Press release from Marketwire
Geologix to Carry Out $1 Million Private Placement
Monday, June 17, 2013
Geologix to Carry Out $1 Million Private Placement05:30 EDT Monday, June 17, 2013
VANCOUVER, BRITISH COLUMBIA--(Marketwired - June 17, 2013) -
NOT FOR DISTRIBUTION TO US NEWSWIRE SERVICES NOR FOR DISSEMINATION IN THE UNITED STATES OF AMERICA
Geologix Explorations Inc. (TSX:GIX) (OTCQX:GIXEF) (FRANKFURT:GF6) (BERLIN:GF6) (STUT:GF6) (MUN:GF6) ("Geologix," or the "Company") announced today that it intends to carry out a private placement of up to 10 million common shares at a price of $0.10 per share for aggregate gross proceeds of up to $1,000,000. Geologix may increase the size of the placement if warranted and priority in the placement will be given to existing shareholders. Eligible finders will be paid a 5% cash fee.
Geologix will utilize the net proceeds from this transaction to continue work on a Feasibility Study of the Company's Tepal Project, to advance related permitting, and for general working capital purposes.
"This private placement will allow us to continue to move our promising Tepal Project forward at its current pace," stated Dunham Craig, President and CEO of Geologix. "We anticipate completing a Feasibility Study for Tepal later this year, continuing the momentum created by the positive Prefeasibility Study results we announced in March. We also continue to make progress towards securing financing for the Project's pre-production capital cost of $354 million. I look forward to communicating with shareholders about both these major milestones in the near future."
Geologix Explorations Inc. is a mineral exploration and development company focused on acquiring, exploring, and developing mineral resource opportunities with the potential to host profitable mining operations. The Company's primary focus is the Tepal Gold-Copper Porphyry Project in Michoacán state, Mexico. In March 2013, the Company announced (and subsequently filed on SEDAR) a Prefeasibility Study for the Project that indicated an 11.5 year mine life with payable production of 1.12 M oz. gold and 503 M lbs. copper, resulting in a post-tax NPV of $421 million at a 5% discount rate. The positive results of this study have led the Company to continue to work towards both completing a Feasibility Study for the Project and arranging the necessary financing to advance the Project to production.
On behalf of the Board of Directors,
Dunham Craig, President & CEO
This Press Release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities in the United States of America. The securities have not been and will not be registered under the United States Securities Act of 1933 (the "U.S. Securities Act") or any state securities laws and may not be offered or sold within the United States or to U.S. Persons (as defined in the U.S. Securities Act) unless registered under the U.S. Securities Act and applicable state securities laws, or an exemption from such registration is available.
This Press Release contains statements which constitute 'forward-looking, including statements regarding the plans, intentions, beliefs and current expectations of the Company, its directors, or its officers with respect to the future business activities and operating performance of the Company. The words "may", "would", "could", "will", "intend", "plan", "anticipate", "believe", "estimate", "expect" and similar expressions, as they relate to the Company, or its management, are intended to identify such forward-looking statements. Investors are cautioned that any such forward-looking statements are not guarantees of future business activities or performance and involve risks and uncertainties, and that the Company's future business activities may differ materially from those in the forward-looking statements as a result of various factors. Such risks, uncertainties and factors are described in the periodic filings with the Canadian securities regulatory authorities, including the Company's Annual Information Form and quarterly and annual Management's Discussion & Analysis, which may be viewed on SEDAR at www.sedar.com . Should one or more of these risks or uncertainties materialize, or should assumptions underlying the forward-looking statements prove incorrect, actual results may vary materially from those described herein as intended, planned, anticipated, believed, estimated or expected. Although the Company has attempted to identify important risks, uncertainties and factors which could cause actual results to differ materially, there may be others that cause results not be as anticipated, estimated or intended. The Company does not intend, and does not assume any obligation, to update these forward-looking statements.
FOR FURTHER INFORMATION PLEASE CONTACT:
Geologix Explorations Inc.