Kimber Resources Inc. (AMEX:KBX, TSX:KBR)
VANCOUVER, March 2 /CNW/ - Kimber Resources Inc. ("the Company") is
pleased to report that the previously announced private placement has been
closed. The transaction consisted of brokered and non-brokered private
placements of a total of 7,047,500 common shares at a price of C$2.00 for
gross proceeds of C$14,095,000.
The brokered private placement was carried out by Puplava Securities Inc.
("PSI") of San Diego, California with Ms. Leanne Baker, Managing Director of
Investor Resources LLC, acting as a consultant to identify potential investors
in the United States. The Company paid cash commissions of 5.5% on the
brokered placements.
The non-brokered private placement was to institutional and accredited
investors in Canada and offshore. Blackmont Capital Inc., Canaccord Capital
Corp., and PSI will receive finder's fees of 5.5% of the proceeds raised on
certain placements. The total commissions and finder's fees paid on the both
brokered and non-brokered placements amount to C$428,725.
No warrants are being issued to investors or the agents in connection
with the offering. Mr. James Puplava, a Director and major shareholder of the
Company, and a principal of PSI, did not acquire shares through the placement.
The shares are subject to a hold period under applicable Canadian
securities laws and the policies of the Toronto Stock Exchange (TSX). This
hold period expires at midnight on July 1, 2006. Additional resale
restrictions apply to shares issued to U.S. investors. The private placement
is subject to final acceptance by the TSX.
The net proceeds of the private placements will be used to continue
exploration and development drilling on the Carotare deposit and El Orito
Norte exploration target, to complete the drilling and the pre-feasibility
study on the Carmen deposit, as well as for general corporate purposes.
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.
