Acadian will soon be fully loaded with cashNEWS RELEASE Acadian Signs Letter of Intent RegardingProposed $8.1
Million Investment Acadian Mining Corporation ("Corporation" or
"Acadian") (TSX: ADA) is pleased to announce that it has signed a Letter
of Intent with respect to a proposed investment in Acadian by China
Metallurgical Exploration Corp. ("CME") which will raise an initial $8.1
million with the potential to raise a further $5.4 million if warrants
are exercised. Details of the proposed transaction are as follows: ·
CME will purchase, on a private placement basis, 18 million Units of
Acadian @
.45 per Unit.· Each Unit will be comprised of one
common share and one-half of a warrant.· Each whole warrant will
be exercisable by CME at a price of
.60 for a period of three years
following the Closing Date in accordance with the following schedule;
one-third of the Warrants will vest and be exercisable on the Closing
Date, one-third will vest and be exercisable on the first anniversary of
the Closing Date, the remaining one-third will vest and be exercisable
on the second anniversary of the Closing Date.· The board of
directors of Acadian ("Board") will be reconstituted on the Closing Date
and nominees of CME will be added to the Board. The private placement is
subject to conditions precedent being met on or before April 30, 2011,
including completion of formal documentation, regulatory approval and
approval from the Government of China. The private placement is also
conditional upon completion of due diligence to the satisfaction of CME.
Grant Ewing, President and CEO, stated, "Acadian is pleased to welcome
CME as a new strategic investor in the Corporation. The proceeds of the
private placement, together with the proceeds from the sale of Acadian's
wholly-owned subsidiary, ScoZinc Limited, which we recently announced,
will greatly assist Acadian in conducting an aggressive gold exploration
program over its vast and underexplored gold landholdings, and
ultimately in the creation of shareholder value". About AcadianAcadian
is a Halifax, Nova Scotia, Canada based company with five advanced gold
projects, all of which host National Instrument 43-101 compliant
resources totalling 626,000 indicated and 1,111,000 inferred ounces of
gold. The Corporation also owns barite properties on Cape Breton
Island, Nova Scotia and the Scotia Mine, which is currently on care and
maintenance. Acadian's primary focus is centered on exploration and
development of its gold deposits in Atlantic Canada. About CMEChina
Metallurgical Exploration Corp. is a Canadian company owned by Zhengyuan
International Mining Co., Ltd. ("Zhengyuan"). Zhengyuan is a state-owned
company under the China Metallurgy Bureau, which is the largest Chinese
exploration organization with more than 30 thousand employees working in
domestic and overseas operations focused on the mineral exploration and
development industry. Qualified PersonRichard Horne, M.Sc., P.Geo.,
Chief Geologist of Acadian Mining, is a Qualified Person as that term is
defined in National Instrument 43-101 and has reviewed and approved the
technical information contained in this news release. For additional
information, please visit our web site at:
www.acadianmining.com. FOR
FURTHER INFORMATION, PLEASE CONTACT:Grant Ewing, President and Chief
Executive Officer(902) 444-7779 Toll Free: (877)
444-7774mail@acadianmining.comHalifax, Nova Scotia No regulatory
authority has approved or disapproved the contents of this news release.