Morning coffee May 11th, 2012...
"Since the beginning of May, insiders at Guyana Goldfields have purchased 889,000 shares of the company in the public market. The majority, 850,000 shares, has been purchased by Patrick Sheridan Jr., GUY's Interim President & COO, CEO and Director. In late April, GUY announced that it has closed its previously announced nonbrokered private placement financing, which included 10,891,069 common shares at a price of $2.91 per share for gross proceeds of $31,693,010. Highlighted by the fact that Boston-based institutional investor, The Baupost Group, purchased just over 72% of the financing representing $22,963,010. Additionally, GUY highlighted that funds managed by Franklin Advisors purchased 2,500,000 shares in the offering, and Patrick Sheridan purchased 500,000 shares. Commenting on the news, Sheridan stated, "We are excited to have a large institutional investor as a partner and reaffirms our viewpoint that the Aurora Gold Project continues to be a robust asset. This provides us with a strong capital position to produce a revised Feasibility Study." The net proceeds of the private placement will be used towards the strategic plans for 2012 and to continue exploration of the company's portfolio of gold exploration properties in Guyana, South America. GUY's strategic plans and milestones for 2012 include: i) Revised Feasibility Study - Due Q4; ii) Sub-level Retreat Scoping Study - Due Q2; iii) Revised Aurora Resource Estimate - Due Q2; and iv) Infrastructure Construction - Ongoing."