TORONTO, Oct. 3, 2012 /CNW Telbec/ - Sunset Cove Mining (TSXV: SSM) (BVL: SSM) ("SUNSET COVE" or the "Corporation"), has closed its 2nd tranche of a private placement in the amount of $97,605.00 as of today.
The 1st tranche of the private placement in the amount of $207,085.00 closed on September 6, 2012.
"The closing of over $300,000 of the financing shows the continued support for the management of Sunset Cove and its exploration program," said Lorne Woods, President and C.E.O. "In this challenging market our existing shareholders are still with us and new ones have come on board."
The Units consists of one (1) common share and one half of one (1/2) share purchase warrant, each whole warrant provides the holder the right to purchase one (1) additional share for $0.18 per Share. The warrants expire in 18 months from the closing and are subject to an "Acceleration Right" in favor of the Corporation. Should the shares of the Company close at $0.25 or higher for five (5) consecutive days, the expiry of the warrants will accelerate and expiry will be twenty (20) days from issuance of a news release by the Corporation announcing the trigger of the acceleration right.
A finder's fee of 7% cash and 7% broker warrants will be paid to certain arm's length parties. The broker warrants expire eighteen (18) months from the closing.
The TSX Venture Exchange has conditionally approved the private placement.
The 1,972,238 Units issued under the 1st tranche of the private placement are subject to a four (4) month hold period, which will expire on January 7, 2013.
The 920,820 Units issued under this 2nd tranche of the private placement are subject to a four (4) month hold period, which will expire on February 2, 2013.
The capital raised will be used for general working capital for the Corporation's operations in Peru and Canada.
In other news, Sunset Cove held its Annual and Special Meeting of shareholders this past Thursday September 27, 2012. Sunset Cove's Lorne Woods is pleased to announce that the directors' and management team's mandates have been continued for the next financial year.
Some of the statements contained herein may be forward-looking statements that involve known and unknown risks and uncertainties. Results presented in this press release are exploratory in nature. Historical data, if mentioned, should not be relied upon, as they are not admissible under NI 43-101 rules and the Company has not conducted sufficient testing to verify this type of information.
Without limitation, statements regarding potential mineralization and resources, exploration results, and future plans and objectives of the Company are forward-looking statements that involve various degrees of risk. The following are important factors that could cause the Company's actual results to differ materially from those expressed or implied by such forward-looking statements: changes in the world-wide price of mineral commodities, general market conditions, risks inherent in mineral exploration, risks associated with development, construction and mining operations, the uncertainty of future profitability, and the uncertainty of access to additional capital. Sunset Cove disclaims any obligation to update any such forward-looking statements.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
SOURCE: SUNSET COVE MINING INC.
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