20th Jan 2010 09:18
XTIERRA ANNOUNCES PRIVATE PLACEMENT FINANCING OF UP TO $5.0 MILLION CANADIAN
Dublin, 20 January, 2010 - Minco Plc (AIM-"MIO"), the Irish exploration and development company announces that its TSXV quoted subsidiary, Xtierra Inc., yesterday announced a non brokered private placement of up to $5,000,000 (Canadian) consisting of up to 25.0 million units ("Units") at $0.20 per unit, each unit consisting of one common share and one-half a common share purchase warrant, each whole warrant entitling the holder to purchase one common share at $0.30 per share for one year. The offering will be made available to accredited investors in Canada and eligible international investors. No securities will be offered in the United States of America or to United States residents.
Proceeds of the issue will be used to fund further metallurgical testing and feasibility work on Xtierra's Bilbao silver‐zinc‐copper project in Zacatecas, Mexico, and for expenses of the offering, general corporate purposes and working capital. All securities issued will subject to a hold period of four months and one day from the date of issue in accordance with applicable securities laws and the requirements of the TSX Venture Exchange. Closing of the placement is anticipated by the end of February 2010.
As part of this private placement, Xtierra announces that it has entered into a subscription agreement with TayCon Corporation, a capital pool company, whereby TayCon has subscribed for 2.5 million units for aggregate proceeds of $500,000 with the option to purchase a further 125,000 units at any time prior to Closing. Completion of the subscription is conditional upon the prior approval of the transaction by TayCon's shareholders and the acceptance of the transaction by the TSX Venture Exchange as TayCon's qualifying transaction. This subscription will be closed as soon as possible following such approvals. Xtierra shares and warrants purchased by TayCon will be distributed to TayCon's shareholders in proportion to their shareholdings and TayCon will be subsequently dissolved.
About Xtierra Inc.
Xtierra Inc. is a Toronto based exploration and development company listed on the TSX Venture Exchange. Xtierra's shares trade under the symbol "XAG". Xtierra has 49,862,003 shares issued and outstanding. Xtierra is conducting a feasibility study on its 100% owned Bilbao silver‐zinc‐copper project in Zacatecas, Mexico. Xtierra's objective is to become a mid‐tier producer of precious and base metals through the development of its Bilbao and Laguna projects, both located in the Central Mexican Mineral Belt in the State of Zacatecas, as well as through exploration, organic growth and M & A opportunities.
About Minco
Minco PLC is an AIM quoted precious and base metals exploration and development company engaged in zinc exploration on the Pallas Green property in Ireland in a joint venture with Xstrata Zinc and investments in zinc-silver projects in Mexico through its 60% shareholding in Xtierra Inc. listed on the TSX Venture Exchange (Toronto) under the symbol "XAG".
|
For further information, www.minco.ie or contact: |
|
|
John Kearney: Executive Chairman |
+1 416 362 6686 |
|
Terence McKillen: Chief Executive |
+1 416 362 8243 |
|
Danesh Varma: CFO & Company Secretary |
+44 (0) 8452 606 034 |
|
John Frain / Fergal Meegan: (NOMAD) Davy |
+353 (0)1 6796363 |
Related Shares:
Minco PLC