/NOT FOR DISTRIBUTION TO THE U.S. NEWSWIRE OR FOR DISSEMINATION IN THE UNITED STATES/
TORONTO, July 20, 2012 /CNW/ - Oremex Silver Inc. ("Oremex" or the "Company") (TSX Venture: OAG) (OTCQX: ORAGF) (Frankfurt: OSI) announces that it intends to complete a non-brokered private placement of up to 15,000,000 units (the "Units") from treasury at a price of $0.05 per Unit for aggregate proceeds of up to $750,000 (the "Offering").
Each Unit shall be comprised of one common share of the Corporation (a "Common Share") and one common share purchase warrant (a "Warrant"). Each Warrant shall be exercisable for one Common Share at a price of $0.10 per Common Share until the date that is 36 months from the closing of the Offering. It is expected that management and/or insiders will collectively subscribe for up to $200,000 under the Offering, subject to the policies of the TSX Venture Exchange.
The proceeds of the Offering will be used to fund exploration activities in Mexico and for general working capital purposes.
The Company may pay a cash commission or finder's fee of up to 7% of the gross proceeds of the Offering and broker warrants of up to 7% of the number of Units sold pursuant to the Offering, subject to the policies of the TSX Venture Exchange. All securities issued in connection with the Offering will be subject to a four-month hold period in Canada. The Offering, or a part thereof, is expected to close on or about July 31, 2012 (or such other date(s) as the Company may determine), and is subject to the receipt of all necessary approvals, including the approval of the TSX Venture Exchange.
The Company confirms the expiry of the private placement it initially announced by press release on April 16, 2012.
This news release does not constitute an offer to sell Oremex securities or the solicitation of an offer to buy Oremex securities, nor is there to be any sale of securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of such jurisdiction. This news release is not for dissemination in the United States or to any United States news services. The shares of Oremex have not and will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act") or any state securities laws and may not be offered or sold in the United States or to any U.S. person except in certain transactions exempt from the registration requirements of the U.S. Securities Act and applicable state securities laws.
About Oremex Silver Inc.
Oremex Silver Inc. is a Canadian company focusing on the exploration and development of silver projects along the highly productive mineralized belt in Mexico. The Company has a portfolio of silver projects including a mineral resource of 50.8 million ounces of silver at its Tejamen deposit. The Company's projects are located in mining-friendly jurisdictions and the management team has successful track record of mine-building in Mexico.
Cautionary Note Regarding Forward-Looking Statements
Certain statements contained in this news release may constitute forward-looking information, (collectively "forward-looking information") within the meaning of Canadian securities laws. Forward-looking information may relate to this news release and other matters identified in Oremex Silvers' public filings, anticipated events or results and can be identified by terminology such as "may", "will", "could", "should", "expect", "plan", "anticipate", "believe", "intend", "estimate", "projects", "predict", "potential", "continue" or other similar expressions concerning matters that are not historical facts and include, but are not limited in any manner to, those with respect to capital and operating expenditures, economic conditions, availability of sufficient financing, receipt of approvals, satisfaction of closing conditions and any and all other timing, development, operational, financial, economic, legal, regulatory and/or political factors that may influence future events or conditions. Such forward-looking statements are based on a number of material factors and assumptions, including, but not limited in any manner, those disclosed in any other public filings of Oremex Silver, and include the ultimate availability and final receipt of required approvals, sufficient working capital for development and operations, access to adequate services and supplies, availability of markets for products, commodity prices, foreign currency exchange rates, interest rates, access to capital markets and other sources of financing and associated cost of funds, availability of a qualified work force, availability of manufacturing equipment, no material changes to the tax and regulatory regime and the ultimate ability to execute its business plan on economically favourable terms. While we consider these assumptions to be reasonable based on information currently available to us, they may prove to be incorrect. Actual results may vary from such forward-looking information for a variety of reasons, including but not limited to risks and uncertainties disclosed in other Oremex Silver filings at www.sedar.com and other unforeseen events or circumstances. Other than as required by law, Oremex Silver does not intend, and undertakes no obligation, to update any forward looking information to reflect, among other things, new information or future events.
Neither the TSX Venture nor its Regulation Service Provider (as that term is defined in the policies of the TSX Venture) accepts responsibility for the adequacy or accuracy of this release.
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