(DNI : TSX-Ven, DG7 : Frankfurt)
TORONTO, Oct. 1 /CNW/ - DUMONT NICKEL INC. (DNI:TSX-Ven, DG7:FSE) is pleased to announce that it has completed the second, and final, tranche of the non-brokered private placement financing of flow-through shares announced September 21, 2009. The second tranche consisted of the issuance of 2,000,000 flow-through shares, to arm's length parties, at a price of 2.5 cents per share for gross proceeds of $50,000. Securities issued are subject to a four-month hold period expiring on February 1, 2010. A finder fee was paid in connection with the placements, consisting of $2,500 and 100,000 broker warrants, each warrant entitling the holder to purchase an additional common share of the company at a price of five cents for a period of twelve months from closing.
Proceeds of the financing will be applied toward ongoing work on DUMONT's polymetallic black shale Properties in Alberta, toward previously announced sampling and leaching testwork programs, to optimize metals recovery parameters.
The above financing comprises only a portion of the placements contemplated in the September 21, 2009, announcement, as some intended placements could not be concluded in time to meet filing deadlines. Dumont, accordingly announces its intention to conduct a supplemental non-brokered private placement financing, subject to regulatory approvals, consisting of up to 20 million flow-through shares at a price of 2.5 cents per share, for gross proceeds of up to $500,000. Insiders might participate in the financing.
DUMONT continues to focus its efforts on its polymetallic black shale Properties in Alberta, and its carried interest in the recent diamond discovery from its Attawapiskat Property, Ontario.
Neither the 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.
DNI - TSX Venture
DG7 - Frankfurt
Issued: 172,888,010 (174,888,010 post financing)
SOURCE DNI Metals Inc.
For further information: For further information: Dumont Nickel Inc. - Shahe Sabag, President & CEO or Denis Clement, Chairman, (416) 595-1195, email firstname.lastname@example.org; Also visit www.dumontnickel.com