Zone Resources Inc. Announces Private PlacementZone Resources Inc.
TSX VENTURE : ZNR
FRANKFURT : 7ZR
March 21, 2012 17:40 ET
Zone Resources Inc. Announces Private Placement
VANCOUVER, BRITISH COLUMBIA--(Marketwire - March 21, 2012) - Zone Resources Inc. (Zone) (TSX VENTURE:ZNR)(FRANKFURT:7ZR) has arranged a non-brokered private placement of up to 7,500,000 units at a price of
.085 per unit for total proceeds of up to $637,500 subject to the approval of the TSX Venture Exchange.
Up to 7,500,000 units will be issued as non flow-through units consisting of one common share and one half (1/2) share purchase warrant. One full warrant will entitle the holder to purchase one additional common share of the Company at a price of
.10 per share for the first year, and
.12 per share until expiration in second and final year.
The proceeds of the private placement will be used for exploration work on the Company's mineral properties and general working capital. Finder's fees, as allowed pursuant to the policies of the TSX Venture Exchange, may be payable in connection with the offering
About Zone Resources Inc.
Zone Resources Inc. is a Canadian Iron ore exploration and development company with 4 major projects situated in the Labrador Trough of Quebec, Canada. The properties are near Adriana Resources' Lac Otelnuk Project and New Millennium's Kemag and Labmag projects. Recent 43-101 compliant drilling, completed at the end of 2011, on the Girard property intersected 35.77% Fe over 243.00 metres in drill hole ZR11-08 and 35.64% Fe over 137.00 metres in drill hole ZR11-09. ZR11-08 and ZR11-09 were the only two drill holes completed by Zone at the Girard property during the 2011 program.
Additional 2011 drilling on the Moore-Ross property, 70 kilometres to the northwest of the recent drilling at the Girard property, intersected an average of 32.54% Fe over 167.10 metres in drill hole ZR11-07. Historical drilling on the Moore-Ross property is highlighted by a significant hole grading 42.9% iron over 197 feet, including over 37 other drill holes with iron grades ranging from 17.25% to 44.8% (the primary iron mineral is hematite).
Technical information in this news release has been reviewed by Mike Magrum, PEng. a qualified person as defined in National Instrument 43-101. The Company's shares trade on the TSX Venture Exchange under the symbol ZNR and on the Frankurt Exchange under the symbol 7ZR.