Kimber Resources Inc. (AMEX:KBX, TSX:KBR)
VANCOUVER, Feb. 21 /CNW/ - Kimber Resources Inc. ("the Company") wishes
to report that the previously announced proposed private placement of common
shares has been priced at C$2.00 per share (a discount of 8.8% to the 5 day
average closing price). The Company is proceeding with a brokered private
placement of 1,150,000 common shares to accredited investors in the
United States and a non-brokered private placement of 3,800,000 shares to
Canadian based institutions and accredited investors. The Company reserves the
right to accept subscriptions for up to a further 2,000,000 shares. The
Company will pay cash commissions of 5.5% on the brokered placements. A
finders fee of 5.5% will be paid on 700,000 shares of the non-brokered
placement. No warrants are being issued to investors or the agents in
connection with the offering.
Closing of the private placements is subject to the receipt of applicable
regulatory approval, including the approval of the Toronto Stock Exchange and
the American Stock Exchange.
The net proceeds of the private placements will be used to continue
drilling on the Carmen and Carotare deposits and the El Orito Norte
exploration target as well as for general corporate purposes.
The common shares are not registered under the Securities Act of 1933, as
amended, or any state securities laws and may not be offered or sold in the
United States absent registration or an applicable exemption from registration
requirements. This announcement is neither any offer to sell nor a
solicitation of an offer to buy any of these securities.
About Kimber
Kimber Resources Inc., which holds a 100% interest in the Monterde
property in the Sierra Madre of northern Mexico, is advancing the Carmen
gold-silver deposit towards production. The Carmen deposit, an underground
mine in the 1930's, is a typical low sulphidation epithermal system, oxidized,
and believed to be suitable for open pit mining. A pre-feasibility study is
expected on the Carmen deposit in April 2006. Two adjacent epithermal systems
first identified in 2005, the Carotare deposit and El Orito Norte exploration
target appear to be similar to the Carmen. The initial resource estimate on
Carotare was reported in November 2005. The goal of the company is to
demonstrate at least three million resource ounces from the two deposits and
exploration target identified. For further information on the company visit
SEDAR or the company website at www.kimberresources.com.
Cautionary Statement
Statements in this release may be viewed as forward-looking statements.
Such statements involve risks and uncertainties that could cause actual
results to differ materially from those projected. There are no assurances the
Company can fulfil such forward-looking statements and the Company undertakes
no obligation to update such statements. Such forward-looking statements are
only predictions; actual events or results may differ materially as a result
of risks facing the Company, some of which are beyond the Company's control.
