Private PlacementAre they having trouble filling a private placement of $500,000? I am thinking permitting, exploration drilling, and general administration will burn through 500k pretty quick. Then what. Another private placement?
I am just circling the PEM bait, and looking for a solid reason to bite. If their 43-101 is accurate it may be worth something....just wondering why this stock is not moving. DD continues.
VANCOUVER, BRITISH COLUMBIA (April 15, 2009) – Premium Exploration, Inc., (TSX-V:PEM) (”Premium”) reports that the management team has opted to amend the Warrant terms applicable to its private placement announced on March 25th, 2009.
The ½ Warrant previously announced will be increased to a full Warrant as part of each Unit and the price to exercise a Share Purchase Warrant will be amended to $0.20 during the first year and $0.50 in the second year.
The offering will raise up to $500,000 through a non-brokered private placement of 5,000,000 Units (the “Unit”) at $0.10 per Unit. Each Unit will consist of one (1) Common Share (a “Share”) and one (1) non-transferrable Warrant. Each Warrant will be exercisable for a period of two years at a price of $0.20 in the first year and $0.50 in the second year.
The proceeds from the placement will be used for production permitting on the Buffalo Gulch gold project, exploration drilling on the high grade gold zone at the Friday-Petsite property; an NI 43-101 Inferred gold resource of 531,890 troy ounces, contained in 15.17 million tonnes averaging 1.1 g/t gold (0.032 oz/ton) at a cutoff of 0.514 gram per metric tonne (0.017 oz/ton); and general administration. The funds raised will include up to a 10% finder’s fees in cash or shares.
The proposed amendment is subject to TSX Venture Exchange approval.