CRJ completes private placementI have been watching a few gold juniors and this one seems to have stalled in appreciation of share price lately. But the following NR is likely the reason. I think we should see some increase in SP in the not to distant future. Providing gold prices stay static or keep rising.
Claude Resources Inc. completes private placement offering
Nov. 17, 2009 (Canada NewsWire Group) --
SASKATOON,Nov. 17 /CNW/ -- Claude Resources Inc. ("Claude" or the "Company") ispleased to announce that it has completed the private placementoffering with Mr. Robert Buchan, The Buchan Family Foundation and arelative of Mr. Buchan (the "Offering") previously announced on October23, 2009.
The Company is also pleased to announce that Mr. Robert(Bob) Buchan, former Chairman and CEO of Kinross Gold Corporation, hasjoined Claude's Board of Directors effective November 16, 2009.
TheOffering consisted of the issuance of 5 million units (the "Units") ofClaude at a price of CDN
.72 per Unit for proceeds of CDN $3,600,000and 2 million common shares of Claude issued on a "flow-through" basisat a price of CDN
.85 per common share for proceeds of CDN$1,700,000. Each Unit consisted of one common share and one commonshare purchase warrant (a "Warrant"). Each Warrant entitles the holderto acquire one common share of Claude at a price of CDN
.90 percommon share for a period of three (3) years following the closingdate. The aggregate gross proceeds of the offering was CDN $5,300,000.
Thecommon shares acquired by Mr. Robert Buchan, Mr. Fraser Buchan and TheBuchan Family Foundation represent approximately 5.9% of theoutstanding common shares of Claude before giving effect to theexercise of the warrants and approximately 9.7% of the outstandingcommon shares of Claude after giving effect to the exercise of thewarrants acquired by them (but before the exercise of any otherwarrants or convertible securities of Claude).
Immediatelyfollowing the transaction, Messrs. Buchan and The Buchan FamilyFoundation together own 9,000,000 common shares of Claude representingapproximately 7.5% of the outstanding common shares of Claude andapproximately 11.3% of the outstanding common shares of Claude aftergiving effect to the exercise of the warrants acquired by them (butbefore the exercise of any other warrants or convertible securities ofClaude).
Net proceeds from the offering of the Units will be usedfor general corporate purposes. Net proceeds from the offering of the"flow-through" shares will be used for expenditures which will be"Canadian Exploration Expenses" for the purposes of the Income Tax Act(Canada) and Claude will renounce such expenses with an effective dateno later than December 31, 2009.
The securities offered have notbeen registered under the United States Securities Act of 1933, asamended, and may not be offered or sold in the United States absentregistration or an applicable exemption from the registrationrequirements. This press release shall not constitute an offer to sellor the solicitation of an offer to buy nor shall there be any sale ofthe securities in any state in which such offer, solicitation or salewould be unlawful.
Claude is a public company based in Saskatoon,Saskatchewan, whose shares trade on the Toronto Stock Exchange(TSX-CRJ) and the NYSE Amex (NYSE Amex-CGR). Claude is a goldexploration and mining company with an asset base located entirely inCanada. Since 1991, Claude has produced approximately 865,000 ounces ofgold from its Seabee mining operation in northeastern Saskatchewan. TheCompany also owns 100% of the 10,000 acre Madsen property in theprolific Red Lake gold camp of northwestern Ontario.
CAUTION REGARDING FORWARD-LOOKING INFORMATION
ThisPress Release may contain 'forward-looking' statements regarding theplans, intentions, beliefs and current expectations of the Company, itsdirectors, or its officers with respect to the future businessactivities and operating performance of the Company. The words "may","would", "could", "will", "intend", "plan", "anticipate", "believe","estimate", "expect" and similar expressions, as they relate to theCompany, or its management, are intended to identify suchforward-looking statements. Investors are cautioned that any suchforward-looking statements are not guarantees of future businessactivities or performance and involve risks and uncertainties, and thatthe Company's future business activities may differ materially fromthose in the forward-looking statements as a result of various factors.Such risks, uncertainties and factors are described in the periodicfilings with the Canadian securities regulatory authorities, includingthe Company's Annual Information Form and quarterly and annualManagement's Discussion & Analysis, which may be viewed on SEDAR atwww.sedar.com. Should one or more of these risks or uncertaintiesmaterialize, or should assumptions underlying the forward-lookingstatements prove incorrect, actual results may vary materially fromthose described herein as intended, planned, anticipated, believed,estimated or expected. Although the Company has attempted to identifyimportant risks, uncertainties and factors which could cause actualresults to differ materially, there may be others that cause resultsnot anticipated, estimated or intended. The Company does not intend,and does not assume any obligation, to update these forward-lookingstatements.
%SEDAR: 00000498E %CIK: 0001173924