Soho Resources Corp V.SOH

How shareholders are rewarded

[mattbigham]

Non-brokered private placement that gives new investors bullion below cost and provides minimal dilution to the public shareholders that built the company with their money,patience and loss of time and capital. What a concept. Fri Apr 23, 2010 Aurcana Announces US$40,000,000 Silver Backed Unit Offering

NOT FOR DISSEMINATION IN THE UNITED STATES OR TO U.S. PERSONS Aurcana Corporation ("Aurcana" or the "Company") is pleased to announce that subject to TSX Venture Exchange ("Exchange") approval, the Company will conduct on a best efforts basis, a non-brokered private placement of the issuance of up to 40,000 units (the "Units") consisting of silver-secured notes and common share purchase warrants at a purchase price of US$1,000 per Unit for gross proceeds to Aurcana of US$40,000,000 (the "Financing"). Each Unit will consist of seventy six (76) troy ounce silver principal amount secured non-interest bearing notes ("Senior Secured Notes") and 500 common share purchase warrants (each a "Warrant"). Each Warrant will entitle the holder to purchase one common share (a "Warrant Share") of the Company during the period of four (4) years from the Closing Date at a purchase price of CDN$1.00 per Warrant Share provided that if the closing price of the Company's shares as traded on the Exchange, subsequent to four months from the Closing Date, is at or over CDN$1.25 per share for a period of 20 consecutive trading days, the Company will have the right to accelerate the expiry of the Warrants upon giving 30 days notice to the holders thereof. Finders' fees in accordance with the Policies of the Exchange may be paid on all or a portion of the Financing. The Senior Secured Notes will be non-interest bearing and will mature in four years and will permit the holder to elect to take repayment of the principal amount in either cash or in silver bullion, based on 25% discount to a silver price of US$17.50 per ounce silver. The Senior Secured Notes will be repaid commencing January 1, 2011 in twenty four (24) monthly instalments at 25,000 ounces per month and thereafter until maturity on December 1, 2014 in twenty four (24) monthly instalments of 101,984 ounces per month. Each monthly instalment will be paid on the first day of each month (each a "Repayment Date") through the delivery by the Company of physical silver to a trustee to be appointed. Holders of the Notes may periodically request the physical delivery of silver from the trustee in minimum amount of 25,000 ounces (or other minimum amounts at the digression of the Company) to an authorized London pool account. The Company will use the net proceeds from the Financing to begin development of the Shafter Silver mine, the repayment of certain debt obligations and general working capital purposes. Auramet, a Global Precious Metals Merchant and Advisory firm from Fort Lee New Jersey, is acting as financial Advisor to Aurcana. About Aurcana Corporation: The Shafter Silver Mine is scheduled to start up production within 18 months of securing permits and financing, producing 3.9 million ounces silver in the first year. It has a NI 43-101 measured and indicated resource of 24.6 million ounces of silver (2,900,000 tons at 8.48Ag opt) and an inferred resource of 22.8 million ounces of silver (2,167,000 tons at 10.52 Ag opt) using a 4.0 ounce per ton cut off. The 92% owned La Negra silver-lead-zinc-copper mine is on target to increase production to over 2 million ounces Silver Equivalent annually when expansion to 1,500 t/d, is completed by mid year. The reader should be cautioned the Company has not completed a feasibility study confirming the projected production capacity for La Negra and there is no certainty the Company's plans will be economically viable. Ron Nichols, P.Eng. a Director and Senior Vice President for Aurcana, and a Qualified Person as defined by National Instrument 43-101, supervised the preparation of the technical information in this release.