TSX VENTURE: RRX
CALGARY, Aug. 12 /CNW/ - Ruby Red Resources Inc. ("Ruby Red" or the
"Company") is pleased to announce that it has engaged Konemet Enterprises Ltd.
("Konemet") to provide investor relations and related services to the Company.
The services to be provided by Konemet generally will be targeted towards
generating awareness and market interest in the Company and the Company's
securities. In providing these services, Konemet will generally act as an
on-going liaison with potential investors, brokers and analysts. The services
will involve the coordination of regular meetings between the Company, brokers
and analysts, the production of various forms of research coverage, web-based
as well as live investor presentations, and distribution and dissemination of
research reports. In consideration for these services, the Company will pay
Konemet a cash fee of $3,000 per month for a period of six months and will
grant (subject to regulatory approval) 50,000 stock options to Konemet, each
of which shall be exercisable into one common share of the Company at a price
of $0.25 per share for a period of 18 months.
Konemet assisted the Company in a private placement financing in 2007. In
consideration for its services, Konemet received a finder's fee as well as
20,000 common share purchase warrants, each of which is exercisable to acquire
a common share of the Company at a price of $0.35 per share until November 2,
2008. Other than the above, there is no prior relationship between the Company
and Konemet, nor is there any prior direct or indirect interest in the Company
or its securities, or any right or intent to acquire such an interest on the
part of Konemet.
About Konemet Enterprises Ltd.
Konemet assists companies in a wide variety of industries and emerging
growth sectors by creating and executing information-based strategies to
overcome market inefficiencies that are commonplace for the vast majority of
public companies, such as share illiquidity and stagnant market
capitalization. The head office of Konemet Enterprises Ltd. is located at 120
Overbrook Place, Toronto, Ontario M3H 4P8.
About Ruby Red Resources Inc.
Ruby Red was formed to participate in the acquisition, exploration and
development of mineral claims in the Fort Steele Mining Division of British
Columbia for the purpose of exploring for precious and base metals. Ruby Red
holds 100% working interests in 144 mineral claims (approximately
44,000 hectares), all located within 80 kilometres of Cranbrook, B.C. in the
Purcell and Rocky Mountains.
Except for statements of historical fact, this news release contains
certain "forward-looking information" within the meaning of applicable
securities law. Forward-looking information is frequently characterized by
words such as "plan", "expect", "project", "intend", "believe", "anticipate",
"estimate" and other similar words, or statements that certain events or
conditions "may" or "will" occur. Forward-looking statements are based on the
opinions and estimates of management at the date the statements are made, and
are subject to a variety of risks and uncertainties and other factors that
could cause actual events or results to differ materially from those
anticipated in the forward-looking statements, which include but are not
limited to risks inherent in the mining industry, regulatory and economic
risks, and risks associated with the company's ability to implement its
business plan. The company undertakes no obligation to update forward-looking
information if circumstances or management's estimates or opinions should
change except as required by law. The reader is cautioned not to place undue
reliance on forward-looking statements.
THE TSX VENTURE EXCHANGE HAS NOT REVIEWED, AND DOES NOT ACCEPT
RESPONSIBILITY FOR, THE ADEQUACY OR ACCURACY OF THIS RELEASE.
For further information:
For further information: Randall Tronsgard, Vice-President, Corporate
Development of Ruby Red, at (403) 770-1346, 1-866-257-4337 or e-mail: