SinoTech -strong hand not to worrySubsequent to the closing, SinoTech (Hong Kong) Corporation Limited owns 32,000,000 common shares, representing 35.2% of the outstanding common shares of the Company, and 16,000,000 warrants of the Company.
The proceeds of the private placement will be used toward general working capital project generation and exploration costs.
The closing follows SinoTech having received approval of its investment from the China State Administration for Foreign Exchange.
SinoTech is wholly owned by Sinotex Mineral Exploration Co., Ltd., which in turn is controlled by Beijing Institute of Geology of Mineral Resources ("BIGM"). BIGM owns 28% of Sinotex. BIGM is an enterprise that is wholly owned by the State-Owned Assets Supervision and Administration Commission of China (SASAC).
Two nominees of SinoTech, Dr. Jingbin Wang and Mr. Shuixing Fu, are appointed directors of Canaco. Dr. Wang has been President of Sinotex since 2004; President of BIGM since 2002; a Director of China Nonferrous Metals Resource Geological Survey since 2003; and a Vice President of China Nonferrous Metals Industry Association since 2008