SYDNEY, Australia, Aug. 22 /CNW/ - RMB Resources Ltd. (as trustee for the
Telluride Investment Trust) ("RMB"), today announced that it has completed its
previously announced purchase, by way of a private agreement, of an aggregate
of 39,062,072 common shares (the "Purchased Shares") of Sutter Gold Mining
Inc. (TSX-V:SGM) ("SGMI") from U.S. Energy Corp. ("U.S. Energy") for $0.1384
per share for an aggregate purchase price of approximately Cdn.$5.4 million
(the "Acquisition"). The Purchased Shares represent approximately 49.9% of the
outstanding common shares of SGMI.
In order to maintain its proportionate interest in SGMI, RMB also
subscribed for 12,769,400 units of SGMI, under a private placement, for an
aggregate purchase price of Cdn.$1,404,634. The total number of units issued
by SGMI to various subscribers (including RMB) under the private placement was
25,589,980 units at $0.11 per unit for aggregate proceeds of $2,814,899. Each
unit consists of one common share and one-half of one common share purchase
warrant. Each whole warrant entitles the holder thereof to purchase one
additional common share in the capital of SGMI for a period of 24 months
following the closing of the private placement at a price of Cdn.$0.15 per
share. The closing of the private placement is subject to the final approval
of the TSX Venture Exchange.
RMB has made the Acquisition and has subscribed under the private
placement for investment purposes and reserves the right, depending on the
circumstances including market conditions, to make further purchases, or
disposals, of common shares of SGMI in the future.
RMB is a wholly-owned unit of the Rand Merchant Bank division of
FirstRand Bank. The registered office of RMB is Level 13, 60 Castlereagh
Street, Sydney, NSW, Australia.
For further information:
For further information: or copies of the report filed in connection
with this news release with the various securities commissions, please
contact: RMB Resources Ltd., Attention: Michael Schonfeld, Telephone: +61 3