectations, estimates and projections as of the date
on which the statements were made. This forward-looking information
includes, among other things, statements with respect to the Company's
permits and approvals, business strategy, plans, development,
objectives, performance, outlook, growth, cash flow, projections,
targets and expectations, mineral reserves and resources, scoping,
pre-feasibility, feasibility and other studies, results of exploration
and related expenses. Generally, this forward-looking information can
be identified by the use of forward-looking terminology such as
'expect', 'potential', 'outlook', 'anticipate', 'project', 'target',
'likely', 'believe', 'estimate', 'intend', 'may', 'would', 'could',
'should', 'scheduled', 'will', 'plan', 'forecast', "evolve" and similar
expressions. Persons reading this news release are cautioned that such
statements are only predictions, and that the Company's actual future
results or performance may be materially different.
Forward-looking information is subject to known and unknown risks,
uncertainties and other factors that may cause the Company's actual
results, level of activity, performance or achievements to be
materially different from those expressed or implied by such
forward-looking information. Forward-looking information is developed
based on assumptions about such risks, uncertainties and other factors
set out herein, including but not limited to the risk factors set out
in the Company's Annual Information Form. This list is not exhaustive
of the factors that may affect our forward-looking information. These
and other factors should be considered carefully and readers should not
place undue reliance on such forward-looking information.
The Company disclaims any intent or obligation to update or revise any
forward-looking statements whether as a result of new information,
estimates or options, future events or results or otherwise, unless
required to do so by law.
SOURCE Coalspur Mines Limited
For further information:
Managing Director and CEO
Telephone: +1 403 975 7901