Advanced Explorations Receives Update on $5 Million Convertible Debenture Financing through XinXing Pipes Group
TORONTO, ONTARIO--(Marketwire - Jan. 10, 2012) - Advanced Explorations Inc. (the "Company" or "AEI") (TSX VENTURE:AXI)(FRANKFURT:AE6) is pleased to provide a status update with respect to its previously announced $5 Million convertible debenture financing (the "Financing") involving strategic partner XinXing Ductile Iron Pipes Co. Ltd. ("XDIP"), (as press released October 31, 2011).
XDIP has advised AEI that it proposes to establish a specific purpose, wholly-owned Hong Kong based subsidiary for purposes of completing the Financing transaction. In a press release dated January 7th, 2012, XDIP indicated that the Hong Kong company will serve as a platform for the successful completion of the Financing and will also help facilitate the development of the Roche Bay Iron Project. The formation of this subsidiary is necessary to obtain required Chinese government consents and approvals, and XDIP is confident in securing same in a timely manner. In addition, the proposed change is subject to the receipt of any required stock exchange and corporate approvals in Canada. AEI is currently seeking such approvals.
John Gingerich, President and CEO, commented:
| | "We are very pleased with the demonstrated commitment of XDIP to complete the Convertible Debenture financing as quickly as possible and appreciate the efforts of our Partner in resolving this bottleneck. This approach appears to be the best solution for ensuring a timely closure of the Financing and will also help in facilitating our future development plans. In the meantime, AEI will continue to move forward with the Feasibility Study and work with XDIP on moving the Roche Bay Project toward production". |
ON BEHALF OF THE BOARD
John Gingerich, President & CEO