PARIS, France, Aug. 1, 2012 /CNW Telbec/ - Mr. Allan Green, a director of Castle Peak Mining Ltd. (the "Company"), announced today that he has filed an early warning report with the Canadian securities regulatory authorities concerning his direct and indirect ownership over securities of the Company.
As recently announced by the Company, Candel and Partners SAS ("Candel"), a company wholly-owned by Mr. Green, purchased 5,882,353 Units of the Company by way of a non-brokered private placement. Each Unit consists of one common share of the Company and one share purchase warrant. Each warrant allows the holder to purchase one additional common share of the Company at an exercise price of $0.25 on or before July 27, 2014, subject to adjustment/acceleration under certain circumstances.
The closing of this private placement brought Mr. Green's aggregate direct and indirect ownership of common shares of the Company to 7,436,353 common shares, representing approximately 9.8% of the Company's issued and outstanding common shares as at July 31, 2012. In the event Mr. Green were to exercise all the warrants he owns directly and indirectly (including previously issued warrants), he would then own, directly and indirectly, an aggregate of 13,558,706 common shares (16.5%) of the Company.
In respect of the non-brokered private placement, all of the Units were issued to Candel by the Company from treasury. Candel paid a price of $0.17 per Unit, for aggregate gross proceeds from Candel to the Company of $1,000,000.
Mr. Green has directly and indirectly acquired securities of the Company for investment purposes. Based on several factors, including Mr. Green's investment objectives and market conditions, Mr. Green may determine to directly or indirectly increase or decrease his ownership of securities of the Company, subject to compliance with applicable securities laws and to the contractual provisions further detailed in Mr. Green's early warning report that is available via SEDAR (www.sedar.com).
SOURCE: Castle Peak Mining Ltd.
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