Sabina Silver (SBB.V) mit grossen Reserven, neuste Studie
News
Sabina Silver closes $15-million private placement
2007-04-03 09:20 ET - News Release
Mr. Abraham Drost reports
SABINA SILVER SUCCESSFULLY CLOSES $30 MILLION BOUGHT-DEAL FINANCING, RESUMES DRILLING AT HACKETT RIVER
Sabina Silver Corp. has successfully closed the previously announced bought-deal private placement of five million units at a price of $3 per unit for gross proceeds of $15-million. Each unit comprises one common share of Sabina and one-half of one common share purchase warrant, with each full warrant entitling the holder thereof to purchase one common share at a price of $3.60 for a period of 36 months following the closing of the offering. The financing was substantially oversubscribed and the underwriting syndicate led by Research Capital Corp., which included BMO Nesbitt Burns Inc. and Pacific International Securities Inc., exercised the option to increase the size of the financing by five million units at the same issue price per unit for additional gross proceeds of $15-million. In total, 10 million units were issued for gross proceeds of $30-million.
The underwriters received as compensation a 5-per-cent cash commission and 500,000 broker warrants. Each broker warrant entitles the holder to purchase one common share at an exercise price of $3 per share until April 2, 2009.
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All the units issued pursuant to the private placement are subject to a four-month hold period expiring Aug. 3, 2007.
The net proceeds from the private placement will be used to further advance Sabina\'s Hackett River project toward permitting, feasibility and, ultimately, production, all subject to rigorous and continuing engineering and environmental review, and for general corporate purposes. Abraham Drost, president and director of Sabina, states, "The successful conclusion of this bought-deal financing involving strong financial partners and a variety of new shareholders constitutes a significant step forward in advancing the Hackett River project to the bankable feasibility assessment stage."
In related corporate news, drilling has resumed at Hackett River. The 2007 work plan includes additional definition and exploration drilling, geotechnical drilling and testing, further metallurgical testing and optimization, geophysical surveys of additional exploration target areas, and initiation of a formal environmental impact assessment process. The information expected to be obtained from the 2007 work plan will supplement the existing database and move the Hackett River project toward an NI 43-101-compliant prefeasibility study later in the season.