heres the news-MEDITERRANEAN RESOURCES ANNOUNCES $1.5 MILLION OFFERING
cnw
VANCOUVER, Feb. 2 /CNW/ - Mediterranean Resources Ltd. (TSX: MNR;
Frankfurt: MHM1) ("Mediterranean" or the "Company") announces a private placement to raise $1,500,000 through the distribution of 15,000,000 units at
.10 per unit. Each unit will consist of one common share and one-half of one warrant (each whole warrant exercisable at
.14 per share for 12 months following the closing date).
The Company has received a subscription agreement from Williams de Broe Limited for the full amount of the placement. Williams de Broe Limited is a London, UK based investment firm, and is subscribing on behalf of a number of its clients. Upon closing of the financing, the 15,000,000 shares being sold will represent 12.89% of the Company's outstanding common shares.
The financing remains subject to Toronto Stock Exchange review and approval.
Use of Proceeds
The net proceeds received by the Company from the sale of these Units will be used to expedite the production of a Preliminary Economic Assessment by SRK Consulting and to initiate an Environmental Impact Assessment application by mid 2011 on the Yusufeli gold and base metal project in North-East Turkey, and for general corporate purposes.
About Mediterranean Resources
MNR is an advanced gold exploration company operating in north-eastern Turkey. MNR controls a contiguous 12km mineralized trend known as the Yusufeli project. MNR has a 100% interest in the Tac and Corak deposits where an NI 43-101 compliant resource estimate established an indicated resource of 49.5 million tonnes grading 0.99 g/t Au containing 1.58 million ounces of gold and an inferred resource of 11.0 million tonnes grading 0.83 g/t Au containing 290,000 ounces of gold.
Approximately $16 million in cumulative expenditures have been made to date on the project.
On behalf of the Board of Directors,
"Dr. Peter J. Guest"