TORONTO, June 7 /CNW/ - Roxmark Mines Limited (TSXV - RMK) (CNQ - RMKL)
today announced that it has entered into an agreement for a non-brokered
private placement financing with MineralFields Group of Toronto, a leading
mining fund, subject to final approval of the TSX Venture Exchange.
The $1 million private placement consists of the sale of 3,773,584
flow-through units of the Company at $0.265 each. Each unit will consist of
one flow-through common share and one common share purchase warrant of the
Company. Each warrant entitles the holder to purchase one common share of the
Company at a price of $0.40 for the first year and at $0.55 for the second
year term from closing. The securities to be issued under this arrangement
will be subject to certain resale restrictions which require that the
securities not be traded for a period of four months.
Roxmark has agreed to pay a cash finder's fee to First Canadian
Securities(R) of 5% of the proceeds raised and options equal to 10% of units
subscribed for, at an exercise price of $0.265 for a term of two years.
Proceeds of the private placement will be used to fund the exploration
and development program to advance Roxmark's holdings of gold and molybdenum
properties in the Geraldton-Beardmore mining camp in Northern Ontario.
Currently, the Company is carrying out a surface diamond drilling program on
its Northern Empire mine property.
About MineralFields, Pathway and First Canadian Securities(R)
MineralFields Group (a division of Pathway Asset Management) is a
Toronto-based mining fund with significant assets under administration that
offers its tax-advantaged super flow-through limited partnerships to investors
throughout Canada during most of the calendar year, as well as hard-dollar
resource limited partnerships to investors throughout the world. Pathway Asset
Management also specializes in the manufacturing and distribution of
structured products and mutual funds. Information about MineralFields Group is
available at www.mineralfields.com. First Canadian Securities(R) , a division
of Limited Market Dealer Inc., is active in leading resource financings (both
flow-through and hard-dollar) on competitive, effective and service-friendly
terms, with investors both within and outside of MineralFields Group.
About Roxmark Mines
Roxmark Mines Limited is the leader in gold and molybdenum exploration
and development in the historically significant Geraldton-Beardmore area of
Northwest Ontario. In the last two years, Roxmark has generated cash flow from
bulk-sampled gold and molybdenum processed at its fully-permitted mill and has
the advantage of infrastructure from six formerly highly productive gold mines
located on its properties. These mines previously produced nearly two million
ounces of gold from high grade ore but were closed primarily due to
dramatically lower gold prices at the time and to boundary issues, since
Further information is available on the Company's website at
www.roxmark.com and on SEDAR under the Company's profile at www.sedar.com.
This news release includes certain "forward-looking statements". Such
forward-looking statements involve risks and uncertainties. The results or
events predicted in these forward-looking statements may differ materially
from actual results or events. Any forward-looking statement speaks only as of
the date of this news release and, except as may be required by applicable
securities laws, the Company disclaims any intent or obligation to update any
forward-looking statement, whether as a result of new information, future
events or results or otherwise.
The TSX Venture Exchange has not reviewed and does not accept
responsibility for the adequacy or accuracy of the content of this news
For further information:
For further information: Monir Younan, President, Roxmark Mines Limited,
801-80 Richmond St. West, Toronto, Ontario, M5H 2A4, Tel.: (416) 860-1636,
Fax: (416) 360-7355, E-mail: email@example.com, Website: www.roxmark.com