4th Apr 2006 15:36
SouthernEra Diamonds Announces Private Placement Through Canaccord Adams Limited Shares Issued and Outstanding: 128,343,101 TSX: SDM AIM: SRE TORONTO and LONDON, April 4 /CNW/ - SouthernEra Diamonds Inc. (the"Company") (TSX: SDM, AIM: SRE) announces today that it has conditionallyplaced 31.1 million common shares to institutional investors in the UK andEurope. The shares will be placed at a price of C$0.43 (21.2p) each for grossproceeds of approximately C$13.4 million. Application will be made for the common shares placed to be admitted totrading on AIM and admission and dealings in these shares are expected tocommence on April 10, 2006. Canaccord Adams Limited acted as broker to theplacing. The placement is subject to regulatory and stock exchange approval. The proceeds from the private placing will be used primarily toaccelerate the Company's alluvial diamond evaluation programs in theDemocratic Republic of Congo. During 2006 one program will concentrate on therecently reported Tshikapa project which is primarily focussed on bringing 5high priority targets into more confident resource categories with a view tocommence production in 2007. In addition, at the Badibanga project (located250km from the Tshikapa project), the Company will investigate historicalinformation compiled from archived reports and maps dating from 1906 to 1961when the company, Forminiere, explored and reported on significant diamonddeposits within the project area. The securities being offered have not, nor will they be registered underthe United States Securities Act of 1933, as amended, and may not be offeredor sold within the United States or to, or for the account or benefit of U.S.persons absent U.S. registration or an applicable exemption from U.S.registration requirements. This release does not constitute an offer for saleof securities in the United States. SouthernEra Diamonds is one of Canada's fully integrated diamondcompanies with extensive alluvial and kimberlite diamond exploration in theDRC as well as other countries including Canada, Gabon, Zimbabwe and SouthAfrica. The Company also holds the Klipspringer Diamond Mine in South Africaand maintains an 18 percent free-carried interest in the Camafuca DiamondProject in Angola. For further information: SouthernEra Diamonds Inc., Mr. AlasdairMacPhee, President and CEO, Telephone: (416) 359-9282, Fax: (416) 359-9141,E-mail: inbox(at)southernera.com, www.southernera.com; London: 4C-Burvale,Carina Corbett, Director, Telephone: ++44 (0) 207-907-4761, Fax:++44 (0) 207-907-4769, Email: Corbett(at)4c-burvale.co.uk (SDM. SRE)ENDSOUTHERNERA DIAMONDS INCRelated Shares:
Sirius Real Estate