Business
Fortune Minerals Limited raises $4.25 million from initial tranche of private placement
/NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES/ Issued...
About this update from Fortune Minerals Limited
[{"type":"text","content":"\n\n\n\n/NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN\nTHE UNITED STATES/\n\nIssued Capital: 64,028,827\n\n\nLONDON, ON, May 21 /CNW/ - Fortune Minerals Limited (TSX-FT) ("Fortune"\nor the "Company") is pleased to announce that it has issued 8,425,000 units at\n$0.50 per unit and 53,750 flow-through shares at $0.70 per share under two\nnon-brokered private placements to raise gross proceeds of $4,250,125. Each\nunit consists of one common share and one-half of one common share purchase\nwarrant. Each whole warrant entitles the holder to purchase one common share\nfor $0.80 on or before September 2, 2010. Fortune expects to close a second,\nsmaller and final tranche under both private placements on or about June 1,\n2009.\n\n\nThe net proceeds of the offerings will be used: (i) to fund environmental\ntesting, permitting activities, engineering and other development work for the\nNICO gold-cobalt-bismuth-copper project in the Northwest Territories; (ii) for\ncompletion of the dismantling and demolition of the Golden Giant Mine\nbuildings and process facilities at Hemlo, Ontario, and storage of salvaged\nassets for subsequent relocation to NICO upon receipt of mine permits; and\n(iii) for working capital and general corporate purposes.\n\n\nThe securities being offered have not, nor will they be registered under\nthe United States Securities Act of 1933, as amended, and may not be offered\nor sold within the United States or to, or for the account or benefit of, U.S.\npersons. This release does not constitute an offer for sale of securities in\nthe United States.\n\n\nThis press release contains forward-looking information. This\nforward-looking information includes, or may be based upon, estimates,\nforecasts, and statements as to management's expectations with respect to,\namong other things, anticipated future financing. Forward-looking information\nis based on the opinions and estimates of management at the date the\ninformation is given, and is subject to a variety of risks and uncertainties\nand other factors that could cause actual events or results to differ\nmaterially from those projected in the forward-looking information. These\nfactors include uncertainties relating to the availability and timing of such\nfinancing and other factors. The forward-looking information containe...